Developments and Commentary

Payment iconsDraft New Law Will Change the Regulatory Landscape for E-Commerce in China

China’s e-commerce market, with an annual turnover of more than 3.8 trillion yuan last year, has become the largest in the world. The various laws and regulations that were enacted by different authorities at different times can no longer keep up with the new issues and new challenges. With the ...

Lock KeyRFI on Consumer Data Sharing Shows CFPB Interest in Data Aggregators

The Consumer Financial Protection Bureau (CFPB or the “Bureau”) has recently expressed interest in how consumer financial information aggregators and financial services companies interact to share and protect financial data about consumers. Below we provide background on this growing industry, summarize the CFPB’s recent Request for Information (RFI) Regarding Consumer ...

NYC sunsetNY Proposes Cybersecurity Regulations for Financial Services

Banks, insurers, and other financial services companies in the Empire State may have to abide by new cybersecurity regulations come January 1, 2017. On September 13, New York Governor Andrew Cuomo and the New York Department of Financial Services (NYDFS) announced new regulations that, if put into effect, would impose a ...

Caveat Venditor: CFPB Bulletin on Sales Practices and Incentive Compensation Suggests More Enforcement Actions may be Coming

On November 28, 2016, the Consumer Financial Protection Bureau (the “Bureau”) issued CFPB Compliance Bulletin 2016-13, titled “Detecting and Preventing Consumer Harm from Production Incentives” (the “Bulletin”).  Inviting “dialogue and discussion” on issues surrounding the uses of production incentives for consumer financial products and services, the Bulletin deserves attention because ...

Security SystemFederal Banking Agencies Seek Comment on Enhanced Cyber Risk Management Standards for Large Banks

To address the increasing risk of technology failures and cyber-attacks affecting the largest banking organizations, an advance notice of proposed rulemaking titled Enhanced Cyber Risk Management Standards (the ANPR) was recently issued by the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, ...

Resource Updates

SoFi Settlement Provides Lessons for Lenders Marketing “Soft Pull” Preapprovals

DWT Payments team member Adam Maarec recently authored an article entitled “SoFi Settlement Provides Lessons for Lenders Marketing ‘Soft Pull’ Preapprovals” for the September/October 2016 issue of the FinTech Law Report. The full text of the article appears below (reprinted with permission from volume 19 of FinTech Law Report on Westlaw. © ...

capitolThe 2015 CARD Act Report

Following their prior post on the CARD Act Report, Payments team members Andrew Owens and Adam Maarec authored an article entitled “The 2015 CARD Act Report” for the November 2016 issue of The Review of Banking & Financial Services. The abstract for the article is as follows: The CFPB’s biennial report ...

Assessing the Utility of CARD Act Disclosures

PLA has for many years posted elite academic research questioning the utility of CARD Act disclosures.  For example, in 2013 we posted Regulating Consumer Financial Products: Evidence from Credit Cards by Sumit Agarwal from Georgetown University, Souphala Chomsisengphet from the Office of the Comptroller of the Currency, Neale Mahoney from the University of Chicago ...

Legal Developments Affecting Credit Card Steering Rules

PLA today posts a decision from the Second Circuit enforcing American Express’s contractual prohibition against steering (see United States v. American Express Company). Reversing a district  court opinion that barred these contractual terms for allegedly violating antitrust laws, the Second Circuit decision appears to allow Amex to prohibit merchants from: “offering ...

Blockchain, Regtech Dominate Financial Industry Innovations

On September 7, 2016, attorneys from Davis Wright Tremaine LLP attended Next Money NYC 2016. Next Money featured speakers from across the payments industry and the BBVA Open Talent Pitch Competition where twenty fintech start-ups competed for two € 30,000 prizes. Here are our top takeaways from the conference: Blockchain Holds ...