Legal Briefs

Alternative Finance Bar Association Event is Wednesday

September 10, 2017
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merchant cash advance regulations?

If you’re interested in going, the Alternative Finance Bar Association event on Wednesday is open to both funding company executives and industry attorneys. The New Regulatory Challenges Facing Small Business Lending: Navigating the New Frontier will feature Joann Needleman, Esq., Jane Luxton, Esq. & Tommy Brooks, Esq. from Clark Hill PLC in the NYC Bar […]

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Amos Weinberg and Creditors Relief Are Battling it Out

September 8, 2017
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Courtroom

A lawsuit filed by a small business against Creditors Relief in April has gone off the rails, according to court documents. Creditors Relief has sought to dismiss the case that attorney Amos Weinberg brought on behalf of a Deli in New York that alleged among other things, that Creditors Relief practiced law without a license […]

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CFPB Sanctioned By Federal Judge After Engaging in Funny Business During Discovery

August 26, 2017
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federal court ruling

When the CFPB was asked to support their claims in a brutal lawsuit they had brought against several payment processors, they balked and stonewalled. Eventually, the judge had enough. On Friday, US District Judge Richard W. Story granted sanctions against the Consumer Financial Protection Bureau (CFPB) for misconduct in discovery and dismissed their case against […]

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SoFi Hit With Class Action Lawsuit Over Wage Issues

August 19, 2017
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Five SoFi employees have joined together to file a class action lawsuit against SoFi in the Superior Court of California. According to the docket, Sean Pullen, Christina Cane, Michael Carrera, Matthew Taylor and Yulia Zamaora are claiming employment improprieties with regards to how wages were paid. The suit is separate from a similar suit that […]

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‘Debt Relief’ Company is Allegedly Robo-dialing Out Of Control

July 18, 2017
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phone

A lawsuit brought by famous serial TCPA plaintiff Craig Cunningham against defendants who allegedly robo-dial with offers for small business debt relief services, has a new twist, according to recent court records. That is that the defendants allegedly continue to robo-dial Cunningham despite having been served with the suit from him. All told, Cunningham says […]

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Recent Court Decisions Impacting Merchant Cash Advances – Still Not a Loan

June 22, 2017
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Courtroom

This article is from deBanked’s May/June 2017 magazine issue. To receive copies in print, SUBSCRIBE FREE In the United States District Court, Southern District of New York, a judge expounded on his decision as to why the Purchase and Sale of Future Receivables contract between TVT Capital and Epazz, Inc. was not a loan. In […]

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Another NY Supreme Court Judge Casts Doubt On The MFS – Volunteer Pharmacy Case

June 10, 2017
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Courtroom

Just as an Orange County, NY judge found in Merchant Funding Services, LLC v. Micromanos Corporation d/b/a Micromanos and Astsumassa Tochisako that a uniquely structured merchant cash advance was not a criminally usurious loan, so too did the Honorable Maria S. Vazquez-Doles on June 8th, court records reveal. Vazquez-Doles, who also presides in Orange County, […]

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District Court Offers Guidance on Merchant Cash Advances in Precedent-Setting Decision

June 6, 2017

Courtroom

On May 9, in Colonial Funding Network, Inc. v. Epazz, Inc., the U.S. District Court for the Southern District of New York dismissed counterclaims alleging the overcharging of interest and the affirmative of usury. The decision is the first federal case to recognize that a contractual relationship establishing a bona fide merchant cash advance (MCA) […]

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Federal Court Agrees, Merchant Cash Advances Not Loans or Usurious

May 13, 2017
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federal court ruling

By now, numerous judges in the New York Supreme Court have concurred that purchases of future receivables are not loans nor usurious, yet challenges to these contracts continue. In the latest landmark ruling, defendants/counterclaim plaintiffs Epazz, Inc., Cynergy Corporation, and Shaun Passley a/k/a Shaun A. Passley, moved to have the original action involving their merchant […]

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‘Debt Collection Terrorist’ Sues Protection Legal Group and Corporate Bailout

May 13, 2017
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phone bomb

Debt Collection Terrorist Meets Debt Relief A new crop of supposed debt relief companies are beginning to take fire from all sides. In this latest case, Mark D. Giubaldi & Associates, LLC DBA Protection Legal Group and Corporate Bailout LLC, have once again found themselves on the receiving end of a complaint. On Wednesday, May […]

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