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Connecticut Supreme Court Clarifies Attorney Exemption in Debt Negotiation Enforcement Action

On April 8, 2025, the Connecticut Supreme Court, in Commonwealth Servicing Group, LLC v. Department of Banking, issued an opinion that only attorneys and law firms are permitted to claim the attorney exemption from the...more

North Carolina Legislative Alert: House Representatives Propose Amendments to Expand Debt Adjusting Prohibitions to Ban Debt...

Just a week from North Carlina Senators proposing Senate Bill 491, which seeks to create an act to license, examine, and regulate debt settlement services, North Carolina House Representatives Howard (R), Setzer (R), B. Jones...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

TCPA Compliance Alert: FCC’s New Opt-Out Rule Takes Effect April 11, 2025

The Federal Communications Commission’s (“FCC” or the “Commission”) recently adopted a new Opt-Out Rule under the Telephone Consumer Protection Act (“TCPA”), which will take effect on April 11, 2025. Currently, the TCPA...more

New York Attorney General Advances New UDAP Legislation Paving the Way for Stronger State Consumer Protection in Wake of CFPB...

On Thursday, March 13, 2025, New York Attorney General (“NYAG”) Letitia James advanced newly proposed legislation to better protect consumers and small businesses from unfair, deceptive, and abusive practices (“UDAP”). This...more

New York Attorney General and Other State AGs Ready to Take Lead from CFPB in Debt Relief Enforcement Action

On February 28, 2025, the Consumer Financial Protection Bureau (“CFPB” or the “Bureau”) filed a letter with the U.S. District Court for the Western District of New York in a case brought by the CFPB and seven state attorneys...more

Significant Changes at the CFPB under the Second Trump Administration

The Consumer Financial Protection Bureau (“CFPB” or the “Bureau”) has recently made headlines in the past month under the Trump administration due to an extensive freeze on its core functions, headquarters closure, the...more

U.S. Treasury Department Announces Suspension of BOI Reporting Penalties for U.S. Parties

On February 19, 2025, the Financial Crimes Enforcement Network (“FinCEN”) announced that most reporting companies under the Corporate Transparency Act (“CTA”) must now submit their Beneficial Ownership Information (“BOI”)...more

California Proposes Legislative Amendments to Expand Debt Settlement Regulation to Certain Business Debt Settlement Providers

On February 24, 2025, California Assemblymember Avelino Valencia (D-Anaheim) introduced Assembly Bill (AB) 1166, which seeks to amend and expand the state’s existing Fair Debt Settlement Practices Act (the “Act”) to include...more

BOI Reporting Back in Effect: Compliance Required by March 21, 2025

On February 19, 2025, the Financial Crimes Enforcement Network (FinCEN) announced that most reporting companies under the Corporate Transparency Act (CTA) must now submit their Beneficial Ownership Information (BOI) reports...more

New York and Washington Propose Legislative Amendments to Regulate Debt Settlement Companies

Washington - On January 24, 2025, Washington Representatives Reeves (D), Corry (R), and Walen (D) introduced House Bill (HB) 1599, which seeks to amend the state’s existing debt adjusting act. Currently, the Washington law...more

Colorado Regulatory Alert: Amendments to Colorado Debt-Management Services Act Affecting Permissible Fees

The Colorado Uniform Debt Management Services Act (DMSA) regulates companies that offer and provide debt management services to Colorado residents. Under Colorado law, debt management services providers include providers of...more

CA DFPI Approves Third Set of Proposed Regulations for the Registration of Debt Settlement Companies and Other Providers

On October 11, 2024, the California Department of Financial Protection and Innovation (DFPI) approved regulations submitted to the California Office of Administrative Law (OAL) under its authority granted by the California...more

New Rule Issued by FTC Focuses on Fake and AI-Generated Reviews, Imposes Heavy Civil Penalties

The Federal Trade Commission (FTC) issued a new Final Rule (the “Rule”) on Wednesday, August 14, 2024, targeting unfair and deceptive acts or practices specifically related to consumer reviews and testimonials, allowing the...more

Colorado Bankruptcy Trustees Target Debt Settlement Service Providers with Ambitious Interpretation of Statutory Damages

Colorado bankruptcy trustees have recently been increasing their focus on debt settlement companies and attorneys alleged to be performing services in violation of the Colorado Uniform Debt-Management Services Act (“CUDMSA”...more

Innovating with Caution: New York's Ethical Guidelines for Lawyers Investing in ABS

The Association of the Bar of the City of New York (“NY City Bar”), through its Committee on Professional Ethics (the “Committee”), has unveiled Formal Opinion 2024-4 (the “Opinion”), addressing the nuanced and evolving...more

Mid-Year TCPA Roundup: Navigating Recent Legislative and Litigation Developments

The Telephone Consumer Protection Act (TCPA) landscape continues to evolve as new legislation is implemented and courts across various jurisdictions grapple with complex issues regarding standing, agency, and consent. This...more

U.S. Supreme Court Reins in Federal Agency Powers

In two landmark decisions during the last week of June 2024, SEC v. Jarkesy et al. (“Jarkesy”) and Loper Bright Enterprises et al. v. Raimondo (“Loper”), the Supreme Court has shown its intent to intensify its scrutiny over...more

2nd Circuit Narrowly Interprets TCPA: Huge Win for the Defense Bar

On May 15, 2024, the 2nd Circuit Court of Appeals dismissed a class action lawsuit against Subway for alleged Telephone Consumer Protection Act (“TCPA”) violations. See Soliman v. Subway Franchisee Advert. Fund Tr., LTD. The...more

FTC Bans For-Profit Non-Competes: Surprisingly Bold Move in an Election Year

The recent Federal Trade Commission (FTC) vote to ban most non-competes has unveiled a surprisingly bold agenda less than six months out from a U.S. presential election. The FTC’s 3-2 vote was down party lines, with Democrats...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

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