The Fifth Circuit recently adopted a presumption in favor of retaining federal jurisdiction under the Class Action Fairness Act (“CAFA”) and placing the burden squarely on plaintiffs who seek to remand a case based on one of CAFA’s limited exceptions. Specifically, the Court held that “[i]f the applicability of an exception
Debt Buyers + Collectors
Fourth Circuit: Arbitration Agreements Cannot Renounce Application of Federal Law
On February 2, the Fourth Circuit held that an arbitration agreement “may not flatly and categorically renounce the authority of the federal statutes to which it is and must remain subject.” Because the arbitration agreement at issue sought to “avoid state and federal law and to game the entire system,” the three-judge panel concluded that …
Is the FCRA a Dead End for Data Breach Plaintiffs?
Former FBI Director Robert Mueller stated in 2012, “[T]here are only two types of companies: those that have been hacked and those that will be.” Since then, many diverse companies (and even the federal government) have suffered this fate. Indeed, no company or entity appears immune to the potential reputational and financial risks that follow…
Personal Knowledge of Facts Not Required When Attesting to an Affidavit
Debt collectors frequently rely on affidavits that attest to the validity of underlying debt in state court collection actions. An issue that has garnered attention is the extent to which the debt collector must possess personal knowledge of the facts contained in its supporting collection affidavits. In Janson v. Katharyn B. Davis, LLC (Case No.…
Supreme Court Agrees to Review Tactic to Secure Appellate Review of Class Certification
On January 15, the United States Supreme Court granted a writ of certiorari in the matter of Baker v. Microsoft Corp. on the issue of whether plaintiffs may voluntarily dismiss their suit after class certification is denied as a procedural tactic to guarantee appellate review of an unfavorable class certification decision.
Rule 23(f) allows a…
District Court Holds Leaving Message with Third Party Violates the FDCPA
Can a debt collector leave a message for a debtor with a third party who answers the debtor’s phone? In Halberstam v. Global Credit and Collection Corp., the District Court for the Eastern District of New York answered in the negative, holding that such action violated the Fair Debt Collection Practices Act (“FDCPA”).…
TCPA Suit Involving Reassigned Phone Number Stayed Pending Appeal of FCC’s Order
On December 17, Judge Christina Snyder of the United States District Court for the Central District of California granted a motion to stay a lawsuit under the Telephone Consumer Protection Act (“TCPA”) by Defendant Time Warner Cable (“TWC”). The Court granted the motion pending the District of Columbia Circuit Court of Appeals’ decision in ACA …
FCC Files Responsive Brief in D.C. Circuit Appeal in Support of Controversial TCPA Order
On January 15, the Federal Communications Commission defended its controversial July 10, 2015 Order (the “Order”) expansively interpreting the Telephone Consumer Protection Act (“TCPA”) in a 110-page brief filed in ACA International et al. v. FCC et al., where several consolidated challenges to the Order by businesses and trade groups are being heard in…
The FCC Continues to Expand the Scope of the TCPA
On January 11, in Club Texting, Inc.’s Petition for a Declaratory Ruling, the Federal Communications Commission issued an Order that has the potential of increasing the scope of senders who can be liable for unwanted text messages under the Telephone Consumer Protection Act (“TCPA”). In the process, the FCC doubled-down on its controversial July …
DOJ Battles Facebook on Constitutionality of TCPA
On December 11, 2015, the United States Department of Justice filed an intervenor’s brief in support of the constitutionality of the “emergency calls exception” in the Telephone Consumer Protection Act (“TCPA”), a federal statute regulating the usage of automatic telephone dialer systems. The issue embroils the government in a consumer dispute with Facebook, which is …