For those interested in all things "Interest" related, we provide a summary of recent state and federal court cases involving usury, finance charges, and interest rates, as they relate to the consumer and commercial credit...more
Recently, a Kentucky resident filed a class action complaint in the U.S. District Court for the Western District of Kentucky, alleging that a group of lenders issued illegal high-interest loans to Kentucky residents in...more
On December 12, Wisconsin legislators introduced Senate Bill 759 (SB 759), which would substantially shift Wisconsin’s approach to consumer lending. The bill would: • Impose a 36% annual percentage rate (APR) cap on...more
On December 8, the Oregon Department of Consumer and Business Services entered into a consent order with two affiliated companies resolving allegations of violations of the Oregon Consumer Finance Act arising from a bank...more
As we previously reported, on November 10, 2025 the Tenth Circuit rendered its 2-1 decision in National Association of Industrial Bankers v. Weiser. It held that a loan is “made” for purposes of the opt-out provision in...more
On November 12, U.S. SDNY granted a motion to remand a consumer lending case brought by New York Attorney General Letitia James to state court. The court’s analysis focused on whether the case presented a federal question...more
On November 10, 2025, the U.S. Court of Appeals for the Tenth Circuit, in a 2–1 decision, issued its opinion in National Association of Industrial Bankers et al. v. Weiser. In resolving what it described as “an issue of...more
On November 7, the U.S. District Court for the Eastern District of North Carolina granted final approval of a class action settlement, finding the agreement fair, reasonable and adequate for the class. ...more
On July 25, 2025, a New York intermediate appellate court reversed a grant of summary judgment in plaintiff’s favor on its breach of contract and related breach of guaranty claims, concluding that while the agreement was a...more
Litigation involving Colorado’s opt-out from the interest exportation provisions of the Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA) has taken an adverse turn for the financial services...more
Following oral argument on June 30, 2025, the U.S. Bankruptcy Court for the Southern District of Florida refused to dismiss a Chapter 11 adversary proceeding in which debtors BH Downtown Miami LLC and 340 Biscayne Owner LLC...more
On October 6, the Mayor of Baltimore announced the City of Baltimore sued an online lender in state court seeking civil penalties and injunctive relief for allegedly violating state and city law. According to the complaint,...more
For all those interested in all things "Interest" related, we provide a summary of recent state and federal court cases involving usury, finance charges, and interest rates, as they relate to the consumer and commercial...more
On August 28, the U.S. District Court for the Eastern District of Pennsylvania denied a motion to dismiss a proposed class action against a financial services company offering earned wage access products in the form of cash...more
What Happened? Following the path of nine other states that have enacted laws to regulate commercial non real estate secured financing, on May 28, 2025, the Texas legislature passed a “commercial sales-based financing” bill,...more
What Happened? Effective August 29, 2026, Pennsylvania enacted House Bill 1103 (the “Bill”) impacting discount points on residential mortgage loans by making amendments to Pennsylvania’s usury code (the Loan Interest and...more
The Arkansas legislature recently passed House Bill 1517, which creates an earned wage access law in the state. It will be one of the relatively few such laws in the country. One interesting question is whether the law...more
Texas has enacted a law that has the potential to place substantial impediments on sales-based financing providers, including merchant cash advance companies, seeking to operate in Texas. The new Texas law prohibits...more
On May 23, the Texas Supreme Court issued an opinion holding that in determining whether a commercial loan is usurious under Texas state law, the “actuarial method” must be employed. This requires the applicable amount of...more
On May 23, the Supreme Court of Texas ruled that the maximum permissible interest on a loan must be calculated using the declining principal balance rather than the initial total principal amount. This decision was in...more
Commercial lenders in Texas should be made aware of the Texas Supreme Court’s new decision in American Pearl Group, LLC v. National Payment Systems, LLC, No. 24-0758. In that case, the Court clarified the “actuarial method”...more
On February 13, 2025, a New York intermediate appellate court affirmed the grant of summary judgment against energy companies that defaulted on their loan obligations. In 2020 and 2021, an engineering firm specializing in...more
On March 17, 2025, the U.S. Bankruptcy Court for the Eastern District of Michigan denied a borrower’s motion for summary judgment, finding that a secured loan did not violate Michigan’s usury laws. In so holding, the court...more
While uncertainty continued to loom over the CFPB, the states did not take a spring break. Instead, we saw an eye-popping settlement from NY DFS involving BSA/AML claims. And both republican and democratic AGs continued to...more
New York Attorney General Letitia James has sued payday lenders MoneyLion Inc. and DailyPay Inc. in New York state court, alleging that the two companies took advantage of tens of thousands of New Yorkers....more