Legal Briefs
Stacking Lawsuit Results in Settlement Before Trial
June 19, 2018
A lawsuit between RapidAdvance and Pearl Capital over tortious interference will not be going to trial after all, deBanked has learned. Originally scheduled to begin on June 25th, the parties have reportedly reached a settlement. Neither party would respond for comment. RapidAdvance filed its lawsuit against Pearl in November 2015 with the hope that they […]
View PostLawyers in LendingClub Class Action Case Defend Fee That ‘Shocked’ a Judge
June 14, 2018
Lawyers from Robbins Geller Rudman & Dowd represented clients in a class action suit against LendingClub and reached a settlement with the company for $125 million. The law firm, which was working on contingency, requested a 13.1 percent cut of the winnings, or $16 million, which a California Federal judge said “shocked” him. Earlier in […]
View PostRapid Capital Funding Sues North American Bancard
May 24, 2018
Miami-based Rapid Capital Funding (RCF) and its CEO, Craig Hecker, have filed a lawsuit against North American Bancard (NAB), NAB CEO Marc Gardner, and other related parties, court records show. The claims, which are related to NAB’s acquisition of RCF in 2014, state that Hecker and RCF are seeking more than $25 million in damages. […]
Eaglewood Not Happy About World Global Financing Bankruptcy
May 21, 2018
A new complaint filed by Eaglewood SPV I LP suggests they’re not happy with ailing merchant cash advance company World Global Financing (WGF). Eaglewood originally sued WGF on March 28th in the New York Supreme Court and secured an injunction on May 2nd to turn over the cash and proceeds from receivables owed to Eaglewood. […]
Sneaky Debt Settlement Company Temporarily Restrained by Judge
May 20, 2018
A debt settlement company has sunk to new lows, according to a petition filed by Yellowstone Capital in Nassau County. Defendants SMCA, Inc. DBA Settle My Cash Advance, Thassos.com Corp DBA Thassos.com, and George Alexander, have been accused of fraudulently transferring funds owed to Yellowstone Capital to themselves while trying to mask the evidence in […]
Merchant Cash Advances Are Not “Masked” Usury or Loans
May 17, 2018
A New York Supreme Court judge cited the decision rendered in Champion Auto Sales, LLC et al. v Pearl Beta Funding, LLC on Wednesday, when she dismissed usury claims brought against four merchant cash advance companies. The case at issue was Wilkinson Floor covering, Inc., Stephen Wilkinson v Cap Call, LLC, TVT Capital, LLC, Yellowstone […]
Judge Grants Restraining Order Against Deceptive Funding Company
May 6, 2018
JTT Funding, the company previously accused of having forged a Confession of Judgment, stands accused now of stealing the identity of a rival funding company. On May 3rd, New York Supreme Court Judge W. Franc Perry granted an injunction against JTT Funding from using the name, logo and likeness of Accel Capital from its marketing […]
Despite Movement of Negative Bill for MCA and Factoring Industries, Hope for a Solution
April 23, 2018
Last week, California State politicians gathered for a hearing on SB 1235, a bill that would require the disclosure of an Annual Percentage Rate (APR) for all loans and non-loans, including MCA and factoring products. This is very problematic because APR (which includes interest rate) cannot be calculated for most MCA and factoring products for […]
Champion Auto Sales Decision Brings Closure to Another Case
April 1, 2018
A merchant seeking to have a judgment against them voided on the basis that the underlying Purchase and Sale of Future Receivables agreement they entered into was actually a usurious loan, has had their motion denied pursuant to the law as decided in Champion Auto Sales, LLC et al. v Pearl Beta Funding, LLC, court […]
Lawyers Weigh in on Champion Auto Sales, LLC v. Pearl Beta Funding, LLC
March 22, 2018
In light of the recent Champion Auto Sales, LLC et al. v Pearl Beta Funding, LLC decision, which decided that the particular MCA contract at issue “was not a usurious transaction,” deBanked spoke to a handful of lawyers, including the plaintiff’s lawyer, Amos Weinberg, to get their thoughts on the decision. Amos Weinberg […]
