Mortgage Lenders & Servicers

A recently filed lawsuit places renewed scrutiny on the constitutionality of the nationwide residential eviction freeze put in place by the Centers for Disease Control and Prevention (“CDC”) in response to the ongoing COVID-19 crisis. On September 18, an Amended Complaint was filed under Richard Lee Brown et al. v. Alex Azar et al. in

In 2011 and 2013, Peri Domante’s personal information was stolen and fraudulently used to open two accounts with Dish Networks, LLC (“Dish”), a provider of television services. After being alerted to the fraud, Domante sued Dish for violation of the Fair Credit Reporting Act (“FCRA”).  The parties settled the lawsuit.  As part of the agreement,

A recent decision out of the Eastern District of Wisconsin provides an important reminder to loan servicers that a statement in a debt collection letter could be considered misleading under the Fair Debt Collection Practices Act (“FDCPA”), 15 U.S.C. § 1692 et seq., even if the letter is “literally correct.”

The case is Reitz v.

The plaintiff incurred a debt to a medical provider who placed the debt with a debt collector. The collection letter from the debt collector included a request for repayment of principal and interest. The plaintiff filed a lawsuit alleging that the debt collector violated the Fair Debt Collection Practices Act (FDCPA) because it was not

On August 13, 2020, the Oregon Bankers Association (“OBA”) and three Oregon-chartered banks filed a Complaint for declaratory and injunctive relief against the State of Oregon, Oregon’s Attorney General, and the Director of the Oregon Department of Consumer and Business Services. The Complaint alleges that House Bill 4204 (“HB 4204” or “the Bill”) is unconstitutional

Fannie Mae and Freddie Mac provided temporary guidance to lenders due to COVID-19 on various topics related to servicing mortgage loans. On June 30, Fannie Mae updated its COVID-19 Frequently Asked Questions – Servicing on the topics related to retention workout options, reporting and operational processes, and incentive fees, amongst other topics.

Foreclosure Suspension Extended

Does a judicial foreclosure action constitute “debt collection activity” under the Fair Debt Collection Practices Act (“FDCPA”)? The answer depends on whether the creditor attempts to recover the unpaid mortgage balance or just the property, according to the U.S. Court of Appeals for the Ninth Circuit in Barnes v. Routh Crabtree Olson, P.C.

Due

The Federal Trade Commission (“FTC”) held its public workshop on the proposed changes to the Safeguards Rule under the Gramm-Leach-Bliley Act of 1999 (“GLBA”). The FTC has not updated the Safeguards Rule since implementing it in 2003. With substantial developments in the way businesses increasingly depend and operate using non-public personal information through electronic means

On July 28, 2020, Troutman Pepper attorneys, Maryia Jones (Virginia Beach office) and Stephen J. Steinlight (New York – East Side office) will serve again on the faculty for their webinar series by Lorman Educational Services entitled, “Collection Disputes: A Good Defense Is the Best Offense.

The credit and collection industry remain under

The Federal Trade Commission (“FTC”) is holding its public workshop today on the proposed changes to the Gramm-Leach-Bliley Act of 1999’s Safeguards Rule (“Safeguards Rule”). For background, the Safeguards Rule requires financial institutions, and potentially affiliates and/or service providers, to keep customer information secure. The FTC has stated it seeks to modify the Safeguards Rule