by Jeff Sovern I've been listening to the several hearings in Washington this week at which former Equifax CEO Richard Smith testified. I haven't finished yet, and may have more to say, but here's a quick observation. Mr. Smith testified at various points that Equifax planned to make things right for consumers. For example, here […]
That's the topic of Trump University and Presidential Impeachment by law prof Chris Peterson. Here's the abstract: In the final weeks of the 2016 Presidential campaign Donald J. Trump faced three lawsuits accusing him of fraud and racketeering. These ongoing cases focus on a series of wealth seminars called “Trump University” which collected over $40 million from […]
by Jeff Sovern There's been a steady drumbeat of criticism for the CFPB from certain members of Congress for not moving sooner on the Wells Fargo unauthorized account scandal. These critics also tend to support legislation, like the Financial Choice Act, which would take away the power the CFPB used to fine Wells Fargo for […]
by Jeff Sovern The article is headlined Congress grapples with preventing the next Equifax-level hack. Excerpt: Their ideas included like fining companies that fail to adequately protect consumer data, restructuring the credit reporting industry to allow for more competition and requiring data holders to notify consumers whose information has been compromised. A slew of legislation aimed […]
In an editorial titled President Cordray Strikes Again. This time, it's the payday lending rule that has the WSJ up in arms. Here's the conclusion: The recent rule-makings give the President more cause to dismiss the director, and a D.C. Circuit Court of Appeals panel has held that he can be removed at will. Mr. […]
Though consumer arbitration proponents and courts often justify pre-dispute mandatory arbitration (PDMA) through the language of consent — that consumers contract with corporations freely and knowingly — opponents of PDMA understand that PDMA is forced down consumers' throats. With these two visions of arbitration in mind, you may want to read two new issue papers […]
According to the press release: "The Consumer Financial Protection Bureau (CFPB) today finalized a rule that is aimed at stopping payday debt traps by requiring lenders to determine upfront whether people can afford to repay their loans. These strong, common-sense protections cover loans that require consumers to repay all or most of the debt at […]
Amanda Werner of Americans for Financial Reform and Public Citizen attended the Equifax hearing today to draw attention to forced arbitration and make the point that forced arbitration gives corporations a monopoly on justice. Amanda seems to have attracted as much attention as the former Equifax CEO who was testifying. Below is a small sample […]
The Consumer Financial Protection Bureau today issued an interim final rule and a proposed rule "to provide mortgage servicers more flexibility and certainty around requirements to communicate with certain borrowers under the Bureau’s 2016 mortgage servicing amendments. The interim final rule gives servicers more flexibility regarding when to communicate about foreclosure prevention options with borrowers […]
Our readers may be interested in this story by Michael Scarcella on the contentious oral argument today before the Supreme Court in Epic Systems v. Lewis (and two cases consolidated with it), perhaps one of the most important arbitration cases the Court has ever heard. The question presented by one of the pro-arbitration parties is Whether an agreement that […]