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Lenders Settlement

Ballard Spahr LLP

CFPB reaches settlement with FirstCash in connection with alleged MLA Violations

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The CFPB has reached a settlement in its lawsuit against FirstCash, Inc. and its 19 subsidiaries alleging violations of the Military Lending Act (MLA). The parties have jointly filed a stipulated final judgment and proposed...more

Mayer Brown

CFPB Settles First Action Under New Leadership: Current State of the CFPB and a Look Ahead

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The Consumer Financial Protection Bureau (“CFPB” or “Bureau”) has seen significant changes since President Donald Trump fired former Director Rohit Chopra in January 2025. Under Acting Director Russell Vought, the CFPB has...more

Ballard Spahr LLP

Massachusetts AG reaches settlement with student loan company, Earnest Operations LLC

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Massachusetts Attorney General Andrea Joy Campbell has reached a $2.5 million settlement with Earnest Operations LLC, a Delaware-based student loan company....more

Sheppard Mullin Richter & Hampton LLP

CFPB Orders Pawn Lender to Pay $9 Million for Alleged Military Lending Act Violations

On July 11, 2025, the Consumer Financial Protection Bureau (CFPB) announced a proposed $9 million settlement resolving its November 2021 lawsuit against a national pawn lender and its subsidiaries. The company and its...more

Goodwin

Judge Denies Joint Motion to Vacate CFPB Settlement with a Chicago-Based Non-Bank Lender

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An Illinois federal district court judge presiding over a revived redlining case denied a joint motion to vacate a 2024 voluntary settlement between the Consumer Financial Protection Bureau (CFPB) and a Chicago-based non-bank...more

Paul Hastings LLP

Disparate Impact Lives: Massachusetts Attacks AI in Lending

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On July 10, the Massachusetts attorney general announced a $2.5 million settlement with a Delaware-based student loan company to resolve allegations that the company’s lending practices, including the use of artificial...more

Goodwin

Massachusetts Attorney General Settles with Student Loan Lender for Unlawful Practices Related to the Use of AI

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This Thursday, July 10, Massachusetts Attorney General Andrea Joy Campbell announced a $2.5 million settlement with a company that offers education financing products based in Delaware. ...more

Ballard Spahr LLP

DOJ Seeks Early Termination of Lakeland Bank Redlining Consent Order

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The U.S. Department of Justice (DOJ) has filed a motion with a federal district court to terminate early the September 2022 consent order with Lakeland Bank (Lakeland) that settled allegations of redlining under the Fair...more

Sheppard Mullin Richter & Hampton LLP

CFPB and Pawn Store Operator to Settle MLA Suit

On May 30, the CFPB and a national pawn store operator filed a joint status report in the U.S. District Court for the Northern District of Texas announcing that they have reached an agreement to resolve a 2021 Bureau lawsuit...more

Sheppard Mullin Richter & Hampton LLP

CFPB Dismisses Two Actions Against Student Loan Trusts and Subprime Auto Lender 

The CFPB recently dropped two more lawsuits it brought under the Chopra administration—one involving a student loan securitization trust and the other regarding a subprime auto finance company. Both lawsuits included...more

McDermott Will & Schulte

CLOs and Material Nonpublic Information: Key Takeaways from the SEC’s Settlement with Sound Point

In this alert, we present the key lessons to be learned from the U.S. Securities and Exchange Commission’s (the SEC) settlement with Sound Point Capital Management, LP (Sound Point), and discuss whether a similar enforcement...more

Seward & Kissel LLP

Party On, Burning Rubber and Casual Relationship

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Tupperware cancels auction, agrees to lender takeover | Reuters - On Tuesday, bankrupt Tupperware Brands concurred to sell its company for $23.5 million in and over $63 million in debt relief to a group of lenders,...more

Seward & Kissel LLP

Red River Rivalry, Ethical Lapse, Containment Facility, and Affirmative Consent

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J&J talc opponents decry bankruptcy as "deja vu all over again" | Reuters - Johnson & Johnson's latest bankruptcy attempt faced immediate opposition from cancer victims' attorneys. They argued that the bankruptcy was a...more

Goodwin

Massachusetts Attorney General Settles Claims Against California-Based Financing Company for $625,000

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​On May 22, 2024,​ the Massachusetts Attorney General (MA AG) announced it entered into an Assurance of Discontinuance (AOD) with a California-based financing company resolving allegations of violations of the Massachusetts...more

Alston & Bird

Appraisal Bias Settlement: Potential Roadmap

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What Happened? The lender and consumers reached a settlement in an appraisal bias case, Nathan Connolly and Shani Mott v. Shane Lanham, 20/20 Valuations, LLC, and loanDepot.com, LLC, filed in Maryland District Court, that...more

Seward & Kissel LLP

Run-On Sentence, Searching for a Curo, For Pete’s Sake, and The Rite Stuff

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Sam Bankman-Fried Sentenced to 25 Years in Prison | CoinDesk - FTX founder and former CEO Sam Bankman-Fried has been sentenced to 25 years in prison after being convicted on seven fraud and conspiracy charges. According to...more

Cozen O'Connor

Minnesota to Island Mountain: Scale Down Interest-Rates and Collections

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Minnesota AG Keith Ellison reached a settlement with three online lenders operating jointly under Island Mountain Development Group to resolve allegations that the companies violated Minnesota and federal consumer-lending...more

Patton Sullivan Brodehl LLP

Guarantor Liability: Assignment of Note Doesn’t Automatically Assign Guaranty Too

Obligations reduced to a promissory note are often accompanied by a written guaranty. The law treats the guaranty as an independent obligation. A case recently decided by California’s First District Court of Appeal —...more

Seward & Kissel LLP

Taxing Solution, Settlement Smack Down, Involuntary Reaction, and Regulatory Risk

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Endo creditors seek to resolve U.S. government claims for $465 mln| Reuters - According to court documents filed last week, Endo and a group of the company’s lenders are offering up to $465 million to settle U.S. government...more

Troutman Pepper Locke

DOJ Announces Two More Multi-Million Dollar Redlining Settlements, States Two Dozen More Active Investigations Underway

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In the last three weeks, the U.S. Department of Justice (DOJ) reached two more settlements with lenders under its Combatting Redlining Initiative, which began in October 2021. On September 27, the DOJ announced that...more

Seward & Kissel LLP

Green Light for Yellow? No Christmas Miracle, Karma Chameleon, and MNK 22

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Apollo-Led Lenders Sell Yellow Loan to Citadel | Wall Street Journal - Apollo Global Management and other affiliated lenders have exited a $500 million loan with now bankrupt trucking company, Yellow. The loan was sold to...more

King & Spalding

The Texas Court of Appeals Reverses Lender/Investor’s Damages Award Against Lender

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On February 14, 2023, the Texas Court of Appeals reversed awards totaling $63 million entered against Credit Suisse after a jury trial and bench trial for Claymore Holdings, LLC, the assignee of a lender-investor. The case...more

Goodwin

U.S. Attorney's Office Settles False Claims Act Allegations with Paycheck Protection Program Lender

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On September 13, 2022, the U.S. Attorney’s Office (USAO) for the Southern District of Texas announced ​that it had reached a settlement with a bank that served as a lender under the Paycheck Protection Program (PPP) to...more

Dorsey & Whitney LLP

DOJ Announces First-In-The-Nation False Claims Act Settlement with PPP Lender

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​​​​​​​The government has been actively investigating and prosecuting Paycheck Protection Program (“PPP” or the “Program”) fraud ever since the Small Business Administration (“SBA”) rolled out the Program in the Spring of...more

Bass, Berry & Sims PLC

Government Announces First FCA Settlement with PPP Lender

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The Department of Justice (DOJ) announced on September 12, the first-ever False Claims Act (FCA) settlement with a Paycheck Protection Program (PPP) lender. Prosperity Bank, a Texas-based regional bank, agreed to pay...more

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