On April 15, 2014, a federal judge in New Jersey approved the settlement of a class-action suit against a law firm that allegedly violated the Fair Debt Collection Practices Act (FDCPA). Plaintiffs claimed that Mattleman, Weinroth & Miller, whose principal office is in Cherry Hill, NJ, and Executive Credit Management, located in Stanhope, NJ, had
Larger Participant Rule on Horizon for Auto Finance Industry
In early April, Deputy Director Steven Antonakes of the Consumer Financial Protection Bureau delivered the keynote speech at a meeting of the Consumer Bankers Association. During his speech, he specifically targeted the auto finance industry, articulating the CFPB’s concern over dealer mark-up and comparing the practice to mortgage yield spread premiums. Deputy Director Antonakes stated:
Senate Aims to Increase Transparency in Credit Reporting
On April 8, 2014, Senate Democrats introduced a bill that addresses a laundry list of frequent criticisms by federal and state regulators of the consumer reporting industry. The legislation, titled the Stop Errors in Credit Use and Reporting (SECURE) Act, is aimed at increasing the accuracy of consumer reports and assisting consumers who have information
CFPB Outlines Expansion of Nonbank Supervision, In Particular Increasing Consumer Access to Credit Scoring Information and Education
In a speech at the Consumer Bankers Association, CFPB Deputy Director Steve Antonakes discussed the nonbank segments of the financial services industry where the CFPB recently has expanded its supervision, including debt collection, student loan servicing, and large nonbank auto lenders.
Antonakes cited the receipt of more than 20,000 consumer complaints in March 2014 as
TCPA Clarification: FCC and Eleventh Circuit Attempt to Clarify “Called Party” and “Prior Express Consent”
On March 27, 2014, the Federal Communications Commission (“FCC”) issued two declaratory rulings regarding the definition of “prior express consent” under the Telephone Consumer Protection Act (“TCPA”). In the first ruling, Cargo Airline Association obtained an exemption under the TCPA’s “prior express consent” restriction on autodialed and prerecorded telephone calls and text messages to wireless
Proposed Legislation Would Require CFPB to Create Advisory Board of Small Financial Services Companies
Earlier today a bipartisan bill was introduced into the US House of Representatives which would require the CFPB to create an advisory panel of small financial services companies similar to other boards the Bureau has created. The Bureau of Consumer Financial Protection Small Business Advisory Board Act, introduced by Rep. Robert Pittenger, R-N.C., and
CFPB Releases Small-Entity Compliance Guide on TILA-RESPA Integration Rule
On March 31, the CFPB released a Small Entity Compliance Guide for its integrated disclosure rule for the Truth in Lending (TILA) and Real Estate Settlement Acts (RESPA). The CFPB issued the final rule in November to integrate the initial and final mortgage loan disclosures under TILA and RESPA. The final rule appeared in the
American Conference Institute’s 18th National Forum on Consumer Finance Class Actions & Litigation
Troutman Sanders’ lawyer David Anthony will be presenting at the upcoming American Conference Institute’s 18th National Forum on Consumer Finance Class Actions & Litigation. The conference will be held April 8-9, 2014 at the Westin Bonaventure Hotel &Suites in Los Angeles, CA. David will be presenting on , “CLASS ACTIONS: New and Emerging
CFPB Annual Report Shows 80% Increase in Consumer Complaints in 2013
In an annual report issued by the Consumer Financial Protection Bureau on Monday, March 31, 2014, the Bureau announced that it had received nearly double the number of consumer complaints in 2013 as compared to 2012. The report noted that 163,700 total complaints were brought to the Bureau’s attention in 2013, a jump from approximately
New Decision Provides Hope for Common-Sense Application of TCPA, but the High-Stakes Debate Over the Scope of the TCPA Will Continue
On Thursday, March 21, 2014, the Eastern District of Pennsylvania in Dominguez v. Yahoo!, Inc., held that Yahoo did not violate the Telephone Consumer Protection Act (TCPA) because Yahoo’s SMS system could not “randomly or sequentially generate telephone numbers.” The Dominquez court is the most recent to weigh in on one of the most