Roughly three months ago, President Biden signed an executive order that, among other things, directed HUD to reevaluate earlier agency decisions perceived to weaken the Fair Housing Act. In response to this directive, HUD has submitted draft rules to the Office of Management and Budget that would roll back two significant changes made by the Trump-era HUD. First, HUD has submitted a proposed rule aimed at reinstating its previous standard for disparate impact discrimination claims. Second, HUD has submitted an interim final rule related to the Affirmatively Furthering Fair Housing … Continue Reading
Bradley’s Bankruptcy Basics: COVID-19 Bankruptcy Relief Extension Act Extends Various CARES Act Amendments to the Bankruptcy Code
Last March, in response to the COVID-19 pandemic, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) made several changes to the Bankruptcy Code, including those changes discussed in more detail here. As it became clear that we would be dealing with COVID-19 for much longer than previously anticipated, Congress passed the Consolidated Appropriations Act (CAA), which made additional changes to the Bankruptcy Code, including those explored in more detail in this article.
Originally, several of the Bankruptcy Code amendments included in the prior legislation were scheduled … Continue Reading
Recent Updates Concerning the Home Mortgage Disclosure Act
The Consumer Financial Protection Bureau (CFPB) has been busy over the last few months laying out what appears to be a broad regulatory agenda. As discussed in this blog, the Bureau has issued an industry notice emphasizing industry preparedness related to COVID-19 forbearance plans, issued proposed COVID-19-related amendments to the Mortgage Servicing Rules, suggested that it will soon issue an NPRM related to Dodd-Frank 1071, and has proposed a delay to the implementation of its Debt Collection Rules, among other things. As light begins to emerge at the … Continue Reading
Bradley’s Bankruptcy Basics: Secured vs. Unsecured Claims
Bankruptcy is primarily about “claims.” The debtor seeks to discharge personal liability on claims, while creditors seek payment on their claims. In basic terms, a bankruptcy “claim” is a right to payment. The claim does not need to be fixed, settled, undisputed, or due at the time the debtor files his bankruptcy petition. The official proof of claim form is discussed in more detail here.
A claim can be secured or unsecured, and this designation results in vastly different rights and treatment during the bankruptcy process. Creditors — anyone … Continue Reading
CFPB Proposes Delay to Implementation of Its Debt Collection Rules
Yesterday, the CFPB issued a proposed rule that would extend implementation of both parts of its debt collection rule by 60 days — from November 30, 2021, to January 29, 2022. The debt collection rule, which we have discussed here in detail, addresses numerous topics related to debt collection, including debt collection call volume, restrictions on certain communication mediums under certain circumstances, a prohibition on bringing or threatening to bring legal action to collect time-barred debt, restrictions on certain forms of consumer credit reporting, and rules for electronic communications. … Continue Reading
FEMA Releases Flood Insurance Rating Methodology Under Risk Rating 2.0
On April 1, 2021, FEMA released its highly anticipated flood insurance rating methodology, Risk Rating 2.0-Equity in Action.
FEMA first announced “Risk Rating 2.0-Equity in Action” in March 2019 as an effort to improve flood maps and offer rates that are fair, easy to understand, and more aligned with a property’s unique flood risks. The new rating system was initially set to be implemented on October 1, 2020. FEMA extended the date by a year to broaden its analysis of the proposed rating system.
The NFIP currently uses a rating … Continue Reading
New Amendments to the WVCCPA to Provide Additional Certainty for Businesses
In a development that provides some measure of relief to businesses operating in West Virginia, particularly within the financial services industry, Gov. Jim Justice signed into law on March 29, 2021, amendments to the West Virginia Consumer Credit and Protection Act (WVCCPA). These amendments appear to provide clarity on certain attorneys’ fees provisions in the WVCCPA, to define the process for a pre-suit notice to cure and offer in response, and to provide new limitations on recovery of attorneys’ fees in the instance of an offer of judgment or a … Continue Reading
CFPB Signals Continued Progress Toward Dodd-Frank 1071 Notice of Proposed Rulemaking
On the heels of CFPB Acting Director Dave Uejio’s recently released statement to agency staff members, the Bureau again signaled that it is making progress toward issuing a Notice of Proposed Rulemaking (NPRM) enacting Section 1071 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act). Specifically, in late February, the CFPB filed its fourth status report in the United States District Court for the Northern District of California as part of a legal settlement. This latest status report indicates that the Bureau is moving closer towards … Continue Reading
Bradley’s Bankruptcy Basics: How to File a Proof of Claim 101
You just heard that a customer has filed for bankruptcy — what do you do now? One of the first steps is to determine whether you should file a proof of claim.
How will I be alerted about the bankruptcy?
When a bankruptcy case is filed, the debtor is required to list all of his creditors in the petition. Subsequently, the clerk of the bankruptcy court will send out a notice to all listed creditors that the debtor has filed bankruptcy (this is normally known as an “Official Form 309”). … Continue Reading
CFPB Proposes COVID-19-Related Amendments to the Mortgage Servicing Rules
On April 5, 2021, the Consumer Financial Protection Bureau issued a proposal to amend the existing loss mitigation rules in Regulation X. As stated in the Bureau’s press release, the proposal is designed to “help prevent avoidable foreclosures as the emergency federal foreclosure protections expire.” To accomplish that goal, the proposed rule has a few primary components, none of which are overly surprising given Acting Director David Uejio’s prior statements and the many rumors that have been circulating for quite some time now regarding the likelihood of future rulemaking. … Continue Reading
