insideARM Weekly Recap – Week of August 5th

News in the ARM industry moves at lightning speed; determining what's important and what’s just noise can be challenging. This is why the editorial team at insideARM sifts through all the news and brings you the need-to-know highlights.  We featured a varied array of news items last week, touching on nascent congressional action, state court developments, and a notice from the CFPB. 

On Tuesday, we highlighted some interest groups’ efforts to persuade congress to improve its regulatory expertise in the wake of the Loper decision. In undoing the Chevron Deference doctrine, Loper has created a power vacuum, where ambiguous laws once interpreted federal agencies will be decided instead in the courts. Congress has a few avenues to prevent this shift, including beefing up its regulatory oversight by drafting more specific and complex legislation or codifying Chevron into law. Those in the ARM industry should keep this on their radar because action (or inaction) from congress will affect the industry. 

On Wednesday, we published reporting on the uptick of state class action lawsuits around collections practices. Plaintiffs are taking advantage of differences in standing rules in state courts, where it can be easier to file class action lawsuits than on the federal level. The ARM industry should remember that, in addition to differing on substance, state laws have different rules for bringing suits. Compliance teams should monitor state level cases accordingly.