In an recent development, a coalition of consumer advocacy organizations lodged a Petition for Rulemaking with the Consumer Financial Protection Bureau (CFPB) to push for the prohibition of pre-dispute arbitration clauses in consumer contracts. These clauses typically restrict consumers to arbitration instead of litigation when disputes arise. The consumer groups assert such clauses work in…
Limestone Bank, now known as Peoples Bank, recently announced a data breach following unauthorized activity in an employee’s email account. The bank made this information public through a notice of data breach filed with the Attorney General of Maine on September 15, 2023. As whistleblowers, the bank’s leadership team opted to share that an unauthorized…
The U.S. Securities and Exchange Commission (SEC) on September 8, settled charges against Monolith Resources LLC, a privately held technology and energy company based in Nebraska. The SEC’s enforcement action alleged that Monolith had violated the SEC Whistleblower Protection Rule 21F-17 by employing restrictive employee separation agreements. The SEC Whistleblower Protection Rule 21F-17 is part…
The Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra took the limelight at The Mortgage Collaborative National Conference recently, sharing thoughtful insights on the post 2008-mortgage industry crisis reforms and emphasising the vital role of consumer protection regulations. He deftly narrated the congressional response to the crisis, which ultimately led to the formation of the…
On September 14, a significant legal development unfolded in the United States. The U.S. District Court for the Eastern District of Kentucky granted a motion by the Kentucky Bankers Association (KBA) and eight Kentucky-based banks, seeking a preliminary injunction regarding a certain small business lending rule. This decision enjoins the Consumer Financial Protection Bureau (CFPB)…
In a significant development in United States privacy legislation, Delaware Governor John Carney has enacted House Bill No. 154, named the “Delaware Personal Data Privacy Act,” according to a recent post by White & Case LLP on JD Supra. This comprehensive consumer data privacy law will become effective from January 1, 2025. Joining the ranks…
In a recent development, the Consumer Financial Protection Bureau (CFPB) on August 28, announced a proposed settlement amount of $2.6 billion with a Utah-based credit repair telemarketing company and its affiliates. The company has been accused of committing deceptive acts and practices in violation of the Telemarketing Sales Rule (TSR) and the Consumer Financial Protection…
Recently, Skidmore College reported that a ransomware attack had led to a data breach exposing the personal details of over 121,000 individuals. This information was revealed through a notice of data breach filed by the college with the Attorney General of Maine on September 15, 2023. We learn from this summary on JDSupra that Skidmore…
In the ever-evolving world of European financial services, September 2023 has shown compelling trends in M&A activities as service providers seek to scale up, expand their reach and exploit new technologies. In particular, the payment sector has been rife with activity. Amidst economic uncertainties and regulatory challenges that blend into a proverbial storm cloud, some…
Sightpath Medical, LLC (Sightpath) made public a data breach incident affecting the patients of Sutter North Surgery Center. This announcement was made on September 8, 2023, following the discovery that an unauthorized entity had gained access to certain files within Sightpath’s secure systems. Additional details from this incident conveyed that the breach afforded the unauthorized…
August 2023 has brought forth an intriguing case in the world of corporate law. In particular, a bounty hunter plaintiff has sought to enforce California’s Proposition 65, otherwise known as the Safe Drinking Water and Toxic Enforcement Act of 1986. This law mandates, amongst other things, sellers of products to furnish a “clear and reasonable…
After tireless deliberation, the California Legislature has successfully passed Assembly Bill (“AB”) 418, more commonly known as the California Food Safety Act. The passage of this bill has taken place on September 1, 2023, a defining moment in terms of food safety regulation in the state. Read more on JDSupra. According to the newly approved…
In light of recent discussions about children’s advertising ethics, the Federal Trade Commission (FTC) has suggested that advertisers should “sharpen the blurred lines” when it comes to pitching their products to children. This follows the FTC’s day-long workshop last October on “Protecting Kids from Stealth Advertising in Digital Media,” the outcomes of which were summarized…
In an initial decision made on September 8, the Federal Trade Commission’s (FTC) Chief Administrative Law Judge D. Michael Chappell ruled that Intuit Inc. “engaged in deceptive advertising in violation of Section 5 of the FTC Act”. The ruling was based on the finding that Intuit had misled consumers with its claim to be offering…
In a significant legal development, the United States District Court of the Eastern District of Texas granted a motion for summary judgment in favor of the U.S. Chamber of Commerce on September 8, 2023. The court, thereby, invalidated changes made by the Consumer Finance Protection Bureau (CFPB) to its Exam Manual in March 2022. The…
Per- and polyfluoroalkyl substances (PFAS) in children’s products have become a major point of concern for state regulators across the United States. This increased scrutiny has led to the enactment of some of the most rigorous PFAS restrictions in consumer products. As of now, eight states have rolled out regulations pertaining to PFAS substances in…
If you’re a legal professional with interests in privacy and data protection, the recent passage of SB 362 in California is likely to be on your radar. The law, which comes amid increasing scrutiny of data brokers, adds a new layer to the ongoing discussion about data privacy regulations in the digital age. As per…
In what represents a significant shake-up to the corporate legal landscape, proposed changes to competition law were recently announced by Canada’s Prime Minister, demonstrating a renewed focus on the cost of living. The move has been framed as a part of a broader assessment of contemporary competition policy. Read more about it here. As part…
In an era of increasing attention to digital privacy, the California Legislature recently passed the DELETE Act (SB 362), now waiting for the signature of Governor Gavin Newsom. The legislative move represents an attempt to broaden the definition of ‘data broker’, potentially implicating many businesses unaware of falling under this category. Specifically, the law would…
In late August 2023, California’s Privacy Protection Agency (“CPPA”) issued a discussion draft highlighting upcoming regulations under the state’s Consumer Privacy Act. An important highlight of this proposal is the call for comprehensive annual audits of company cybersecurity initiatives to assess compliance and sufficiency. The proposed audits, released by the CPPA, aim to significantly increase…
In a newfound approach to privacy legislation, the California Delete Act has successfully passed the legislature and now awaits the Governor’s approval. Mentioned in a report by Husch Blackwell LLP, it is stipulated that the California Delete Act necessitates all data brokers to register with the California Privacy Protection Agency (CPPA) as early as the…
In a recent development in the federal and state chemical regulation landscape in the United States, the Environmental Protection Agency (EPA) has provided resources aimed at amplifying the use of Plant Incorporated Protectants (PIPs). The announcement came on August 4, 2023, signaling an expansion in the understanding and use of exemptions available under the PIP…
The Consumer Financial Protection Bureau (CFPB) has recently published an issue spotlight on the assessment of tap-to-pay technology, in the context of contactless point-of-sale (POS) purchases on mobile devices. The review expounds on the significant roles that mobile device operating systems have, via tap-to-pay technology, in an open banking ecosystem. This insightful directive delineates the…
Legal professionals may remember the $30 billion valuation haircut that WeWork suffered in 2019. Now, another corporate entity is facing a similar threat, albeit one far less quantifiable. Birkenstock, renowned German shoe manufacturer, has been grappling with counterfeit issues as it moves towards an initial public offering (IPO). It seems the company’s famed ‘hippie sandals,’…
In a recent development, the Federal Trade Commission (FTC) has escalated enforcement actions aimed at safeguarding consumer personal health data. Of particular focus are corporations utilizing software applications that unlawfully share personal health data with third-party entities, thereby violating the stipulations of the Health Breach Notification Rule. Originally reported in the Birmingham Medical News –…