Consumer Credit and Lender Liability

In consumer credit matters, the Financial Services Litigation team regularly defends claims based on federal statutes such as the Fair Credit Reporting Act, the Fair Debt Collection Practice Act, and the Truth in Lending Act, and also claims based on similar state statutes and regulations.

In the area of lender liability claims, our experience includes defense of claims that commercial lenders unduly influenced borrowers’ businesses, claims for wrongful acceleration and foreclosure, and similar claims. 


Representative Experience

• Represented a creditor against a debt counseling company, in which the creditor claims that the debt counselor’s conduct is a violation of prohibitions against debt adjusting and constitutes wrongful interference with the creditor’s contracts with the debtors. 
• Litigation counsel for a major credit card company, representing the client in defensive litigation of consumer lawsuits and complex litigation. 
• Defended mortgage lender in obtaining dismissal of rescission claim under Truth-in-Lending Act.
• Defended a mortgage lender in a Truth-in-Lending Act action and argued the appeal.
• Defended bank accused of wrongfully dishonoring over $2 million in checks it processed in violation of Regulation CC.
• Defended a national bank in a lien dispute with a judgment lien creditor over a claim of conversion of accounts receivable pledged as collateral when the bank received proceeds of the accounts receivable in the ordinary course of business. 
• Represented a financial services company in bringing a declaratory judgment action against a customer who attempted to rescind a loan based on alleged Truth-in-Lending Act violations.
• Represented a mortgage lender in a Fair Credit Reporting Act action for failure to remove derogatory information from plaintiff's credit history. 
• Defended clients in Federal Court against Fair Credit Reporting Act claim involving the clients’ alleged failure to report discharge of debt to credit reporting agencies. 
• Defended clients in Federal Court against Truth-in-Lending Act claims involving clients’ alleged failure to comply with related regulations. 
• Defended a mortgage servicer in the Fair Credit Reporting Act and Fair Debt Collection Practices Act actions.
• Defended a financial services company against a Truth-in-Lending Act claim.
• Defended a national mortgage lender in consolidated cases alleging violation of the Fair Credit Reporting Act and common law defamation.
• Defended a community bank against plaintiff's Fair Credit Reporting Act  claims.
• Represented national debt collection law firm in class action defense under the Fair Debt Collections Practices Act.
• Assisted automotive dealer in defense of claims under Equal Credit Protection Act and Credit Repair Organization Act. 
• Represented mortgage lender in claim for wrongful acceleration and foreclosure.
• Represented national bank in numerous matters including wrongful accelerations and lender liability claim. 
• Represented national bank in matters involving forged guarantees.
• Represented wholesale food distributor that financed the sale of chain stores for fraud claims in the loan process. 
• Defended national bank in a claim of wrongful accelerations.
• Represented a major credit card company in litigation involving Fair Debt Collection Practices Act claims and claims under the North Carolina Debt Collection Act. 
• Defended a business client against contract claims of over $1.5 million that were the result of fraud by an equipment dealer in several equipment leasing transactions.