Second Circuit holds that individual owner liable for FDCPA violations of his debt collection…

The Second Circuit affirmed a decision by the US District Court for the Western District of New York finding the owners of several debt collection companies personally liable for the disgorgement of the money the companies received as a result of violating the Federal Trade Commission Act (“FTCA”) and the…

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California Supreme Court holds that a purchaser of real property at a foreclosure sale…

In Dr. Leevil, LLC v. Westlake Health Care Center, S241324 (Dec. 17, 2018) the California Supreme Court resolved a procedural question related to the timing of the notice that must precede an unlawful detainer action, where the action was not brought by the landlord, but rather by a mortgagee that…

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Seventh Circuit holds dunning letter not misleading by including validation notice on the second…

The Seventh Circuit in O’Boyle v. Real Time Resolutions, Inc., 910 F.3d 338, 341–48 (7th Cir. Dec. 7, 2018) affirmed a Wisconsin district court’s ruling that a letter which stated that important information was on the back of its first page, but the required validation notice was actually on the…

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Eleventh Circuit holds that debt is not “provided for” in the chapter 13 plan…

The Eleventh Circuit affirmed a Florida district court’s holding In re Dukes, 909 F.3d 1306 (11th Cir. Dec. 6, 2018), that a mortgage debt was not discharged under 11 U.S.C. § 1328(a) when the debt was paid outside of the chapter 13 plan because it was not “provided for” in…

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Seventh Circuit Explains Attorney’s Fees Do Not Satisfy the Requisite Actual Damage Element for…

In Moore v. Wells Fargo Bank, N.A., No. 18-1564 (7th Cir. Nov. 7, 2018), the mortgagor defaulted on two separate loan modifications. Following the second default the mortgagee filed for judicial foreclosure. After foreclosure judgment was entered and shortly before the foreclosure sale of the property was about to occur,…

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The Fifth Circuit affirms Texas district court’s decision to award successful plaintiff in an…

In Davis v. Credit Bureau of the South, 908 F.3d 972 (5th Cir. Nov. 16, 2018) the debtor alleged that a debt collector violated the FDCPA by falsely representing that it was a credit bureau when it had lost its credit bureau designation some years earlier. The district court entered…

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Ninth Circuit Revives Borrower’s Action For Equitable Enforcement of Recession Under TILA By Applying…

In Hoang v. Bank of America, N.A., No. 17-35993 (9th Cir. Dec 6, 2018), in connection with the refinance of the borrower’s mortgage, the originating bank failed to give the borrower a notice of the right to recession as required under Section 1635 of the federal Truth in Lending Act…

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Pennsylvania District Court rejects law firms defense to class certification in FDCPA actio

In Gibbons, v. Weltman, Weinberg & Reis Co., LPA, No. 17-1851 (E.D. Penn Oct. 31, 2018) a Pennsylvania District Court granted a consumer’s class certification in an FDCPA suit against a law firm alleging that debt-collection letters printed on the firm’s letterhead falsely implied that they were being sent by…

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GAO’s Report to Congress on Fintech Recommends Agencies Provide Clarification on Lenders’ Use of…

On December 19, 2018, the United States Government Accountability Office (“GAO”) issued a report to Congress focused on three segments of fintech lending industry that cover personal loans, small business lending and student loans (“Report”). For these segments, the Report (i) identifies trends in fintech lending and business models used by…

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Illinois Supreme Court holds that a suit on the note is the same as…

The Illinois Supreme Court held in First Midwest Bank v. Cobo, 2018 IL 123038 (November 29, 2018) that a lawsuit for breach of a promissory note asserts the same cause of action as a prior foreclosure complaint when that foreclosure complaint specifically requested a deficiency judgment based on the same…

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