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Attorney Fee Sharing Prohibited? California Bills Take Aim at ABS and Consumer Legal Funding

The California Legislature is moving forward with two bills that would meaningfully reshape the boundaries of consumer legal funding and legal advertising practices in the state. Assembly Bill 931 and Senate Bill 37, while...more

FTC Targets Deceptive Debt Relief Operation for Misleading Consumers

In a recent enforcement action highlighting its ongoing scrutiny of deceptive debt relief schemes, the Federal Trade Commission (“FTC”) has shut down an operation accused of falsely representing affiliations with government...more

North Carolina Legislative Alert: Lawmakers Propose Act to License, Examine, and Regulate Debt Settlement Services

On March 25, 2025, North Carolina Senators Johnson (R), Overcash (R), and Jackson (R) as primary sponsors introduced Senate Bill 491 (“S.B. 491” or the “Bill”), which seeks to license, examine, and regulate debt settlement...more

Federal Court Clarifies Narrow Face-to-Face Exemption to TSR Advance Fee Prohibition, Immediately Bans Defendants from Charging or...

On March 4, 2024, a federal trial court in New York immediately banned a slew of debt relief service providers from charging and/or collecting any advance fees for debt relief services, finding that the defendant’s initial...more

FTC Files Proposed Orders to Ban Student Debt Relief Companies for Illegal Junk Fees and Upfront Fees

On February 6, 2024, the Federal Trade Commission (“FTC”) filed two proposed stipulated orders with a California federal court to permanently ban student debt relief companies as well as their individual operators. The...more

CFPB and State AGs Prosecute Debt Relief Companies and Law Firms

In recent weeks, we have seen an increase in prosecution by the Consumer Financial Protection Bureau (“CFPB”) and state attorneys general against debt relief companies and law firms. Additionally, the focus on these debt...more

Junk Fee Déjà Vu: CFPB Hits Bank of America with Huge $30 Million Penalty for Allegedly Engaging in Deceptive Acts and Practices

On July 11, 2023, the Consumer Financial Protection Bureau (CFPB) issued a consent order against Bank of America (BoA) based on the CFPB’s findings that BoA had engaged in unfair and deceptive trade practices. This consent...more

California’s DFPI Cracks Down on Student Debt Relief Scams

Recent Consent Order Issued by the DFPI Against Student Loan Relief Company - On February 28, 2023, the California Department of Financial Protection and Innovation (DFPI) announced that it has entered into a Consent Order...more

CFPB Proposed New Rule to Establish Public Registry of “Take It Or Leave It” Contract Terms and Conditions

On January 11, 2023, the Consumer Financial Protection Bureau (CFPB) proposed a new rule to apparently shed light on the dark corners of the financial industry. The proposed rule would create a public registry of the fine...more

NYDFS Issues Proposed Rule Establishing Process to Assess Operating Costs for Virtual Currency Businesses Licensed in New York

On December 1, 2022, the New York Department of Financial Services (NYDFS) issued a press release regarding a proposed regulation that details how licensed virtual currency businesses would be assessed for supervision and...more

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