Archive for December 2015

8th Cir. Upholds Summary Judgment for Investor in Loan Repurchase Action

The U.S. Court of Appeals for the Eighth Circuit recently affirmed summary judgment against the seller and originator of mortgage loans and in favor of the purchaser because the originator breached the purchase and sale agreement by refusing to cure or repurchase eight of the 11 loans. A copy of the opinion in CitiMortgage, Inc. v. Chicago

Read more →

Bankruptcy Court Holds TCPA Revocation of Consent Must Be ‘Express and Clear’

The U.S. Bankruptcy Court for the Middle District of Florida recently held that: 1)  A bankruptcy trustee was entitled to recover $1,000 in statutory damages on behalf of each of the husband and wife debtors against a loan servicer for violating the Florida Consumer Collection Practices Act (FCCPA) by contacting the debtors after they were

Read more →

1st Cir. Holds ‘Fairly Conducted’ Sale of Collateral Not Necessarily ‘Commercially Reasonable’

The U.S. Court of Appeals for the First Circuit recently held that a genuine dispute of material fact precluded summary judgment on the issue of whether the sale of collateral was “commercially reasonable,” even though there was no evidence that the sale was not “fairly conducted.” A copy of the opinion in Harley-Davidson Credit Corp. v.

Read more →

Missouri Federal Court Says ‘Benign’ Language on Envelope Does Not Violate FDCPA

The United States District Court for the Western District of Missouri recently granted a debt collector’s motion for judgment on the pleadings, holding an internal account number displayed on the envelope of a demand letter did not violate the Fair Debt Collection Practices Act (FDCPA) because it did not reveal the plaintiff was a debtor.

Read more →

11th Cir. Holds Florida Statute Prohibiting Fees to Pay by Credit Card Unconstitutional

The U.S. Court of Appeals for the Eleventh Circuit recently struck down Florida’s “anti-surcharge” statute, Fla. Stat. § 501.0117, holding that the Florida law prohibiting charging a fee to pay by credit card was an unconstitutional restriction of free speech. A copy of the opinion in Dana’s Railroad Supply, et al v. Attorney General, State of

Read more →

SD Fla Holds Borrowers of ‘Surrendered’ Property Have No Right to Contest Foreclosure

In a case addressing what it means to “surrender” property under the Bankruptcy Code, the U.S. District Court for the Southern District of Florida recently held that a Chapter 7 trustee’s abandonment of real property only restores legal title to the debtors as if no bankruptcy petition had been filed, and does not also give

Read more →

Credit Bureau Settles FCRA Class Action Alleging Reporting Errors

A credit reporting agency has settled a long-pending class action lawsuit in the U.S. District Court for the Eastern District of Virginia, agreeing to pay more than $3 million and remove from its consumer credit reports judgments entered in Virginia General District Court. The Fair Credit Reporting Act (FCRA) class action, Soutter v. Equifax Information

Read more →

7th Cir. Reverses Denial of Class Cert. in FDCPA ‘Time-Barred Debt’ Case

The U.S. Court of Appeals for the Seventh Circuit recently reversed a district court’s denial of class certification in a putative class action alleging that a debt collector violated the federal Fair Debt Collection Practices Act (FDCPA) by sending supposedly misleading letters to Illinois residents trying to collect time-barred debts. A copy of the opinion

Read more →

Congress Adds New Exception to GLBA Annual Privacy Act Notices

Section 75001 of the recently enacted Fixing America’s Surface Transportation (FAST) Act provides a new exception to the annual privacy notice requirement under the Gramm-Leach-Bliley Act (GLBA). The language of the provision is as follows: SEC. 75001. EXCEPTION TO ANNUAL PRIVACY NOTICE REQUIREMENT UNDER THE GRAMM-LEACH-BLILEY ACT. Section 503 of the Gramm-Leach-Bliley Act (15 U.S.C.

Read more →

FDCPA Lawsuit Tossed for Failure to Disclose Claim in Bankruptcy Petition

The U.S. District Court for the District of New Jersey recently dismissed a debtor’s claims for violations of the federal Fair Debt Collection Practices Act (FDCPA) and the New Jersey Truth in Consumer Contract Warranty and Notice Act (TCCWNA), holding the debtor’s failure to schedule his lawsuit as an asset of his bankruptcy estate deprived

Read more →

7th Circuit: No FDCPA Bona Fide Error for Intentional Conduct

Debt collectors seeking to avoid liability under the bona fide error exception of the federal Fair Debt Collection Practices Act (FDCPA) will not be excused from liability if the conduct at issue was intentionally undertaken. That is the ruling from the Seventh Circuit Court of Appeals in Leeb v. Nationwide Credit Corporation. Mark Leeb received a

Read more →

Florida Court Reverses Foreclosure as to Note With Undated Indorsement, Other Evidentiary Issues

The District Court of Appeals of the State of Florida, Fourth District, recently reversed final judgment of foreclosure in favor of a mortgagee for entry of judgment in favor of the mortgagors, where the mortgagee failed to prove that it came into possession of the note containing an undated, blank endorsement before the foreclosure was

Read more →