Wednesday, February 1 brought a welcome development for the many correspondent lenders currently defending against claims filed by (or threatened with future lawsuits by) Residential Funding Company (“RFC”) and its successor-in-interest, the ResCap Liquidating Trust (“ResCap”). There have been
Mortgage Crisis & Financial Services Watch
Business and legal issues affecting Banking, Finance and Lending | Credit | Securities and Investing | E-Commerce
Mortgage Crisis & Financial Services Watch, published by Bilzin Sumberg, focuses on legal developments and issues related to mortgage lending, financial services regulation, and consumer protection in the housing finance sector. The blog covers topics such as mortgage forbearance compliance, fair lending enforcement actions, class action litigation involving mortgage lenders and brokers, regulatory changes affecting financial institutions, and emerging legal challenges in mortgage and real estate finance. It also addresses broader financial services concerns including antitrust matters, government regulations, and the impact of new financial products and technologies on mortgage and lending practices.
Latest from Mortgage Crisis & Financial Services Watch - Page 6
Key Legal & Regulatory Issues for Financial Services Companies in 2017
With 2016 rapidly drawing to a close, here are some thoughts regarding the types of litigation and legal/regulatory issues that will likely be top-of-mind for financial services companies, especially mortgage companies and banks, in 2017:
RMBS Suits and Mortgage Repurchase…
CFPB Steps Up Oversight of Companies’ Compensation Programs Following Wells Fargo Scandal
The Consumer Financial Protection Bureau (CFPB) will likely be weakened by the incoming Trump administration and its Republican allies in Congress. Exactly how, and how much, remains to be seen, however—and, in the meantime, the agency continues to make its…
Second Circuit Sides With AmEx, Reversing Lower Court Victory for DOJ
The United States Court of Appeals for the Second Circuit, a highly influential appellate court sitting in New York, on September 26 issued a unanimous ruling with major implications for antitrust and unfair competition laws, the payment card industry,…
CFPB and Banks Battle Over Arbitration Clauses, Class Actions
After the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 authorized its creation, the Consumer Financial Protection Bureau (CFPB) began operating on July 21, 2011. In the more than five years since it opened its doors, the CFPB…
Home Depot Challenges Banks’ Standing to Recover Losses Related to Data Breaches
In the aftermath of major data breaches at deep-pocketed retailers and other businesses, there is typically no shortage of litigants who move quickly to seek compensation from the business at which the breach occurred. But whether the would-be plaintiffs’ claims…
“No Injury” Consumer Class Actions Weakened, but Not Killed, by Supreme Court
The U.S. Supreme Court held Monday that the Ninth Circuit erred when it ruled consumers can sue companies without alleging actual injury. The Supreme Court ruled that a consumer could not sue Spokeo Inc. for mere technical violations of the…
A Day of Reckoning for the CFPB?
Virtually ever since its inception on July 21, 2011, the Consumer Financial Protection Bureau (CFPB) has inspired wariness and skepticism `in the financial institutions and financial services providers subject to this new agency’s rather ill-defined “jurisdiction” and enforcement authority. As…
Proposed IRS and Treasury Regulations Have Broad Implications for Intercompany Debt Structures
On April 4, 2016, the U.S. Treasury Department and the Internal Revenue Service (“IRS”) issued proposed regulations ostensibly aimed at curbing inversions and earnings stripping, by companies located in the U.S. with overseas ties. If finalized, these regulations would become…
Wells Fargo Pays $1.2 Billion Settlement, Admits Deception in Certifications
Calling the settlement a reproach for “years of reckless underwriting” at Wells Fargo, U.S. Attorney Preet Bharara in Manhattan announced on April 8th that Wells Fargo & Co. formally reached a record $1.2 billion settlement of a U.S. Department of…