Newsletters

06.19.20

CFPB Provides Additional Guidance on CARES Act Credit Reporting

On June 16, 2020, the Bureau of Consumer Financial Protection (CFPB) released a Compliance Aid in the form of ten FAQs (FAQs) on consumer reporting related to the CARES Act and the COVID-19 pandemic. The FAQs follow the Fair Credit Reporting Act (FCRA) policy statement issued by the CFPB on April 1 ...


06.03.20

Seventh Circuit Denies Stay of Injunction, Potentially Opens PPP Doors for More Small Businesses

On May 20, 2020, the U.S. Court of Appeals for the Seventh Circuit sided with a lower court which invalidated applying the “Ineligibility Rule” by the Small Business Administration (SBA) to the Paycheck Protection Program (PPP), which had been previously used to exclude small businesses ...


06.03.20

OCC Affirms “Valid When Made” Doctrine

On May 29, 2020, the Office of the Comptroller of the Currency (OCC) issued its final rule affirming the “valid when made” doctrine for national banks and federal savings associations.


05.18.20

Federal Court: SBA’s PPP Ineligibility Rule Is Invalid

In a significant rebuke of the Small Business Administration (SBA), a Michigan federal district court has rejected the SBA’s attempt to deem a number of applicants, including sexually oriented dance clubs, ineligible for Paycheck Protection Program (PPP) loans.


05.13.20

California Bill Would Require Mortgage, Auto and PACE Forbearances and Restrict Payday Lending

Through an amendment to Assembly Bill 2501, California Assembly Banking and Finance Chair Monique Limon has introduced sweeping forbearance legislation that would impact single-family and multifamily mortgages, auto-secured financing, Property Assessed Clean Energy (PACE) financing, and payday ...


05.07.20

Federal Lawsuit Attacks SBA Paycheck Protection Program Guidance as Contrary to the CARES Act

On May 4, 2020, three Paycheck Protection Program (PPP) borrowers that received $750,000 in first-round funding sued the Small Business Administration (SBA) and the Treasury Department in the U.S. District Court, Central District of California.


05.04.20

Main Street Lending Program Expansion Announced

On April 30, the Federal Reserve Board, after receiving more than 2,200 letters in response to a request for feedback on its Main Street Lending Program, announced an expansion of the scope of and eligibility for the program.


04.30.20

The Potential for Ultra Vires Regulatory Guidance During COVID-19

In response to the COVID-19 pandemic, federal and state governments and regulators have taken hasty actions that are arguably beyond the scope of their authority in order to provide assistance to businesses and consumers during a time of high unemployment, mandatory shutdowns and reduced consumer ...


04.30.20

Fair Lending and the Paycheck Protection Program

While predicting the enforcement priorities of the financial regulators has always been more of an art than a science, the current circumstances—including a pandemic, a presidential election and a Supreme Court case hanging like a guillotine over the Consumer Financial Protection Bureau ...


04.24.20

$310B Added to Paycheck Protection Program as SBA Weighs In on Eligibility

Today, President Trump signed an increased authorization to the CARES Act to allow for up to an additional $310 billion in aid to be made available under the Paycheck Protection Program (PPP).