Martin & Jones Blog  filter by author: G. Chris Olson

The Federal Reserve Board recently approved a final rule to protect credit card users from unreasonable late payment and other penalty fees. The rule also requires credit card issuers to reconsider any interest rate increases imposed since the beginning of 2009.

North Carolina Governor Beverly Perdue signed into law the Homeowner and Homebuyer Protection Act. The Act is intended to provide important protections to those at risk of losing their homes to foreclosure..

Consumer advocates fear that if the Supreme Court rules in favor of Rent-A-Center, consumers and employees required to sign arbitration agreements will be deprived of any ability to challenge enforceability of those agreements in court.

A number of consumer advocates have criticized the decision and have expressed concern that the court has taken a major step toward allowing class action bans in all contracts.

The FTC requires Countrywide to pay back excessive fees charged to homeowners. In one of the largest settlements imposed by the Federal Trade Commission, Countrywide will pay back $108 million.

The case is AT&T Mobility v. Concepcion and it will be heard at the Supreme Court later this year. The question to be decided is whether the Federal Arbitration Act (“FAA”) preempts rulings that particular class action bans are unconscionable under generally applicable state contract law.

Tyson Foods has agreed to a nationwide injunction requiring poultry workers be paid for donning and doffing time.  The agreement with Tyson Foods will become fully effective at all Tyson’s plants no later than December 1, 2012.

On April 26, 2010, the United States Supreme Court heard oral arguments in a case addressing whether an arbitrator has authority to determine whether an arbitration clause is unenforceable due to unconscionability.

Countrywide Financial Corp., a mortgage lender acquired by Bank of America, has agreed to a $624 million settlement of a lawsuit which accused the lender of misleading investors about its lending practices.

In an Opinion issued April 27, 2010, the United States Supreme Court held that arbitrators could not allow class arbitration where an arbitration clause is silent as to whether class arbitration is permitted The decision in Stolt-Nielsen S.A. v. Animalfeeds Int’l Corp. is a significant blow to consumers and class action plaintiffs...

In 2009, 22,665 consumers filed complaints with the Consumer Protection Division of North Carolina Department of Justice.

Late last week, the Federal Reserve Board issued its proposed regulations (to be codified as Regulation Z) governing the final sections of the CARD Act, which will go into effect August 22, 2010.  Though the proposed regulations would significantly limit lenders’ imposition of penalty fees

As new regulations governing overdraft fees will soon go into effect, the Federal Reserve Board has compiled a summary of the new rules. The Board’s publication “What You Need To Know: New Overdraft Rules for Debit and ATM Cards” can be assessed at the Federal Reserve Board’s website, www.federalreserve.gov.

Facing increasing pressure from consumer advocates and regulatory authorities, Bank of America has just announced that it will scrap overdraft fees on debit card purchases this summer.

The Credit Card Accountability, Responsibility, and Disclosure Act (“CARD Act”) went into effect on February 22, 2010. The CARD Act was intended to rein in perceived abuses by credit card issuers.

A class action lawsuit was recently filed against Cincinnati-based Fifth Third Bank, alleging predatory overdraft fee practices.

The filing of federal security fraud class action lawsuits was down sharply in 2009 compared to both 2008 and historical averages.

Americans pay $23.7 billion per year in overdraft fees, most of which are related to small debit card overdrafts that financial institutions could easily deny without imposing any fees.

The Federal Trade Commission (FTC) recently proposed a rule intended to protect distressed homeowners from foreclosure rescue and mortgage modification scams.