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Posts tagged as “Sixth Circuit”

6th Circuit Rejects ‘Benign Language’ Exception in FDCPA Envelope Disclosure Claim

The U.S. Court of Appeals for the Sixth Circuit recently held that the plain language of 15 U.S.C. 1692f(8), a provision of the Fair Debt Collection Practices Act (FDCPA) regulating what may be shown on an envelope when a debt collector communicates with a consumer by mail, does not include a “benign language” exception.

6th Cir. Holds Lender Violated TILA’s ‘Ability to Repay’ Income Verification Rule

In an unpublished opinion, the U.S. Court of Appeals for the Sixth Circuit recently held that a mortgage lender’s reliance upon the borrower’s representations concerning the amount of his future spousal support and rental income without proper verifiable documentation were insufficient to satisfy the “ability to repay” income verification requirements arising under the federal Truth in Lending Act and its implementing regulation (“Regulation Z”).

6th Cir. Adopts Expansive Reading of TCPA’s Definition of ATDS, Joining 2nd and 9th Cirs.

The U.S. Court of Appeals for the Sixth Circuit recently affirmed entry of summary judgment in favor of plaintiffs alleging violations of the federal Telephone Consumer Protection Act for calls placed by their student loan servicer to their cell phones using an alleged automatic telephone dialing system (ATDS) after they revoked consent to receive such calls.

6th Cir. Holds Consumer Lacks Standing to Assert ‘Meaningful Involvement’ Claim, Not Every Technical Violation is Redressable

The U.S. Court of Appeals for the Sixth Circuit recently affirmed a district court’s finding that a consumer lacked standing to pursue a lawsuit alleging that collection notices sent by a law firm violated the FDCPA because no attorney with the firm conducted a meaningful review of his debts.

6th Cir. BAP Holds So-Called ‘910 Claims’ To Be Treated Like Other Allowed Secured Claims

The Bankruptcy Appellate Panel for the U.S. Court of Appeals for the Sixth Circuit (Sixth Circuit BAP) recently reversed a lower bankruptcy court’s ruling that rejected an objection to the confirmation of debtors’ chapter 13 plan asserted by the holder of a claim relating to vehicle financing incurred within 910 days of the bankruptcy petition (a 910 claim).

6th Cir. Holds Lender May Recover Against Property Held by Trust When Trust Is Guarantor

The U.S. Court of Appeals for the Sixth Circuit recently affirmed a trial court’s ruling that, at least under Michigan law, a lender could recover against a living trust that guaranteed a loan from the property held by the trust. A copy of the opinion in JPMorgan Chase Bank, N.A. v. Winget, et al is available at:  Link to Opinion. A closely-held company obtained a loan of almost a half-billion dollars from a group of banks. The company’s principal agreed to guarantee the loan, both individually and on behalf of his living trust. The borrower defaulted and the lender sued the…

6th Cir. Holds FCRA Preempts State Common Law Claims, Joins 2nd and 7th Cirs.

The U.S. Court of Appeals for the Sixth Circuit recently affirmed a judgment in favor of the furnisher of credit information in an action filed under the federal Fair Credit Reporting Act and other claims under state common law. In so ruling, the Sixth Circuit held that the FCRA’s preemption provisions apply to state common law claims concerning a furnisher’s reporting obligations, joining similar rulings by the Seventh and Second Circuits. A copy of the opinion in Scott v. First Southern National Bank is available at:  Link to Opinion. The plaintiffs owned several investment properties and obtained a $300,000 commercial…

6th Cir. Holds Non-Borrower Mortgagor Could Not Sue Under RESPA

The U.S. Court of Appeals for the Sixth Circuit recently affirmed dismissal of a homeowner’s claims under the federal Real Estate Settlement Procedures Act (RESPA), where the homeowner plaintiff only signed the mortgage, but not the note evidencing the loan. The Sixth Circuit’s holding reinforced that a plaintiff who does not have personal obligations under the loan agreement is not a “borrower,” and thus cannot assert claims under RESPA, which extends causes of action only to “borrowers.” A copy of the opinion in Keen v. Helson is available at: Link to Opinion. Husband and wife borrowers took out a loan secured by…