Bridging the Great Divide: Collaboration Considerations for Banks and Marketplace Lenders

Marketplace lending has grown dramatically over the last several years, but it still remains a nascent industry.  As it continues to expand its reach, players in the industry and the traditional banking/investment sector are discovering the mutual benefits of cooperation.  While marketplace lending often has been heralded as a disruptor of traditional banking, industry participants are being presented with opportunities to collaborate with banking institutions as the industry matures.

Partnering with banking institutions provides access to valuable sources of capital, but it also raises regulatory considerations that marketplace lenders must navigate.  In addition, banking and consumer-protection regulators are assessing the marketplace-lending industry—and the effect of its partnerships with and sales to traditional banks and investment funds.  The Treasury Department, the Federal Deposit Insurance Corporation (“FDIC”), the Office of the Comptroller of the Currency (“OCC”), and the Consumer Financial Protection Bureau (“CFPB”) each have indicated that they intend to step up scrutiny of the marketplace lending industry.  Even the Department of Justice (“DOJ”) has waded into the fray, issuing a federal grand jury subpoena to one of the largest marketplace-lending platforms in the world.  This alert discusses some of the compliance challenges foremost on the minds of agencies overseeing marketplace lending, and the response of the industry through the launch of the Marketplace Lending Association.

Overview of Regulatory Considerations
Marketplace lending presents both challenges and opportunities, as does any emerging industry.  Due to the industry’s success in providing a new model for getting loans into the hands of financially underserved populations of consumers and small businesses, it has grown to the point where significant regulatory oversight is inevitable.  However, to date, industry oversight remains a relative patchwork of efforts by different agencies—federal and state—acting either directly or indirectly.  This oversight has the potential to be a significant benefit to the industry, providing the kind of certainty and legitimacy necessary to access new sources of capital.  However, it also requires planning on the part of individual platforms to ensure the embrace of the responsibilities this oversight entails.

Marketplace lending impacts regulatory policy in several areas, including consumer-protection laws applicable to all consumer loans, the regulation of securities backed by these loans, and—indirectly—the supervision of major financial institutions partnering with or purchasing from marketplace lending platforms.  Agencies enjoying at least some degree of direct regulatory authority over marketplace lenders include the CFPB, the Federal Trade Commission, the Securities and Exchange Commission, and various state regulators, such as the California Department of Business Oversight.  In addition, prudential banking regulators (like the FDIC, the OCC, and the Federal Reserve Board) indirectly oversee marketplace lenders via their oversight of financial institutions that partner with marketplace lenders.  This at times indirect and relatively patchwork financial regulatory framework is an imperfect fit for an industry based on a new tech-based business model.

Current Issues in Marketplace Lending Regulation
To date, various issues regarding the regulation of marketplace lending remain unresolved.  For instance, differing levels of regulation between loan originators and loan purchasers could create a situation in which nonbank lenders could originate loans free of certain regulatory constraints, such as anti-discrimination regulations and usury limits, and sell them to purchasers (including banks) that would be free of constraints with which they might otherwise have had to comply.  The following is a nonexhaustive list of outstanding legal and regulatory concerns for the industry.

Anti-Discrimination Provisions
Secondary market purchasers are not subject to anti-redlining laws, which prohibit banks from refusing to lend in certain localities based on residents’ race or ethnicity.  Marketplace lending raises a concern that a bank effectively could do an end-run around anti-redlining laws by avoiding purchasing loans from certain areas.  The Community Reinvestment Act (12 U.S.C. § 2901) (“CRA”) may raise analogous issues because marketplace lenders, which have no physical presence or deposits, are not subject to any CRA requirements or incentives to lend locally to lower-income or diverse populations.  Strategic use of data by marketplace-lending platforms, such as targeting loans to certain ZIP codes, may exacerbate these concerns. 

On the other hand, the marketplace-lending model and the ability of marketplace lenders to make credit available to customers that banks cannot acquire by themselves in a cost-effective way can also make FinTech a solution that helps expand lending under the CRA, as demonstrated by one megabank’s arrangement with a large marketplace lender in 2015 to purchase loans to help it satisfy its obligations under the CRA. [1]  Additionally, some marketplace lenders are filling the gaps to serve low-income, unbanked, migrant, foreign-student, or upstart-entrepreneurial populations by creating platforms specifically designed to reach and evaluate people without typical creditworthiness indicators or scores.

Prudential Regulators
Banking regulations can apply to loans originated by marketplace lenders in several ways.  The FDIC requires insured depository institutions that acquire loans from marketplace lenders to perform the same level of due diligence on marketplace loans they acquire as if they had originated the loans themselves. [2]  Marketplace lenders that provide white-label services to banks are subject to the same diligence to which bank vendors are subject, possibly enhanced to the extent borrowers access the marketplace-lending platform through the bank’s own website.  Understanding these obligations, banks are likely to monitor their marketplace-lending partners and insist upon a high level of diligence in their business practices.  Given that marketplace lenders are obligated to perform the diligence functions associated with banks (if not already independently obligated to do so), their ability to internalize and effectively carry out these functions will be a key test for the industry moving forward. 

State Usury Limits
Another area of concern is that some online lenders have borrowed the “rent-a-charter” model from the payday-lending industry to sidestep state usury laws under federal pre-emption doctrines.  Marketplace lenders and others have to a significant degree relied upon the bank-partnership model in loan originations and acquisitions to obtain federal preemption and apply rates above state usury limits.  This business model was called into doubt by the Second Circuit Court of Appeals’ decision last year in Madden v. Midland Funding, where the court held that a debt collector, which had bought a national bank’s charged-off accounts, could not rely on federal National Bank Act preemption to avoid liability under state usury laws because the debt collector was not a national bank, a subsidiary or agent of a national bank, or “otherwise acting on behalf of a national bank.” [3]  This June, the U.S. Supreme Court decided not to hear the case, ensuring that the uncertainty surrounding this practice will persist. [4]

The increase in relationships between chartered banks and third parties offering loan-origination services raises the question of whether and how much prudential regulation should apply to nonbank marketplace lenders.  There are many ways that relationships may manifest.  At least two large marketplace lenders have signed partnership agreements with consortiums of community banks to originate loans to those banks’ customers.  Another marketplace lender currently has a relationship with a megabank to service the megabank’s small-business customers.  These relationships raise the question as to whether a marketplace lender should obtain a charter—either under federal or state law—as the marketplace lender will directly be under the authority of additional prudential regulators, which already indirectly reach their activities through the partner banks.

Online Platforms as Chartered Banks
The increasingly close relationship between banks and marketplace-lending platforms, as well as the uncertainty surrounding the “rent-a-charter” model to avoid state usury limits described above, have led to speculation that marketplace lenders may ultimately obtain bank charters.  A fundamental issue is whether the equity and institutional investment markets will provide a stable long-term source of funding for the industry.  This issue has garnered attention in recent months as leading marketplace-lending platforms have experienced steep declines in their stock prices and as questions have been raised about how lending platforms interact with fund investors and about weak secondary-market trading of asset-backed securities.  The question may acquire renewed urgency in light of the governance issues at a leading marketplace lender that recently made headlines, along with its disclosure that the DOJ is now investigating. [5]

An important prudential regulatory concern with acquisitions of bank charters by marketplace lenders is a desire to avoid making the marketplace-lending industry an attractive supplier of brokered deposits, which are an unstable source of capital and may be particularly risky where a bank has inadequate anti-money-laundering controls or is undercapitalized.  Regulators also anticipate grappling with the activities of many lending platforms that may be incompatible with partner banks that have charters limiting their activities to those activities that are considered “incidental to the business of banking”—typically insurance and securities work.  The edgy innovations of marketplace-lending platforms that use technology in creative ways to marry finance with social media offerings are a particular challenge in this regard.

Grappling with Regulatory Challenges
On May 9, 2016, a leading marketplace-lending platform and industry advocate made the surprise announcement that $22 million in subprime loans sold in March and April of this year to a single investor, which went against the investor’s expressed terms. [6]  Still more damaging, certain staff members, including the former CEO, allegedly were less than forthcoming during the review process.  This news naturally hurt investor confidence in both the specific business entity at issue and in the marketplace lending industry as a whole.  Indeed, two major institutional investors reportedly elected to back out of the market. [7]

Lenders, investors, and regulators have recognized marketplace lending’s risks and are engaged in finding solutions.  The Treasury Department’s recent white paper highlights innovative data analysis as a business efficiency that nonetheless must be monitored for disparate impacts. [8]  Similarly, the ability of marketplace lending to reach new, unbanked consumers is weighed against the caution to be exercised by a nascent industry that has not yet endured a complete credit cycle where economic conditions have deteriorated akin to the global financial crisis in 2007.  Both a new industry group (the Marketplace Lending Association) and the Treasury Department agree on the need for transparency, robust compliance controls, and ongoing risk management.  It is perhaps in these areas where we will see coordination between both industry and regulators (all of them) in an effort to standardize goals and best practices.

LendIt USA 2016
The regulatory environment for online lending was an area of focus at LendIt USA 2016, a leading industry conference that took place in San Francisco on April 11 and 12 of this year.  In personal remarks delivered at the conference, the president and CEO of the San Francisco Federal Reserve, John C. Williams, struck a cautiously optimistic tone about marketplace lending. [9]  First, while he noted that the role of regulators is not to stifle innovation that expands the availability of credit, he expressed a concern about regulatory arbitrage opportunities hidden in the relationship between FinTech and fair-lending protections and the need to prevent unintended consequences.  Second, he discussed concerns that certain aspects of FinTech, such as anonymity and access to digital currencies, could make terrorist and criminal activity even easier.  Third, he noted that the safety and soundness of the industry is an increasing concern, proportional to marketplace lending’s increasing market share.  Finally, he noted that “it’s important that we have a level playing field, regardless of how institutions prefer to describe themselves or what kind of charter they hold.”

Other discussions of regulation at the LendIt USA 2016 conference included thought-provoking comments by the general counsels of Lending Club and SoFi on the extent of the convergence between marketplace-lending regulation and prudential regulation.  Additionally, the conference had many well-attended panels on a variety of regulatory topics that addressed consumer protection, prudential regulation, and systemic considerations, such as anti-money-laundering trends, terrorism prevention, and sanctions compliance.  Despite the troubles the industry has faced recently, the conference served as a testament to the creativity and determination of market participants to build a framework that works for lenders, investors, and the public.

Industry Response:  The Marketplace Lending Association
A significant industry announcement was the formation of the Marketplace Lending Association (“MLA”).  This U.S. nonprofit membership organization was created to promote responsible business practices and sound public policy to benefit borrowers and investors.  The MLA was launched by three of the leading online marketplace lenders on April 6, 2016. [10]  The MLA has notable membership restrictions, including:

  • a bar on payday lenders;
  • significant revenue requirements; and
  • a requirement that 75 percent of loans be funded by third-party investors.

The MLA’s decision to adopt these membership restrictions is significant.  These rules may consolidate the influence of the major players—or overly restrict MLA access by start-ups and ultimately reduce the association’s influence when it may be needed most.

Perhaps the most significant immediate consequence of the formation of the MLA is its six-page list of “Marketplace Lending Operating Standards” (the “MLA Standards”), which all members must commit to follow.  The goal is for the MLA Standards to set the basis for best practices across the entire industry, though potential MLA review and enforcement mechanisms (if any) against any nonconforming members remain unclear.  The MLA Standards therefore provide useful insight into the practices and risks that industry leaders consider most crucial to promote the integrity, growth, and stability of the industry.
The new MLA Standards have five main components, each discussed here in order:

  • Investor Transparency and Fairness – providing investors with highly transparent data and fair access to loans within the marketplace investment programs they participate in, with policies to avoid conflicts of interest and ensure all categories of investors are treated fairly.
  • Responsible Lending – providing access to responsible, borrower‐friendly loan products on a nondiscriminatory basis and with policies and procedures that are designed to protect the rights of borrowers in the collections process.
  • Safety and Soundness – maintaining strong internal policies that ensure their reliability for the benefit of borrowers and investors alike, including requirements for operating liquidity and contingency plans, as well as designating a backup loan servicer should the lender’s platform cease functioning, similar to the “living will” requirements the Dodd-Frank Act imposes on systemically important banks. 
  • Governance and Controls – developing and maintaining strong internal controls that ensure compliance with laws, as well as the integrity of investment programs and  financial transactions, including processes to address complaints by investors regulator and—addressing an issue that is considered important by the CFPB—maintaining a compliance framework for responding to complaints by investors or borrowers.
  • Risk Management – maintaining sophisticated risk-management techniques roughly equivalent to those employed by traditional banks in areas such as anti‐money- laundering compliance, monitoring for terrorism financing, complying with government sanctions programs by monitoring watch lists (e.g., the Office of Foreign Assets Control’s Specially Designated Nationals List), and implementing data-protection and privacy standards.  Many of these topics are principally responsive to prudential regulation, but the CFPB has also recently focused on data protection and privacy under its authority to regulate unfair, deceptive, or abusive acts or practices.

It will be interesting to see how the MLA Standards inform the development of marketplace lending in the European Union, where the European Commission through its Capital Markets Union proposal seeks to expand the availability of nonbank financing, particularly for small- and medium-sized enterprises. [11]  K&L Gates is closely following these developments and working to influence policy and regulatory developments in this area for our clients on both sides of the Atlantic.

Moving Forward
The MLA Standards appear to recognize the reality that, as marketplace lending takes up an ever-increasing share of the U.S. loan market, the industry will be increasingly scrutinized by regulators for potential systemic risk.  Taken together, the MLA Standards and the launch of the MLA suggest that the industry is embracing the transition to the mainstream of the financial marketplace, including the regulatory and legal responsibilities that come with it.  If the MLA Standards prove influential among major industry players, they could serve as a useful tool towards the MLA’s stated goal of “supporting the responsible growth of marketplace lending, fostering innovation in financial technology, and encouraging sound public policy.” [12]

Nonetheless, regardless of the MLA’s launch, regulators will be increasingly looking to apply the existing regulatory framework to marketplace lenders and developing new regulations that target the unique aspects of marketplace lending.  The lending platforms that thrive in this environment are likely to be those that embrace the capital and access this transition to the mainstream brings, as well as the accompanying responsibilities.


[2] FIL-49-2015 November 6, 2015 (FDIC).

[4] This outcome was favored by the Obama Administration, which—after being asked for its thoughts by the Court—asked the Court to deny certiorari, though indicating that the Second Circuit decision indeed was erroneous.

[10] The founding members of the MLA are Funding Circle, LendingClub, and Prosper.

[11] For an overview of the European Commission’s proposed plans, see


DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© K&L Gates LLP | Attorney Advertising

Written by:

K&L Gates LLP

K&L Gates LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide

JD Supra Privacy Policy

Updated: May 25, 2018:

JD Supra is a legal publishing service that connects experts and their content with broader audiences of professionals, journalists and associations.

This Privacy Policy describes how JD Supra, LLC ("JD Supra" or "we," "us," or "our") collects, uses and shares personal data collected from visitors to our website (located at (our "Website") who view only publicly-available content as well as subscribers to our services (such as our email digests or author tools)(our "Services"). By using our Website and registering for one of our Services, you are agreeing to the terms of this Privacy Policy.

Please note that if you subscribe to one of our Services, you can make choices about how we collect, use and share your information through our Privacy Center under the "My Account" dashboard (available if you are logged into your JD Supra account).

Collection of Information

Registration Information. When you register with JD Supra for our Website and Services, either as an author or as a subscriber, you will be asked to provide identifying information to create your JD Supra account ("Registration Data"), such as your:

  • Email
  • First Name
  • Last Name
  • Company Name
  • Company Industry
  • Title
  • Country

Other Information: We also collect other information you may voluntarily provide. This may include content you provide for publication. We may also receive your communications with others through our Website and Services (such as contacting an author through our Website) or communications directly with us (such as through email, feedback or other forms or social media). If you are a subscribed user, we will also collect your user preferences, such as the types of articles you would like to read.

Information from third parties (such as, from your employer or LinkedIn): We may also receive information about you from third party sources. For example, your employer may provide your information to us, such as in connection with an article submitted by your employer for publication. If you choose to use LinkedIn to subscribe to our Website and Services, we also collect information related to your LinkedIn account and profile.

Your interactions with our Website and Services: As is true of most websites, we gather certain information automatically. This information includes IP addresses, browser type, Internet service provider (ISP), referring/exit pages, operating system, date/time stamp and clickstream data. We use this information to analyze trends, to administer the Website and our Services, to improve the content and performance of our Website and Services, and to track users' movements around the site. We may also link this automatically-collected data to personal information, for example, to inform authors about who has read their articles. Some of this data is collected through information sent by your web browser. We also use cookies and other tracking technologies to collect this information. To learn more about cookies and other tracking technologies that JD Supra may use on our Website and Services please see our "Cookies Guide" page.

How do we use this information?

We use the information and data we collect principally in order to provide our Website and Services. More specifically, we may use your personal information to:

  • Operate our Website and Services and publish content;
  • Distribute content to you in accordance with your preferences as well as to provide other notifications to you (for example, updates about our policies and terms);
  • Measure readership and usage of the Website and Services;
  • Communicate with you regarding your questions and requests;
  • Authenticate users and to provide for the safety and security of our Website and Services;
  • Conduct research and similar activities to improve our Website and Services; and
  • Comply with our legal and regulatory responsibilities and to enforce our rights.

How is your information shared?

  • Content and other public information (such as an author profile) is shared on our Website and Services, including via email digests and social media feeds, and is accessible to the general public.
  • If you choose to use our Website and Services to communicate directly with a company or individual, such communication may be shared accordingly.
  • Readership information is provided to publishing law firms and authors of content to give them insight into their readership and to help them to improve their content.
  • Our Website may offer you the opportunity to share information through our Website, such as through Facebook's "Like" or Twitter's "Tweet" button. We offer this functionality to help generate interest in our Website and content and to permit you to recommend content to your contacts. You should be aware that sharing through such functionality may result in information being collected by the applicable social media network and possibly being made publicly available (for example, through a search engine). Any such information collection would be subject to such third party social media network's privacy policy.
  • Your information may also be shared to parties who support our business, such as professional advisors as well as web-hosting providers, analytics providers and other information technology providers.
  • Any court, governmental authority, law enforcement agency or other third party where we believe disclosure is necessary to comply with a legal or regulatory obligation, or otherwise to protect our rights, the rights of any third party or individuals' personal safety, or to detect, prevent, or otherwise address fraud, security or safety issues.
  • To our affiliated entities and in connection with the sale, assignment or other transfer of our company or our business.

How We Protect Your Information

JD Supra takes reasonable and appropriate precautions to insure that user information is protected from loss, misuse and unauthorized access, disclosure, alteration and destruction. We restrict access to user information to those individuals who reasonably need access to perform their job functions, such as our third party email service, customer service personnel and technical staff. You should keep in mind that no Internet transmission is ever 100% secure or error-free. Where you use log-in credentials (usernames, passwords) on our Website, please remember that it is your responsibility to safeguard them. If you believe that your log-in credentials have been compromised, please contact us at

Children's Information

Our Website and Services are not directed at children under the age of 16 and we do not knowingly collect personal information from children under the age of 16 through our Website and/or Services. If you have reason to believe that a child under the age of 16 has provided personal information to us, please contact us, and we will endeavor to delete that information from our databases.

Links to Other Websites

Our Website and Services may contain links to other websites. The operators of such other websites may collect information about you, including through cookies or other technologies. If you are using our Website or Services and click a link to another site, you will leave our Website and this Policy will not apply to your use of and activity on those other sites. We encourage you to read the legal notices posted on those sites, including their privacy policies. We are not responsible for the data collection and use practices of such other sites. This Policy applies solely to the information collected in connection with your use of our Website and Services and does not apply to any practices conducted offline or in connection with any other websites.

Information for EU and Swiss Residents

JD Supra's principal place of business is in the United States. By subscribing to our website, you expressly consent to your information being processed in the United States.

  • Our Legal Basis for Processing: Generally, we rely on our legitimate interests in order to process your personal information. For example, we rely on this legal ground if we use your personal information to manage your Registration Data and administer our relationship with you; to deliver our Website and Services; understand and improve our Website and Services; report reader analytics to our authors; to personalize your experience on our Website and Services; and where necessary to protect or defend our or another's rights or property, or to detect, prevent, or otherwise address fraud, security, safety or privacy issues. Please see Article 6(1)(f) of the E.U. General Data Protection Regulation ("GDPR") In addition, there may be other situations where other grounds for processing may exist, such as where processing is a result of legal requirements (GDPR Article 6(1)(c)) or for reasons of public interest (GDPR Article 6(1)(e)). Please see the "Your Rights" section of this Privacy Policy immediately below for more information about how you may request that we limit or refrain from processing your personal information.
  • Your Rights
    • Right of Access/Portability: You can ask to review details about the information we hold about you and how that information has been used and disclosed. Note that we may request to verify your identification before fulfilling your request. You can also request that your personal information is provided to you in a commonly used electronic format so that you can share it with other organizations.
    • Right to Correct Information: You may ask that we make corrections to any information we hold, if you believe such correction to be necessary.
    • Right to Restrict Our Processing or Erasure of Information: You also have the right in certain circumstances to ask us to restrict processing of your personal information or to erase your personal information. Where you have consented to our use of your personal information, you can withdraw your consent at any time.

You can make a request to exercise any of these rights by emailing us at or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

You can also manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard.

We will make all practical efforts to respect your wishes. There may be times, however, where we are not able to fulfill your request, for example, if applicable law prohibits our compliance. Please note that JD Supra does not use "automatic decision making" or "profiling" as those terms are defined in the GDPR.

  • Timeframe for retaining your personal information: We will retain your personal information in a form that identifies you only for as long as it serves the purpose(s) for which it was initially collected as stated in this Privacy Policy, or subsequently authorized. We may continue processing your personal information for longer periods, but only for the time and to the extent such processing reasonably serves the purposes of archiving in the public interest, journalism, literature and art, scientific or historical research and statistical analysis, and subject to the protection of this Privacy Policy. For example, if you are an author, your personal information may continue to be published in connection with your article indefinitely. When we have no ongoing legitimate business need to process your personal information, we will either delete or anonymize it, or, if this is not possible (for example, because your personal information has been stored in backup archives), then we will securely store your personal information and isolate it from any further processing until deletion is possible.
  • Onward Transfer to Third Parties: As noted in the "How We Share Your Data" Section above, JD Supra may share your information with third parties. When JD Supra discloses your personal information to third parties, we have ensured that such third parties have either certified under the EU-U.S. or Swiss Privacy Shield Framework and will process all personal data received from EU member states/Switzerland in reliance on the applicable Privacy Shield Framework or that they have been subjected to strict contractual provisions in their contract with us to guarantee an adequate level of data protection for your data.

California Privacy Rights

Pursuant to Section 1798.83 of the California Civil Code, our customers who are California residents have the right to request certain information regarding our disclosure of personal information to third parties for their direct marketing purposes.

You can make a request for this information by emailing us at or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

Some browsers have incorporated a Do Not Track (DNT) feature. These features, when turned on, send a signal that you prefer that the website you are visiting not collect and use data regarding your online searching and browsing activities. As there is not yet a common understanding on how to interpret the DNT signal, we currently do not respond to DNT signals on our site.

Access/Correct/Update/Delete Personal Information

For non-EU/Swiss residents, if you would like to know what personal information we have about you, you can send an e-mail to We will be in contact with you (by mail or otherwise) to verify your identity and provide you the information you request. We will respond within 30 days to your request for access to your personal information. In some cases, we may not be able to remove your personal information, in which case we will let you know if we are unable to do so and why. If you would like to correct or update your personal information, you can manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard. If you would like to delete your account or remove your information from our Website and Services, send an e-mail to

Changes in Our Privacy Policy

We reserve the right to change this Privacy Policy at any time. Please refer to the date at the top of this page to determine when this Policy was last revised. Any changes to our Privacy Policy will become effective upon posting of the revised policy on the Website. By continuing to use our Website and Services following such changes, you will be deemed to have agreed to such changes.

Contacting JD Supra

If you have any questions about this Privacy Policy, the practices of this site, your dealings with our Website or Services, or if you would like to change any of the information you have provided to us, please contact us at:

JD Supra Cookie Guide

As with many websites, JD Supra's website (located at (our "Website") and our services (such as our email article digests)(our "Services") use a standard technology called a "cookie" and other similar technologies (such as, pixels and web beacons), which are small data files that are transferred to your computer when you use our Website and Services. These technologies automatically identify your browser whenever you interact with our Website and Services.

How We Use Cookies and Other Tracking Technologies

We use cookies and other tracking technologies to:

  1. Improve the user experience on our Website and Services;
  2. Store the authorization token that users receive when they login to the private areas of our Website. This token is specific to a user's login session and requires a valid username and password to obtain. It is required to access the user's profile information, subscriptions, and analytics;
  3. Track anonymous site usage; and
  4. Permit connectivity with social media networks to permit content sharing.

There are different types of cookies and other technologies used our Website, notably:

  • "Session cookies" - These cookies only last as long as your online session, and disappear from your computer or device when you close your browser (like Internet Explorer, Google Chrome or Safari).
  • "Persistent cookies" - These cookies stay on your computer or device after your browser has been closed and last for a time specified in the cookie. We use persistent cookies when we need to know who you are for more than one browsing session. For example, we use them to remember your preferences for the next time you visit.
  • "Web Beacons/Pixels" - Some of our web pages and emails may also contain small electronic images known as web beacons, clear GIFs or single-pixel GIFs. These images are placed on a web page or email and typically work in conjunction with cookies to collect data. We use these images to identify our users and user behavior, such as counting the number of users who have visited a web page or acted upon one of our email digests.

JD Supra Cookies. We place our own cookies on your computer to track certain information about you while you are using our Website and Services. For example, we place a session cookie on your computer each time you visit our Website. We use these cookies to allow you to log-in to your subscriber account. In addition, through these cookies we are able to collect information about how you use the Website, including what browser you may be using, your IP address, and the URL address you came from upon visiting our Website and the URL you next visit (even if those URLs are not on our Website). We also utilize email web beacons to monitor whether our emails are being delivered and read. We also use these tools to help deliver reader analytics to our authors to give them insight into their readership and help them to improve their content, so that it is most useful for our users.

Analytics/Performance Cookies. JD Supra also uses the following analytic tools to help us analyze the performance of our Website and Services as well as how visitors use our Website and Services:

  • HubSpot - For more information about HubSpot cookies, please visit
  • New Relic - For more information on New Relic cookies, please visit
  • Google Analytics - For more information on Google Analytics cookies, visit To opt-out of being tracked by Google Analytics across all websites visit This will allow you to download and install a Google Analytics cookie-free web browser.

Facebook, Twitter and other Social Network Cookies. Our content pages allow you to share content appearing on our Website and Services to your social media accounts through the "Like," "Tweet," or similar buttons displayed on such pages. To accomplish this Service, we embed code that such third party social networks provide and that we do not control. These buttons know that you are logged in to your social network account and therefore such social networks could also know that you are viewing the JD Supra Website.

Controlling and Deleting Cookies

If you would like to change how a browser uses cookies, including blocking or deleting cookies from the JD Supra Website and Services you can do so by changing the settings in your web browser. To control cookies, most browsers allow you to either accept or reject all cookies, only accept certain types of cookies, or prompt you every time a site wishes to save a cookie. It's also easy to delete cookies that are already saved on your device by a browser.

The processes for controlling and deleting cookies vary depending on which browser you use. To find out how to do so with a particular browser, you can use your browser's "Help" function or alternatively, you can visit which explains, step-by-step, how to control and delete cookies in most browsers.

Updates to This Policy

We may update this cookie policy and our Privacy Policy from time-to-time, particularly as technology changes. You can always check this page for the latest version. We may also notify you of changes to our privacy policy by email.

Contacting JD Supra

If you have any questions about how we use cookies and other tracking technologies, please contact us at:

- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.