Class Actions Blog

Archive for the ‘Class Action Facts’ Category

Article in The Hill explains why the new CFPB banning mandatory arbitration is a good thing

Posted on: July 13th, 2017 by Steve Larson

Paul Bland has written an excellent article in The Hill that reviews the background behind the publication of the new CFPB rule banning mandatory arbitration, and addresses the merits and criticisms of the new rule.

Here is the link.  http://thehill.com/blogs/pundits-blog/finance/341472-who-will-gop-lawmakers-stand-with-the-people-or-crooked-bankers.

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CFPB issues rule banning mandatory arbitration agreements in consumer finance documents

Posted on: July 12th, 2017 by Steve Larson

On July 10, 2017, the Consumer Financial Protection Bureau (CFPB) announced a new rule to ban companies from using mandatory arbitration clauses to deny groups of people their day in court. Many consumer financial products like credit cards and bank accounts have arbitration clauses in their contracts that prevent consumers from joining together to sue their bank or financial company for wrongdoing. By forcing consumers to give up or go it alone – usually over small amounts – companies can sidestep the court system, avoid big refunds, and continue harmful practices. The CFPB’s new rule will deter wrongdoing by restoring consumers’ right to join together to pursue justice and relief through group lawsuits.

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J.C. Penney settles securities law class action for $97.5 million

Posted on: May 11th, 2017 by Steve Larson

J.C. Penney agreed to pay $97.5 million and make other concessions to a class of investors who had accused the retailer of lying about its financial health. Just two months after U.S. District Judge Robert Schroeder adopted a magistrate judge’s ruling certifying a class of J.C. Penney investors, the two sides reached a deal and have hammered out terms, according to a notice of settlement filed by the parties. The parties are working on a motion for preliminary approval and other settlement documents to submit to the court.

Read more…

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Republicans in House pass anti-class action bill

Posted on: March 24th, 2017 by Steve Larson

Recently, the Republican-controlled U.S. House passed a bill intended to make it more difficult to bring class actions. Democrats objected that the measure would cripple the public’s ability to keep abuses by corporations in check.

The ironically named Fairness in Class Action Litigation Act of 2017 changes federal standards for class actions. Backers of the legislation, including Judiciary Committee Chair Bob Goodlatte, R-Va., said the bill would adjust the balance between abusive plaintiffs and innocent defendants. The class action bill would require that plaintiffs show that potential class members have both the same type and “scope” of injury to win class certification. Opponents of the legislation say it would make it virtually impossible to bring a class action lawsuit, effectively locking the courthouse doors to millions of Americans.

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Daniel Karon has written an excellent article on the potential damages from proposed class action bill

Posted on: March 23rd, 2017 by Steve Larson

Dan Karon, one of the leaders of the ABA Class Action Committee, has authored an article that explains how the proposed class action bill, H.B. 985, will hurt businesses that supporters of the legislation contend the bill is designed to assist. His essay describes how companies operating within the bounds of the law will lose market share, profits and sales to cheaters who aren’t policed. The supporters of this legislation are overlooking its grave consequences on American business.

To read the article, click here: Killing Class Actions Means Everybody Loses

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Wells Fargo got away with setting up sham accounts for 5 years because of forced arbitration clauses

Posted on: September 21st, 2016 by Steve Larson

fine printAccording to a story published in the Hill, Wells Fargo’s scandalous practice of secretly opening more than 2 million sham deposit and credit card accounts dragged on for at least five years, because Wells Fargo contract provisions blocked consumers from suing the bank in court. Read more…

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The information contained in this blog does not constitute legal advice, and does not create an attorney-client relationship. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this blog.

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This blog is intended to provide information to the general public and to practitioners about developments that may impact Oregon class actions.

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  • Steve Larson

  • Steve Larson
  • Steve Larson has been representing investors, consumers and employees in class actions in Oregon for over 20 years. He is a shareholder at the law firm of Stoll Berne in Portland, Oregon.
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