Twenty-one Democratic state attorneys general wrote to Senate leaders Mitch McConnell and Charles Schumer to express their opposition to S.J. Res. 47, which would nullify the Arbitration Rule issued by the Consumer Financial Protection Bureau under the Congressional Review Act. The AGs requested that both senators oppose the Joint Resolution of Disapproval
Seventh Circuit Affirms Dismissal of FCRA Disclosure Claim on Standing Grounds
On August 1, the Seventh Circuit Court of Appeals in Groshek v. Time Warner Cable, Inc. affirmed the Eastern District of Wisconsin’s dismissal of a putative Fair Credit Reporting Act class action on the basis of Article III standing. Specifically, applying the Supreme Court’s decision in Spokeo, Inc. v. Robins, 136 S. Ct. 1540
Barclays Hit with Putative Class Action Over Background Checks
On August 4, the Brooklyn Events Center, LLC d/b/a Barclays Center, Levy Premium Foodservice Limited Partnership, and Professional Sports Catering LLC were hit with a putative class action alleging that the businesses use discriminatory criminal history screening policies to deny employment to qualified job applicants.
According to the complaint, the named plaintiff, Felipe
Northern District of Illinois Rules for Debt Collector on Challenge to 1099-C Language
On August 9, the Northern District of Illinois granted summary judgment to a debt collector who included 1099-C language in its collection letter. The Court held the language was not false or deceptive, and that no reasonable person could read the language otherwise.
In Moses v. LTD Financial Services I, Inc., et al., plaintiff
Join Us for a Webinar on August 24 – A Review of Recent FCRA Trends and Developments
Join Troutman Sanders attorneys David N. Anthony, Cindy D. Hanson and Meagan A. Mihalko for a timely discussion of recent case studies and case law developments affecting the credit reporting and background screening industry. The discussion will include an update on the effects of Spokeo, as well as an overview of other recent
Missouri Appellate Court Affirms Dismissal of FCRA Class Action Based on Application of Spokeo and Federal Standing Rules
On July 25, the Missouri Court of Appeals affirmed a state trial court’s dismissal of a putative Fair Credit Reporting Act class action against a large retailer based on standing issues. Most notably, the court did so in reliance on Spokeo, Inc. v. Robins, 136 S. Ct. 1540 (May 16, 2016), and Article III
Defendant Seeks To Stymie Plaintiff’s ‘False Pretense’ Claim Under the FCRA
In Patel v. Comcast Corporation, plaintiff consumer Mounang Patel brought a purported class action lawsuit against defendant Comcast Corporation, arguing that Comcast unlawfully obtains background checks (also referred to as consumer reports) on consumers under false pretenses. On July 17, Comcast moved to dismiss this class claim on the ground that Patel failed
House Thwarts CFPB’s Arbitration Rule
On July 25, the United States House of Representatives voted to repeal the Consumer Financial Protection Bureau’s latest arbitration rule.
As we reported previously, the CFPB issued a final rule banning class action waivers in arbitration provisions for covered entities, as well as requiring the covered entities to provide information to the
Financial Investment Company Named in Background Check Lawsuit
A nationwide financial investment firm was named on June 30 in a putative class action lawsuit filed in federal district court in Oregon. The case, filed by plaintiff Dustin Kampert, alleges the firm violated the Fair Credit Reporting Act in its background check process related to employment or, alternatively, procured consumer reports without a permissible
Arbitration Rule Compliance Date Set for March 19, 2018
Financial institutions with arbitration clauses in consumer contracts are on the clock. The Consumer Financial Protection Bureau’s (CFPB) new Arbitration Rule was published in the Federal Register today, with an effective date of September 18, 2017 and a compliance date of March 19, 2018. Absent congressional action or successful litigation challenge, those financial institutions