Search Results: Bankruptcy

CFPB and States Launch Enforcement Action Related to Student Loans

On July 13, 2023, the CFPB and various state attorneys general, along with California’s Department of Financial Protection and Innovation, filed an adversary proceeding against a sales training company for deceptive marketing and debt collection practices relating to the company’s allegedly illegal student loan program. The eight-count complaint, filed in the United States Bankruptcy Court…

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Eleventh Circuit Appellate Panel Finds FDCPA Claims Not Preempted by the Bankruptcy Code on Time Barred Debts

In an opinion issued May 24th in two consolidated cases, a federal appellate panel for the Eleventh Circuit could not find an “irreconcilable conflict” between the Bankruptcy Code and the Fair Debt Collections Practices Act (“FDCPA”) as determined by the district court in a putative class action brought by bankruptcy debtors…

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Tenth Circuit Bankruptcy Appellate Panel Approves Settlement Agreement with Foreclosing Lender Over Objections of the Debtor

Often overlooked by lenders and servicers, sometimes striking a deal with the Chapter 7 Trustee in bankruptcy court, is the more prudent and cost effective approach to resolving frivolous lawsuits filed by defaulting borrowers in state court.  In Brumfiel v. Lewis, Chapter 7 Trustee, et al. (In re Lisa Kay…

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