In an important update for legal professionals working with virtual currencies, the New York State Department of Financial Services (“DFS”) is modifying regulations surrounding this ever-growing sector. Adrienne Harris, Superintendent of DFS, recently outlined updates on the VOLT initiative, illustrating the Department’s dedication to pushing forward as an influential digital currency regulator. The crux of…
The Consumer Financial Protection Bureau (CFPB) recently issued new guidance regarding the legal requirements creditors must meet when employing artificial intelligence (AI) and other complex models. With the increasing use of such technologies in credit decisions, this guidance provides important clarification for lenders operating within the parameters of legal and regulatory constraints. Building off prior…
In a significant maneuver to establish regulatory frameworks around insurance practices, the Colorado Insurance Division adopted Regulation 10-1-1 on September 21, 2023. The regulation, officially titled “Governance and Risk Management Framework Requirements for Life Insurers’ Use of External Consumer Data and Information Sources, Algorithms, and Predictive Models,” effectively came into enforcement from November 14, 2023….
In recent years, the role of Customer Relationship Management (CRM) systems in streamlining operational processes and client relationships has risen to prominence across global business landscapes. Embracing CRM and integrating it effectively into an organization is comparable to gearing up for an intense marathon. It involves a constant focus on endurance, evolving strategy, and continuous…
Recently, an intimate and invitation-only gathering was held at the Harvard Law AI Summit focusing on the rise of generative AI in the legal sector. The forum offered a platform for frank conversations and thought-provoking insights on the subject from approximately 65 experts. One of the key takeaways from the summit was the potential of…
The banking industry has been under intense scrutiny by regulatory bodies focusing on the transparency of fees charged to customers. Often, the activities of the Consumer Financial Protection Bureau (CFPB) take center stage in these discussions. However, it is the Federal Deposit Insurance Corporation (FDIC) that is now being targeted in a recent lawsuit. The…
The recent FEDS (Finance and Economics Discussion Series) study launched by the Federal Reserve Board delves into the issue of consumer lending, investigating the role of financial technology (FinTech) lenders in this evolving economic landscape. This particular report has sparked renewed interest amongst many legal professionals in the corporate sector and is quickly becoming a…
The recently published State Attorney General (AG) Report for September 2023 provides a detailed insight into crucial areas where state and federal regulators’ decisions are exerting an influence across the United States. The report, presented by the law firm Cozen O’Connor, highlights several key matters. The topics include a new election for the Attorney General…
The Federal Trade Commission (FTC) recently rolled out new guidance on HIPAA, FTC Act, and Health Breaches, stated within a document titled “Collecting, Using, or Sharing Consumer Health Information? Look to HIPAA, the FTC Act, and the Health Breach Notification Rule.” As noted by law firm Rivkin Radler LLP, the guidance is aimed at businesses…
In a recent development, a crucial injunction was granted in favor of the Kentucky Bankers Association, along with eight Kentucky-based banks against the enforcement of the Small Business Lending Rule. The injunction was issued by U.S. District Judge Karen K. Caldwell on September 14. The injunction seeks to restrict the Consumer Financial Protection Bureau (CFPB)…
Guiding California’s data privacy landscape is the California Privacy Rights Act (CPRA), also known as Proposition 24, which took effect on January 1, 2023. This Act, however, does not entirely discard the policies stipulated in the predecessor law, the California Consumer Privacy Act (CCPA). Instead, it augments these policies to further fortify the data privacy…
On September 19, the Consumer Financial Protection Bureau (CFPB) published a recent decision and order denying the petition of one of the largest private student loan servicers in the United States. The petition was aiming to set aside the Bureau’s civil investigative demand (CID) as part of their investigation into potential violations of the Consumer…
The Consumer Financial Protection Bureau (CFPB) recently released guidance reaffirming that certain policy statements issued by the U.S. Department of Housing and Urban Development (HUD) continue to apply. These statements, issued prior to the transfer of authority for enforcing the Real Estate Settlement Procedures Act (RESPA) from HUD to the CFPB in 2011 as part…
The Consumer Financial Protection Bureau (CFPB) has announced the initiation of its anticipated rulemaking on consumer reporting. As part of this announcement, made on September 21, it includes a proposal to exclude medical bills from credit reports. This decision comes as a follow-up to a hearing the CFPB conducted in July 2023 to discuss medical…
In a step towards understanding the functioning and potential challenges posed by artificial intelligence (AI), the UK’s competition watchdog, the Competition and Markets Authority (CMA), has recently published an ‘Initial Report’ on the regulation of AI. Details of the report were first reported by legal news outlet JD Supra. This publication is a follow-up to…
Increasingly spotlighted by activist plaintiffs for alleged “greenwashing,” or deceptive advertising related to their environmental and social footprints, it seems the fashion industry is witnessing a new trend: “greenhushing.” This phenomenon was recently discussed in an insightful write-up from Katten Muchin Rosenman LLP. While industry trade groups and marketers strive to redress and refine their…
The US Court of Appeals for the Third Circuit recently upheld a district court’s decision stating that a candymaker cannot trademark the shape and colors of watermelon candies. The court’s decision hinges on the fact that the combined colors and shape of the candies perform a functional role — they signal to consumers that the…
In an interesting shift, the Consumer Financial Protection Bureau (CFPB) seems to be realigning its long-standing position on loan originator compensation. As reported, many residential mortgage lenders at present, have compensation structures that provide for a payout to loan originator in the form of a single commission amount for loans financed by the lender, and…
In a significant development, the U.S. Federal Trade Commission (FTC) announced on September 11 that it had reached a settlement with two California-based “people-search” companies on charges of engaging in practices that breached the Fair Credit Reporting Act (FCRA). The nature of services offered by these companies involves providing users the capacity to run unlimited…
Maine has recently pushed back the implementation of a unique law requiring manufacturers to disclose the presence of per- and polyfluoroalkyl substances (PFAS) in products sold within the state. Originally slated for January 2024, manufacturers now have until January 2025 to comply. This groundbreaking legislation aims to effectively ban PFAS in most such products by…
In the landscape of the United States, the Federal Trade Commission (FTC) has held its sway as the principal consumer protection enforcement agency since its establishment in 1914 until the shift that took place roughly in 2018. With its centralization and scope, and supported by a greater number of enforcers than any single state, the…
The issue of consumer perception as the critical inquiry for generic.gTLD marks stands at the forefront of a recent decision by the TTAB. This notion was expounded in June 2020 when the U.S. Supreme Court rejected the rule positing that the coupling of a generic term and a generic top-level domain (“gTLD”) is inherently generic,…
In a recent legal motion, the Federal Trade Commission’s Chief Administrative Law Judge (“ALJ”) has ruled that a leading tax filing software company violated Section 5 of the FTC Act due to engaging in deceptive advertising practices. The decision, published on September 8, comes after a complaint was lodged by the FTC in March 2022….
California, a state known for its forward-thinking legislation, continues to trailblaze the path towards stronger environmental policies. The recently introduced Senate Bill 253, or SB 253, demands heightened transparency from large corporations, specifically in relation to their carbon emissions. Mandating stringent carbon reporting for large companies under the bill fosters a cultural shift towards increased…
Nansen, a renowned entity in the blockchain intelligence sphere, affirmed a vendor data breach leading to leakage of sensitive user information, as mentioned in a recent announcement on its X platform (previously Twitter). This episode occurred on September 22, 2023 as per the information posted on the official social media platform by the company. Click…