by Jeff Sovern We've mentioned Jake Halpern's terrific book Bad Paper about the debt collection industry before (see here and here). I finally got around to listening to the audio version. If you teach debt collection law, it's a must-read to help you learn about the industry. If you practice in the area, you may already […]
Just two days after a federal judge in South Dakota rejected a bid by First Premier Bank for a gag order against the credit-card-comparison site CardHub.com, the subprime credit card issuer abandoned its controversial lawsuit in a one-sentence document filed late on Friday. First Premier’s surrender comes after a backlash of criticism over its litigation […]
This pro-environment proposal seems to be attracting support across the political spectrum. Read a prominent conservative's argument for it here. He's got a lot of arguments that don't concern the environment, and he notes that "even for global warming skeptics, there’s no reason not to welcome a benign measure that induces prudential reductions in CO2 […]
In a victory for workers, last week the California Supreme Court held that when a security guard is required to be at his or her worksite on call, the worker is entitled to be compensated, no matter what percent of the time on call is spent actually responding to disturbances. As discussed in this L.A. […]
by Maura Dundon (Senior Policy Counsel, Center for Responsible Lending) The sale of Corinthian Colleges (the for-profit college chain that operates Everest, WyoTech, and Heald) to the student loan debt collector ECMC is poised to close today. The deal has raised serious concerns about the fate of Corinthian students and whether the new entity represents […]
The Washington Post reports today on churches in Virginia helping members of their congregations avoid payday lenders. The churches provide collateral so that the member can qaulfy for a loan through a church-affiliated credit union. Read Churches step in with alternative to high-interest, small-dollar lending industry.
In Safe Banking, law professor Adam Levitin talks about this: Banking is based on two fundamentally irreconcilable functions: safekeeping of deposits and relending of deposits. Safekeeping is meant to be a risk-free function, but using deposits to fund loans inevitably poses risk to deposits, thereby undermining the safekeeping function. The expensive, inefficient, and unreliable apparatus […]
Good discussion on the Tech and Marketing Law Blog here of Rodman v. Safeway Inc., 2014 WL 6984703 (N.D. Cal. Dec. 10, 2014), where the trial court upheld plaintiffs' contention that Safeway promised to charge in-store prices for products ordered online (even though, in actuality, that is not what it was actually charging) and refused […]
This must-read New York Times article tells the powerful cautionary tale of what happens when damage caps depress lawyers' incentives to take meritorious product-defect cases: life-threatening dangers persist, with deadly results. The public might have learned of the G.M. ignition-switch problem through litigation as early as 2007, but given caps on damages, the economics of […]