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Consumer Financial Services

McCarter lawyers represent national and regional banks, loan servicers, and state and federally chartered mortgage lenders in Maine, Vermont, New Hampshire, Massachusetts, Rhode Island, Connecticut, New York, New Jersey, Pennsylvania, Maryland and Delaware. In the past five years, we have defended financial institutions in more than 500 cases involving individual claims and class actions under both state and federal laws, including the:

  • Truth-in-Lending Act
  • Real Estate Settlement Procedures Act
  • Telephone Consumer Protection Act
  • Fair Debt Collection Practices Act
  • Fair Credit Reporting Act
  • Equal Credit Opportunity Act
  • Home Ownership and Equity Protection Act
  • Predatory Home Loan Practices Act
  • Uniform Fraudulent Transfer Act
  • Uniform Commercial Code
  • State unfair and deceptive practices laws
McCarter has represented clients in various claims related to state-mandated foreclosure mediation programs (in Rhode Island, Maine and Vermont) and in challenges to foreclosures. We have represented clients in Attorney General enforcement actions, receivership actions, mortgage priority disputes and title insurance coverage disputes. Our practical experience and familiarity with statutory laws and regulations enables us to provide strategic advice to financial institutions to avoid liability and secure cost-effective resolutions.

Representative Matters

In a 15-year long “late fee” class action brought in the Southern District of New York involving  a class of approximately 300,000 borrowers, we persuaded the  District Court to overturn a $54 million jury verdict against our client and decertify the class. Decertification was affirmed on appeal. The Opinion by the Second Circuit explores the intersect between the Seventh Amendment and the power of a federal judge to amend a class certification order right up until entry of judgment, an issue of first impression.
We defended a claim brought in the Southern District of New York under the Fair Debt Collection Practices Act and Truth-in-Lending Act which contended that our client used a “false name” in attempting to collect debts  owed by delinquent borrowers. The District Court, on motion, drastically reduced the potential  size of the class and the case settled for minimal damages.
On behalf of a national mortgage servicer, McCarter lawyers defended a putative class action asserting claims under the Telephone Consumer Protection Act and the state’s unfair and deceptive trade practices statute.