With the hope of finally addressing the uncertainty created by the U.S. Second Circuit Court of Appeal’s holding in Madden v. Midland Funding,1 the Office of the Comptroller of the Currency (OCC) and the Federal Deposit...more
12/19/2019
/ Assignments ,
Consumer Credit Protection ,
FDIC ,
Financial Regulatory Agencies ,
Financial Services Industry ,
Interest Payments ,
Loan Origination Funds ,
Madden v Midland Funding ,
National Bank Act ,
Non-Bank Lenders ,
OCC ,
Partnership Agreements ,
Preemption ,
Proposed Rules ,
Public Comment ,
Usury
The Federal Reserve Board (FRB) recently issued a proposed rule that would codify and clarify when a company is presumed to have a controlling influence over the management and policies of a second company (Proposed...more
7/3/2019
/ Asset Management ,
Bank Holding Company Act ,
Banks ,
Board of Directors ,
CBCA ,
Controlling Influence Test ,
Controlling Stockholders ,
Federal Reserve ,
HOLA ,
Investment Funds ,
Investors ,
Non-Controlling Interests ,
Private Equity ,
Proposed Amendments ,
Proxy Contests ,
Public Comment ,
Voting Control Test ,
Voting Shares
President Trump on May 21, 2018 signed a Joint Resolution passed by Congress that disapproved the Consumer Financial Protection Bureau’s March 21, 2013 Bulletin on Indirect Auto Lending and Compliance with the Equal Credit...more
The Comptroller of the Currency, Thomas Curry, announced on December 2, 2016, that the Office of the Comptroller of the Currency (OCC) intends to move forward with issuing limited purpose national bank charters to financial...more
Campaign promises rarely turn into specific actions, but when they do, they are necessarily impacted by the dynamics of the legislative process. History suggests, however, that the policies of candidates can be a predictor of...more
10/12/2016
/ Acquisitions ,
Banks ,
Consumer Financial Protection Bureau (CFPB) ,
Dodd-Frank ,
FDIC ,
Federal Reserve ,
Financial Institutions ,
Financial Regulatory Reform ,
FSOC ,
Hillary Clinton ,
Industry Consolidation ,
Liquidity ,
Mergers ,
Mortgages ,
OCC ,
Policy Terms ,
Presidential Elections ,
Receivership ,
SIFIs ,
Too Big to Fail ,
Trump Administration ,
Volcker Rule
In earlier client OnPoints, we have provided a comprehensive review of recent developments in the U.S. affecting the marketplace lending industry, including the potentially far-reaching Madden v. Midland Funding, LLC case...more
7/22/2016
/ Banking Sector ,
Borrowers ,
Comptroller ,
Debt Buyers ,
Interest Rates ,
Lenders ,
Madden v Midland Funding ,
National Bank Act ,
Online Marketplace Lending ,
Petition for Writ of Certiorari ,
Preemption ,
Solicitor General ,
Usury
Many private equity, hedge and mutual funds constantly have to confront the complex control rules that may impact even the smallest of investments in banks or bank holding companies (BHCs). The issue may be as simple as...more
7/5/2016
/ Activist Hedge Funds ,
Bank Holding Company ,
Banks ,
Board of Directors ,
Controlling Stockholders ,
Financial Services Industry ,
FRB ,
Fund Managers ,
Hedge Funds ,
Investment Funds ,
Mutual Funds ,
Popular ,
Private Equity ,
Proxy Contests ,
Registered Investment Companies (RICs)
Six U.S. federal agencies in late April and May revised and re-proposed rules that were originally proposed in 2011, to govern the incentive compensation practices at financial institutions with consolidated assets of at...more
Marketplace lending in the U.S. continues to evolve at a rapid pace as a result of legal and regulatory developments and market forces. In particular:
- The Consumer Financial Protection Bureau recently ramped up its...more
The U.S. Federal Reserve Board (FRB) has become sensitized to safety and soundness concerns relating to shareholder protection arrangements. These arrangements are generally designed to protect existing shareholders of bank...more
Recently, two courts rendered decisions that have implications for the marketplace lending industry regarding the application of state usury and licensing laws to marketplace lenders. Concurrently, federal and state...more
In an interesting and unusual development, the Treasury Department has issued a notice seeking public input on the online marketplace lending business for small businesses and consumers (“Notice”), setting forth 14 questions...more
In a case closely watched by the lending industry, on August 12, 2015, the U.S. Second Circuit Court of Appeals denied a request by Midland Funding, LLC (Midland Funding) to rehear a case decided in May (Madden v. Midland...more
As the general July 21, 2015 deadline approached to conform with the implementing regulations (Final Rules) for the Volcker Rule, a key issue remained with respect to the sponsoring, organizing and seeding of investment...more
7/29/2015
/ Banks ,
Covered Funds ,
Final Rules ,
Financial Institutions ,
Foreign Investment ,
Investment Companies ,
Investment Company Act of 1940 ,
Proprietary Trading ,
Public Funds ,
Registered Funds ,
Volcker Rule
The Federal Reserve Board (Board) recently adopted final rules representing the most significant change in U.S. regulation of foreign banking organizations (FBOs) since the International Banking Act of 1978. Perhaps most...more
The Volcker Rule (“Volcker Rule” or “Rule”) is intended to limit risks to the financial system that Congress believes may be created by (i) proprietary trading operations of insured depository institutions, foreign banking...more
In This Issue:
- UK: New Regulators; New Powers
- So You Want to be a U.S. Mutual Fund Manager
- The New German Rules on High Frequency Trading
- Marketing and Distributing Your Fund in the Middle East:...more
The Board of Governors of the Federal Reserve System (“Board”) in December 2012 issued a proposed rule under the Dodd-Frank Act (“DFA”) for the enhanced supervision of foreign banking organizations (“FBOs”) and any foreign...more
7/8/2013
/ Bank Holding Company ,
Banks ,
Board of Directors ,
Business Assets ,
Capital Markets ,
Compliance ,
Debt ,
Dodd-Frank ,
Federal Reserve ,
Financial Institutions ,
Foreign Banks ,
Nonbank Firms ,
Private Equity ,
Risk Management ,
Supervision
While several foreign banking organizations (“FBOs”) were restructuring their U.S. presence to reduce the impact of U.S. regulation, the Board of Governors of the Federal Reserve System (“Board”) recently countered with...more