On February 18, the Federal Trade Commission announced that it had settled charges against Butterfly Labs and two of its operators stemming from the alleged deception of consumers regarding new mining machines for the virtual currency, Bitcoin. According to the FTC, the company and its corporate officers charged consumers thousands of dollars for its Bitcoin
Join Us for ACI’s 12th Cyber & Data Risk Insurance Conference in Chicago
We are pleased to announce that Troutman Sanders partner Ron Raether will be a featured speaker at the American Conference Institute’s 12th Cyber & Data Risk Insurance Conference in Chicago. The conference will take place over the course of two days and will address matters of critical importance to the cyber and data
Court Allows FCRA Employment Background Check Lawsuit to Proceed Based on Strict Interpretation of the “Solely of the Disclosure” Requirement
In Robrinzine v. Big Lots Stores, Inc., the plaintiff brought what has become a familiar class action claim against employers under the Fair Credit Reporting Act (“FCRA”). According to the complaint, when Robrinzine applied for employment with Big Lots, she received a disclosure form informing her that a background check would be procured. She
Illinois Amends Laws Regulating Debt Collection
On January 29, Illinois enacted Senate Bill 1369. The bill makes certain revisions and amendments to the prior debt collection requirements that were enacted within the state in 2015. The law is effective immediately.
Among other provisions, the law adds the following definitions to the debt collection statute:
- “Collection agency” means any person who,
Coalition of State Attorneys General Urges Passage of the HANGUP Act
As we previously reported, on November 4, 2015, U. S. Senator Edward Markey (D-Mass.) introduced the Help Americans Never Get Unwanted Phone calls Act of 2015—or HANGUP Act for short. The legislation, which has 14 Democratic co-sponsors, would repeal section 301(b) of the Bipartisan Budget Act of 2015, which
Birmingham Becomes First Alabama City to “Ban the Box”
Last week, through the issuance of an executive order, the City of Birmingham became the first city in Alabama to “ban the box” on its hiring applications. The prohibition applies to municipal positions within the city, and it prevents an inquiry into an applicant’s criminal history at the application stage. The executive
FTC Announces Regulations to be Reviewed in 2016 as Part of Ongoing Process of Review and Comment
As part of the Federal Trade Commission’s systematic review of all current FTC rules and guides, the agency recently announced a modified 10-year regulatory review schedule. To ensure that its rules and industry guides stay relevant and are not overly burdensome, the FTC reviews them at 10-year intervals. The review schedule is published each
Toyota Resolves CFPB/DOJ Joint Action Alleging Discriminatory Loan Practices
On February 2, following a joint investigation of the Consumer Financial Protection Bureau and the Civil Rights Division of the Department of Justice, Toyota Motor Credit Corporation, the financing arm and subsidiary of the Japanese auto giant, agreed to pay up to $21.9 million in restitution to thousands of minority borrowers who allegedly were charged
Class Action Filed in the Wake of Wendy’s Security Breach
Plaintiffs rush to the courthouse to be first in line to pursue lawsuits after notice of a breach is made. The latest example involves Wendy’s, where a plaintiff alleged that “Wendy’s approach at maintaining the privacy of Plaintiff’s and Class members’ [personally identifiable information (PII)] was lackadaisical, cavalier, reckless, or at the
Payment Processor Charged with Participating in Telemarketing Scheme Settles with FTC
The Federal Trade Commission announced today that it had agreed to settle charges against Capital Payments LLC (now known as Bluefin Payment Systems, LLC), for its alleged involvement with The Tax Club, a group of entities engaged in fraudulently telemarketing development services, including business formation, counseling, credit development, and marketing to individuals seeking to establish