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Consumer Protection Laws Civil Monetary Penalty

McGuireWoods LLP

State AGs Step Up Enforcement: Recent Lessons from Privacy Law Enforcement in Connecticut and Nebraska

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In 2020, California was the first mover in state comprehensive privacy law legislation, a distinction it held for approximately three years before other states took similar action. Indeed, eighteen additional states have...more

Orrick, Herrington & Sutcliffe LLP

CFPB terminates consent order against mortgage servicer

On July 1, the CFPB announced that it terminated a consent order against a mortgage servicer after finding that the company had “fulfilled several obligations,” including payment of a $2 million civil money penalty and $3...more

Goodwin

NY Attorney General Announces $250,000 Settlement with Money Transfer Provider

Goodwin on

On June 16, 2025, the New York Attorney General announced it had entered into a stipulated final judgment to settle its suit against ​a non-bank money transfer provider over alleged violations of federal and state consumer...more

Orrick, Herrington & Sutcliffe LLP

CFPB proposes to eliminate ability to allocate civil money penalties to fund financial literacy programs

On June 18, the CFPB published a proposed rule in the Federal Register amending its 2013 rule implementing the CFPA provision establishing the Consumer Financial Civil Penalty Fund. The proposed rule rescinds aspects of the...more

Orrick, Herrington & Sutcliffe LLP

New York attorney general obtains $250K in CFPB’s dropped case

On June 16, the New York attorney general settled a civil action against a remittance provider in a case dropped by the CFPB earlier this year, which as previously covered by InfoBytes, left the State of New York as the sole...more

Sheppard Mullin Richter & Hampton LLP

CFPB Proposes to Eliminate Education Allocations from Civil Penalty Fund

On June 18, the CFPB published a proposed rule that would rescind its authority to use money from the Civil Penalty Fund for consumer education and financial literacy initiatives. The proposed changes would amend the CFPB’s...more

Orrick, Herrington & Sutcliffe LLP

CFPB reduces civil money penalty by nearly 98 percent against fintech

On May 15, the CFPB issued an amended consent order against a fintech company for alleged violations of various consumer financial protection laws. As previously covered by InfoBytes, the CFPB sued the fintech company in...more

McGuireWoods LLP

States May Not Obtain Civil Money Penalties Under the Consumer Financial Protection Act

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There has been much speculation that States will fill the void created by the Trump Administration’s drastic scaling back of the Consumer Financial Protection Bureau. Congress authorized both state attorneys general and state...more

Orrick, Herrington & Sutcliffe LLP

District court approves CFPB’s $43M penalty against company owner

On May 1, the U.S. District Court for the Northern District of Illinois approved the CFPB’s request for restitution and a civil monetary penalty against a defendant for violations of the CFPA and the Telemarketing Sales Rule....more

Orrick, Herrington & Sutcliffe LLP

FDIC orders state bank to pay $1.375B

On April 18, the FDIC announced that it amended its 2023 consent order against an insured state nonmember bank, as well as issued a new order for restitution and order to pay, concluding the bank recklessly engaged in unsafe...more

Davis Wright Tremaine LLP

Stay ADvised: 2025, Issue 7

New Suit Claims "Scientifically False" Pheromone Ads Are "Pure" False Advertising - "It's not myth. It's science." So claims Pure Instinct in its ads for pheromone perfumes. But a new class action lawsuit claims it's not...more

Alston & Bird

New York State Proposes Consumer Protection Reforms through FAIR Business Practices Act

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What Happened? On March 13, New York state legislators introduced new legislation called the Fostering Affordability and Integrity Through Reasonable (FAIR) Business Practices Act. The bill, supported by New York Attorney...more

Orrick, Herrington & Sutcliffe LLP

State attorneys general file second amicus brief challenging CFPB pause

On February 21, a group of 23 state attorneys general (AGs) filed an amicus brief in support of the union representing CFPB workers in the union’s request for a preliminary injunction challenging the recent efforts to halt...more

Morrison & Foerster LLP

CPSC’s 2024 Year in Review

In recent years, the Consumer Product Safety Commission (CPSC) has increased pressure on consumer product companies through various enforcement mechanisms. The increase in the frequency and amount of civil penalties sought by...more

Sheppard Mullin Richter & Hampton LLP

CFPB Orders Credit Reporting Agency to Pay $15 Million for Mishandling Consumer Disputes

On January 17, 2025, the CFPB issued a consent order against a large consumer reporting agency for failing to properly investigate consumer disputes concerning inaccurate information on consumers’ credit reports. The CFPB...more

Kelley Drye & Warren LLP

Massachusetts Secures Record Judgment Against Insurance Companies

On the brink of the new year, the Massachusetts Attorney General’s Office (MA AGO) secured a landmark $165 million judgment, including civil penalties and restitution, against three UnitedHealth insurance companies:...more

Hinch Newman LLP

Business Coaching Program Alert: FTC Proposes Changes to Biz Opp Rule to Deter Deceptive Earnings Claims – Republican...

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On January 13, 2025, the Federal Trade Commission announced that it is seeking comment on proposed changes to the Business Opportunity Rule and a proposed new Earnings Claim Rule. According to the FTC, the two, taken...more

BakerHostetler

Seventh Circuit Reminds District Court That Civil Penalty Factors Must All Be Considered

BakerHostetler on

As we anticipate the forthcoming changes at the FTC and what enforcement will look like, one area that is often overlooked is the award of civil penalties in FTC cases....more

Davies Ward Phillips & Vineberg LLP

Changes to Québec’s Consumer Protection Regime: Monetary Administrative Penalties and Increased Penal Fines

Significant changes to the Québec consumer protection regime came into effect earlier this year. The president of the Office de la protection du consommateur (OPC), Québec’s consumer protection regulator, can now impose...more

Ballard Spahr LLP

CFPB Adjusts Various Penalty Amounts Based on Inflation (UPDATED)

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The CFPB recently issued a rule to adjust maximum penalty amounts under various statutes that it administers. Included among the adjustments are the amounts for the three tiers of civil money penalties that the CFPB may...more

Cozen O'Connor

Frontier Required to Clean Up Hazardous Waste Disposal Practices in California

Cozen O'Connor on

California AG Rob Bonta has settled with telecommunications company Frontier California, Inc. to resolve allegations that its illegal disposal of and mismanagement of hazardous waste violated state hazardous waste control and...more

BakerHostetler

When Can the FTC Get $50,000 for a Consumer Review Snafu? Key Things to Know about the Rule on the Use of Consumer Reviews and...

BakerHostetler on

The Final Trade Regulation Rule on the Use of Consumer Reviews and Testimonials was issued yesterday. It becomes effective 60 days after the rule is published in the Federal Register, which has not happened yet so no clock is...more

Sheppard Mullin Richter & Hampton LLP

CFPB Pursues Enforcement Action Following HMDA Reporting Inaccuracies

On May 16, the CFPB filed a motion for summary judgement in the U.S. District Court in the Southern District of Florida seeking a $20 million civil penalty against a California-based mortgage provider for allegedly submitting...more

Orrick, Herrington & Sutcliffe LLP

Tennessee amends its Consumer Protection Act

Recently, the Governor of Tennessee signed into law HB 2711 (the “Act”) which amends, among other things, the state’s Consumer Protection Act. In particular, the Act establishes the factors that a court may consider when...more

Sheppard Mullin Richter & Hampton LLP

CFPB Brings String of Enforcement Actions to Round Out 2023

In December, the CFPB brought a series of three separate enforcement actions against several financial services companies alleging a range of violations of federal consumer protections laws....more

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