On January 3, 49 state attorneys general announced a settlement with Career Education Corporation (“CEC”), a for-profit education company, to resolve claims that CEC engaged in unfair and deceptive practices. The settlement requires CEC to forgo any collection efforts against $493.7 million in outstanding loan debt held by nearly 180,000 former students. It also imposes
Effective January 1, Troutman Sanders promoted 13 attorneys to the partnership, including Virginia Flynn and Ethan Ostroff, two active contributors to the Consumer Financial Services Law Monitor blog. In addition, contributors Mohsin Reza and James Trefil were promoted to counsel, and Kyle Deak was named the managing partner of Troutman Sanders’ Raleigh
More than two weeks have passed since the government shutdown began on December 22, 2018, and there is still no immediate end in sight. President Trump has resolved to continue the shutdown for as “long as it takes,” declining to sign spending legislation without the requested $5 billion for the border wall. Federal governmental entities,
A recent immigration proposal from the Trump administration seeks to require the use of credit reports and scores as part of the U.S.’s immigration and green card review process. The proposal, which specifically notes the Fair Credit Reporting Act in discussing an applicant’s requirement to provide (and sometimes pay for) a credit report, will also
On December 20, the District of New Jersey granted summary judgment in favor of a defendant in a Telephone Consumer Protection Act case, finding the calling system at issue was not an automatic telephone dialing system because the system required human intervention to initiate calls.
In Collins v. National Student Loan Program, plaintiff Maurice
The Northern District of Illinois recently granted summary judgment in favor of a debt collector in Trischler v. MRS BPO LLC, holding that collection letters effectively stated the amount of the debt.
Consumer plaintiff Jacob Trischler incurred some credit card debt, which was subsequently assigned to MRS for collection by the original creditor. MRS
On December 17, the United States District Court for the Eastern District of New York ruled in favor of a debt collector in Taubenfliegel v. Miller & Milone, P.C., granting a motion for summary judgment regarding the naming of the creditor in a collection letter.
Plaintiff Elizabeth Taubenfliegel alleged violations of Section 1692g of
In a third-party complaint captioned as Avery Patrick v. Wells Fargo Bank, N.A., 2018 WL 6613737, Docket No. A-2270-17T3 (App. Div. Dec. 18, 2018), a residential mortgage loan borrower, Avery Patrick, appealed an order of summary judgment rendered by the Superior Court, Middlesex County, Law Division, dismissing his common law tort claim for trespass
Due to the U.S. Government partial shutdown, the Federal Trade Commission announced a temporary suspension of all of its investigations, including those into debt collection activities. As a result, the FTC has stated that its investigators cannot conduct normal fact-finding and attorneys cannot engage in settlement negotiations at this time. In particular, during the
The decision in ACA Int’l v. FCC, 885 F.3d 687, 701 (D.C. Cir. 2018), invalidated the Federal Communications Commission’s 2015 Declaratory Ruling with regard to what qualifies as an automatic telephone dialing system, or “ATDS,” under the Telephone Consumer Protection Act. Based on this, the Third