The Consumer Financial Services Committee held its monthly Zoom meeting on December 15, 2021. We had 12 attendees, including our two Chairs: John A. Kimble (Manatt Phelps & Phillips, LLP) and Michael Guerrero (Hinshaw & Culbertson LLP.)
Upcoming January 19 Meeting
Our next Zoom meeting will be on Wednesday, January 19th at 11:00 a.m. and thereafter monthly on the third Wednesday of the month at 11:00 a.m. This is our first meeting in 2022, and we will use the time to review and assess 2021 California developments affecting consumer financial services. Our focus will be on the statutory and regulatory changes.
On the legislative front, the package of consumer protections enacted in California in 2021 that we will look at include:
- Amendments to the Rosenthal Fair Debt Collection Practices Act (SB 531);
- Requirements Relating to Consumer Debts Originated at Hospitals (AB 1020);
- Automatic Renewals and Continuous Service Offers (AB 390);
- Money Transmission Customer Service (AB 1320); and
- Debt Settlement Practices (AB 1405).
On the regulatory front, new and proposed regulations that we will discuss include:
- Debt Collection Licensing Act (DCLA) Regulations (Adopted);
- Regulations to Facilitate California Financing Law (CFL) Licenses Transition to the Nationwide Multistate (Adopted);
- California Consumer Financial Protection Law (CCFPL): Registration Requirements; Small Business Protections; Complaints (Proposed); and
- CCFPL: Registration Requirements; Small Business Protections; Complaints (Proposed).
Our discussion of these and other 2021 developments will include a review of the article “Consumer Financial Services Committee: 2021 Year in Review” that will be published soon in the CLA Business Law News. The article was written by our Chairs with assistance from Lancelle Lipana at Hinshaw & Culbertson. The Chairs would like to thank him for his contributions.
If you would like to join us for our monthly meeting, you can Zoom in using this link: https://manatt.zoom.us/j/99901566768?pwd=bVNsRUtuMnZPVGt5bTEzYysyb1JmZz09
None of the work we do can be done without the continued involvement of our Committee members, who we thank for attending the monthly meetings and making other valuable contributions. We are actively seeking new Committee members and vice-chairs. If you have any interest, or know of anyone who may, please contact John Kimble or Michael Guerrero.
December 15, 2021, Meeting Recap
Our Co-Chair Mike Guerrero provided an update on recent Department of Financial Protection & Innovation (DFPI) developments.
Speaker: We were excited to have Kevin Leitao join us as a speaker. Kevin was previously the general counsel of a state-chartered industrial bank that frequently partners with FinTech companies. He also served as the Chief Compliance Officer for Merrill Lynch Global Bank Group from 2005-2008 and has held roles at GE Capital’s consumer and commercial lending divisions and Softcard (a mobile wallet/payment platform that was acquired by Google). We discussed nuanced and technical issues relating to the bank-partnership model of lending, including questions of current concern under the “true lender” and “valid when made” doctrines. Kevin’s experience leading several companies through these (potential) mine fields was both clear, concise and actionable. Thanks, Kevin!
Joining CFSC is simple – you can do it online. We are actively looking for new members, so consider applying on the CLA BLS Standing Committees website. Our members include consumer advocates, law firms and in-house counsel. If you are interested, feel free to contact one of us.