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Consumer Contracts Contract Terms Financial Services Industry

Ballard Spahr LLP

Consumer Finance Monitor Podcast Episode: How to Use the Restatement of Consumer Contracts - A Guide for Judges

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Today’s podcast show features a discussion with Professor Gregory Klass of Georgetown University Law School about an article he co-authored with Professor Ian Ayres, entitled “How to Use the Restatement of Consumer Contracts:...more

Troutman Pepper Locke

Fourth Circuit Affirms Denial of Motion to Compel Arbitration Finding Duty to Read a Contract Does Not Encompass Scrolling Through...

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The U.S. Court of Appeals for the Fourth Circuit recently affirmed a district court’s decision denying a defendant’s motion to compel arbitration, underscoring the importance of clear and conspicuous notice in online...more

Troutman Pepper Locke

EDVA Judge Invalidates Arbitration Clause in Online Terms and Conditions

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In a recent decision, EDVA Judge Rossie Alston invalidated the arbitration clause in the terms and conditions for online sales through the Lowe’s Home Centers website on the grounds that the terms and conditions were illusory...more

Ballard Spahr LLP

Businesses Beware: CFPB Reviewing ‘All Sorts’ of Consumer Contract Clauses

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On September 13, 2022, Public Justice and other consumer advocacy groups sent a letter to CFPB Director Chopra urging the CFPB to limit the use of “forced” arbitration provisions by banks and other consumer finance companies....more

Morgan Lewis - Tech & Sourcing

UK Financial Conduct Authority Drives Changes to Buy Now, Pay Later Contract Terms

The UK Financial Conduct Authority (FCA) released a statement on February 14 confirming a series of changes to potentially unfair contract terms that had been agreed with four of the largest providers of Buy Now, Pay Later...more

Bradley Arant Boult Cummings LLP

Maryland Court of Appeals Bars Confessed Judgment Clauses in Consumer Contracts

A recent decision from the Maryland Court of Appeals provided somewhat surprising new guidance on the permissibility of confessed judgment clauses in consumer contracts. In Goshen Run Homeowners Association, Inc. v. Cisneros,...more

Burr & Forman

Eleventh Circuit Affirms That Banks Must Use Unambiguous Language When Disclosing Methods For Assessing Overdraft Fees

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In Carol Tims v. LGE Community Credit Union, the Eleventh Circuit Court of Appeals held that a credit union’s account agreement with one of its customers was ambiguous about which account balance calculation the bank would...more

Carlton Fields

Fourth Circuit Compels Arbitration Over “Gateway” Issues Of Arbitrability

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This case involved a consumer, Charleene Novic, who obtained a credit card from Credit One. The card holder agreement contained an arbitration clause that stated “[c]laims subject to arbitration include … disputes related to...more

Burr & Forman

District Court of Connecticut Follows Reyes Decision

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In Harris v. Navient Solutions, LLC, No. 3:15-cv-564 (RNC), 2018 WL 3748155 (D. Conn. Aug. 7, 2018), the United States District Court for the District of Connecticut followed the Second Circuit’s decision in Reyes v. Lincoln...more

Womble Bond Dickinson

Contracts 101: Court Rules Contractual TCPA Consent Is Irrevocable Even if the Contract Doesn’t Specifically Say So

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Well it has been a while since we’ve had anything to report regarding case law developing around “Good Reyes”–Reyes v. Lincoln Auto. Fin. Servs., 861 F.3d 51, 56 (2d Cir. 2017), as amended (Aug. 21, 2017). Indeed, with all...more

Ballard Spahr LLP

Arizona Supreme Court Addresses Statute of Limitations for Debt Buyers

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Addressing an issue of first impression in Arizona, the Arizona Supreme Court recently held that the statute of limitations on a credit card debt subject to an optional acceleration clause commences "when the debtor first...more

Carlton Fields

Fifth Circuit Allows Non-Signatories To Enforce Arbitration Agreement

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The Fifth Circuit has affirmed an order compelling arbitration, despite the fact that the parties seeking to compel arbitration were not signatories to the relevant arbitration agreement....more

Womble Bond Dickinson

Court Reserves “Multiple-Account” Revocation Issues for the Jury and Suggests that a Spouse Can Revoke Consent

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One of the biggest challenges collectors face when trying to honor consumer consent preferences is how to treat a stop call request received from a customer who has multiple accounts in collections with the caller....more

Ballard Spahr LLP

Oral Revocation of TCPA Consent Ineffective Where Agreement Required Written Notice, Court Rules

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A consumer's alleged oral revocation of consent to receive autodialed or prerecorded calls to his cell phone was ineffective under the Telephone Consumer Protection Act (TCPA) when his credit card agreement provided that...more

Carlton Fields

Court Compels Discovery, Awards Sanctions In Dispute Over Whether Reinsurance Arbitration Clause Applies

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In 2011, Top’s Personnel entered into a reinsurance agreement with Applied Underwriters Captive Risk Assurance Company (“AUCRA”), and several years later executed a promissory note (“the Note”) in favor of a related entity,...more

Ballard Spahr LLP

CFPB/NY AG lawsuit against RD Legal Funding may signal greater scrutiny of non-loan financial products such as merchant cash...

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The CFPB and the New York Attorney General this week filed an action against RD Legal Funding, LLC, two of its affiliates, and their principal (collectively, “RD”), alleging that a litigation settlement advance product...more

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