As we previously reported, on November 4, 2015, U. S. Senator Edward Markey (D-Mass.) introduced the Help Americans Never Get Unwanted Phone calls Act of 2015—or HANGUP Act for short. The legislation, which has 14 Democratic co-sponsors, would repeal section 301(b) of the Bipartisan Budget Act of 2015, which
Fourth Circuit Affirms Dismissal of Claims that Loan in Excess of Property Value is Unconscionable under the West Virginia Consumer Credit Protection Act
On January 15, 2016, the Fourth Circuit issued a published decision affirming summary judgment to the defendant national bank on plaintiff’s unconscionable contract claim under WVCCPA 46A-2-121. Plaintiff relied on a retroactive appraisal in an attempt to prove the loan was “predatory” because “the loan amount was in excess of the property value.”
The ruling
CFPB Releases TRID Guidance for Construction Loans
The CFPB released a resource intended to help lenders understand and implement the TILA-RESPA integrated disclosures (“TRID”) when extending construction loans.
The CFPB’s factsheet provides that construction loans are subject to TRID requirements as long as they are closed-end consumer credit transactions secured by real property. The only exception is those construction loans that are
Mortgages Continue to Rank High in CFPB’s Monthly Complaint Report
On January 28, the Consumer Financial Protection Bureau released its monthly consumer complaint report, highlighting consumer complaints about financial services such as debt settlement, check cashing, money orders, and credit repair. The CFPB began accepting complaints as soon as it opened its doors in July 2011. As of January 1, 2016, the CFPB
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
CFPB Seeks Comment on Potential Revisions to HMDA Resubmission Guidelines
The Consumer Financial Protection Bureau recently issued a “Request for Information Regarding Home Mortgage Disclosure Act Resubmission Guidelines.” The Home Mortgage Disclosure Act was enacted in 1975 and requires covered depository and nondepository institutions to collect and publicly disclose information about applications for, originations of, and purchases of home purchase loans, home improvement
CFPB Demands Public Disclosure of Plaintiffs’ Identity in Federal Lawsuit
When the Consumer Financial Protection Bureau refused to allow an attorney to attend an investigational hearing held in connection with several Civil Investigative Demands (CIDs) issued by the CFPB, the subjects of the investigation filed suit against the CFPB, along with a motion to seal the case. Although the subjects voluntarily dismissed their complaint, the
Federal Court Holds Letter Under Servicemembers Civil Relief Act Not Subject to FDCPA
On December 17, in addressing an issue of first impression, the United States District Court for the Eastern District of Pennsylvania held that a letter sent by a loan servicer under the Servicemembers Civil Relief Act (“SCRA”) to a borrower in default was not subject to the Fair Debt Collection Practices