On Wednesday, the New York Department of Financial Services (DFS) became the first state financial regulator to use the Dodd-Frank Act’s “UDAAP” consumer protection standards against a corporation when it filed a lawsuit against an auto lender. The 2010 Dodd-Frank Act gives state regulators the ability to sue companies for engaging in unfair, deceptive, or
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:
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
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
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
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
FTC Continues Crackdown in Auto Dealer Lease Financing Advertising
The Federal Trade Commission (FTC) continued “Operation Steer Clear” – a crackdown on deceptive advertising by automobile dealers – with a tenth settlement with a dealer accused of misrepresenting the terms of available consumer leases.
Courtesy Auto Group, Inc., a Massachusetts auto dealer, agreed to a proposed settlement with the FTC under which
After Warning, FTC Charges Principals of Dealership in Enforcement Action
This month, the Federal Trade Commission charged an Arkansas auto dealer, Abernathy Motor Company, and its two principals, with failing to display a “Buyers Guide” on used vehicles offered for sale, as required by the FTC’s Used Car Rule. Before being charged, the FTC had visited the dealer in December 2012 and identified issues of
Consero Financial Services and Insurance Litigation Forum – Miami, FL – May 18-20, 2014
Consero’s 2014 Financial Services and Insurance Litigation Forum will be held May 18-20, 2014 at the Trump National Doral Miami in Miami, FL. Join Troutman Sander’s lawyer, Ashley Taylor at the forum. Consero’s 2014 Financial Services and Insurance Litigation Forum will address current and looming legal and business challenges faced by today’s Chief Litigation Officers
House Financial Services Committee Turns Up the Heat on Investigation into CFPB Disparate Impact Methodology
Democrats and Republicans in Congress can rarely reach agreement on anything these days, but one bipartisan effort that continues to gain steam is their repeated attempts to learn the methodology by which the Consumer Financial Protection Bureau (“CFPB”) and other federal regulators investigate auto lenders for purported fair lending violations. In a letter dated March