In a significant but unsurprising move, the CFPB announced today that it was rescinding a policy statement issued in January 2020 that sought to tether the Bureau’s “abusive” authority to certain limiting principles. The move signals that the Bureau is likely to interpret its authority to prevent “abusive acts and practices” under the Dodd-Frank Act
Chopra Navigates Questions and Predicts Priorities at Friendly CFPB Nomination Hearing
President Biden’s nominee to serve as CFPB Director, Rohit Chopra, today testified in front of the Senate Banking Committee about his potential regulatory and enforcement priorities as head of the consumer finance regulator. As we previously discussed, President Biden tapped Chopra, three years into his tenure as FTC Commissioner, to serve as Director
Ad Law Access Podcast – What to Expect in Consumer Financial Protection and FinTech in 2021
Often when people think about the Consumer Financial Protection Bureau (CFPB) they say to themselves, “well, I’m not a bank so that doesn’t really apply to me.” But consumer financial protection laws are actually much broader and cover all aspects of consumer financial products, any way that consumers bank, pay, or finance transactions and the
Biden Taps Rohit Chopra, Current FTC Commissioner and Vocal Proponent of Aggressive Enforcement, to Lead CFPB
Things are about to change dramatically at the CFPB. President-elect Joe Biden today nominated Rohit Chopra, a current commissioner at the Federal Trade Commission and long-time proponent of aggressive enforcement, to serve as director of the Consumer Financial Protection Bureau.
We knew that the incoming Biden administration would entail significant change on many fronts from
FTC Announces “Operation Income Illusion” to Crack Down on Deceptive Income Claims
The FTC today announced four new enforcement actions and one new settlement alleging deceptive income claims in violation of the FTC Act. The FTC noted that these actions are part of a broader initiative branded as “Operation Income Illusion,” which it described as a crackdown “against the operators of work-from-home and employment scams, pyramid schemes,
Illinois Court Dismisses Neora’s Declaratory Judgment Suit against FTC on Jurisdictional Grounds
Turns out the best defense may not be a good offense, at least when litigating against the FTC. The Northern District of Illinois yesterday rejected an attempt by multi-level marketer Neora, LLC (formerly Nerium) to obtain a declaratory judgment that the company did not operate as a pyramid scheme and that the FTC was not
Webinar Replay: Product and Earnings Claims in the Time of COVID-19
The replay of our recent webinar Product and Earnings Claims in the Time of COVID-19 is available here.
The FTC has recently sent warning letters to hundreds of companies for allegedly falsely implying that products can be used to treat, cure, mitigate, or prevent COVID-19. The FTC has also issued warning letters for implied
FTC Sends Warning Letters to Ten MLMs about COVID-related Product and Earnings Claims
Last week, the FTC sent warning letters to ten multi-level marketing companies alleging that the companies failed to stop their participants from making deceptive product and earnings claims related to COVID-19. The letters request that the companies report within 48 hours what actions they have taken to stop their distributors from claiming their products can
Ad Law Access Podcast: Price Gouging
As COVID-19 continues to dominant the news and the effects sweep across the country and globe, one of the important issues that directly affects companies and consumers alike is price gouging. In fact, the AGs in 32 states sent a letter to online retail platforms (Amazon, eBay, Craigslist and others) urging them to do more
States Place New Restrictions on Collection Efforts and Outbound Calls Amidst COVID-19 Pandemic
The COVID-19 pandemic continues to have far-reaching effects on businesses and consumers everywhere. While many states are taking broadly consistent approaches on certain issues (e.g., price gouging, non-essential business closures), one area where we’ve seen significant divergence involves regulation of collection efforts – both by first party creditors and debt collectors. In