On November 8, 2021, New York Governor Kathy Hochul signed the Consumer Credit Fairness Act (the Act) into law. The Act will likely have substantial impact on debt collection lawsuits filed by creditors or debt collectors in New York. The Act not only reduces the statute of limitations for filing…
On August 31, 2021, the United States District Court for the Western District of Texas issued an opinion upholding the Consumer Financial Protection Bureau’s (CFPB) Rule regulating payday lending. Community Financial Services Association of America, LTD., et al. v. CFPB, Case No. 1:18-CV-00295 (W.D. TX.) (Community v. CFPB). For background,…
On September 14, 2021, the United States Court of Appeals for the Fifth Circuit held that One Technologies, L.P. (One Tech) did not waive its right to compel arbitration of plaintiff’s federal claim under the Credit Repair Organizations Act (CROA), even though One Tech had previously waived its right to…
On June 25, 2021, the United States Supreme Court issued a decision in Transunion v. Ramirez that provides further guidance on the thorny issue of class member standing. The case involved a class of 8,185 individuals whose Transunion credit reports contained an alert incorrectly labeling them as potential terrorists because…
On May 14, 2021, the Seventh Circuit United States Court of Appeals issued a decision reaffirming the rule from “a slew of cases” that, without injury, a Fair Debt Collection Practices Act (FDCPA) claim alleging a bare procedural violation is not actionable. The case—Markakos v. Medicredi, Inc., No. 20-2351—involved an…
On February 2, 2021, the United States Court of Appeals for the Eleventh Circuit issued a significant decision holding that a putative class representative does not need to establish an administratively feasible method to identify absent class members as a pre-requisite for class certification under Federal Rules of Civil Procedure…
On February 3, 2021, California’s Department of Financial Protection and Innovation (DFPI) announced that it has commenced its first formal enforcement action and launched a separate investigation into student loan debt relief companies. Goodwin previously provided an overview of three new California consumer finance laws that became effective in January 2021,…
On September 28, 2020, Judge Martin C. Feldman of the United States District Court for the Eastern District of Louisiana issued an important decision that could impact Telephone Consumer Protection Act (TCPA) litigation involving alleged robocalls across the United States. See Creasy v. Charter Commc’ns, Inc., No. 20-cv-1199, 2020 WL…
On September 17, 2020, the Eleventh Circuit Court of Appeals (Eleventh Circuit) issued an important decision regarding incentive payments in class-action settlements in Telephone Consumer Protection Act (TCPA) cases. In Johnson v. NPAS Solutions, LLC, Case No. 9:17-cv-80393 (11th Cir. 2020) (Johnson), a TCPA case, the Eleventh Circuit held that…
During a House Financial Services Committee (HFSC) oversight hearing on June 30, 2020, Treasury Secretary Steven Mnuchin hinted that clarification may be coming on whether agents helping small businesses apply for Paycheck Protection Program (PPP) loans are entitled to automatic fee reimbursements from PPP lenders. This clarification comes on the…
Passed in response to the impact of COVID-19, section 4021 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act (H.R. 748, 116th Cong. (2020)) amended the Fair Credit Reporting Act (FCRA) in a variety of ways that impact credit reporting entities. Mainly, it requires a furnisher of credit information…
Early uncertainty and the initial lapse in appropriations for the U.S. CARES Act’s Paycheck Protection Program (PPP) set off a wave of litigation by disgruntled small businesses who have been unable to secure PPP loans. PPP loans were made available through various lenders to certain COVID-19-affected businesses meeting specific maximum…
Two financial institutions have now been sued in separate putative class action lawsuits concerning their implementation of the CARES Act’s Paycheck Protection Program (PPP), which is aimed at assisting small businesses keep employees on their payroll. Plaintiffs in both lawsuits allege that the financial institutions are unlawfully restricting access to…
On Wednesday, March 4, 2020, the United States Department of Justice (DOJ) filed a brief with the United States Supreme Court asking the Court to decline review of a case concerning the government’s power to dismiss qui tam–or “whistleblower”–actions under the False Claims Act (FCA). The case in question is…
On March 3, the Supreme Court heard argument in Seila Law LLC v. Consumer Financial Protection Bureau, a case involving two questions about the structure of the CFPB: (1) whether the provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act that limits removal of the CFPB Director to…
On January 17, student loan servicer Educational Credit Management Corporation (ECMC) filed a notice of appeal in the United States District Court for the Southern District of New York, challenging the decision of Chief Bankruptcy Judge Celelia Morris, which granted summary judgment for a student loan debtor and discharged his…
The Eleventh Circuit joined the growing majority of courts in issuing an opinion that significantly narrows the scope of the Telephone Consumer Protection Act (TCPA) and delivers a blow to the plaintiffs’ bar and proponents for an expansive reading of the statue. In addressing a pair of consolidated appeals, Glasser…
On December 2, 2019, the United States government submitted a brief to the Supreme Court urging it to deny review of a Ninth Circuit Court of Appeals ruling holding a provision of the Telephone Consumer Protection Act (TCPA) unconstitutional under the First Amendment. In the case in question, Gallion v….
On November 15, 2019, the Eleventh Circuit decertified a Telephone Consumer Protection Act (TCPA) class in Cordoba v. DIRECTV, LLC (No. 18-12077, 2019 WL 6044305), finding that the plaintiff could not adequately identify potential class members without resorting to individualized inquiries. The plaintiff alleged that DIRECTV failed to maintain an…
On October 23, 2019, the District of Massachusetts denied class certification in a Telephone Consumer Protection Act (TCPA) case in Sandoe v. Boston Scientific Corp. (No. 18-11826). The court held that the plaintiff could not identify class members sufficiently to satisfy the ascertainability and predominance requirements of Fed. R. Civ….