• The CFPB Brings Landmark Enforcement Action for Abusive Acts or Practices
  • June 6, 2013 | Authors: Justin Angelo; Robert E. Bostrom; Thomas J. McKee; J. Scott Sheehan
  • Law Firms: Greenberg Traurig, LLP - Fort Lauderdale Office ; Greenberg Traurig, LLP - New York Office ; Greenberg Traurig, LLP - McLean Office ; Greenberg Traurig, LLP - Houston Office
  • On May 30, 2013, the Consumer Financial Protection Bureau (CFPB) filed a six count Complaint and proposed Stipulated Final Judgment and Order (the Judgment) against American Debt Settlement Solutions, Inc. (ADSS), a debt relief provider and Michael DiPanni (DiPanni), its owner and manager of daily operations, for injunctive relief, damages and non-monetary relief due to alleged violations of the FTC’s Telemarketing Sales Rule (TSR) and Title X of Dodd Frank. The case is particularly significant because it marks the first time the CFPB has prosecuted a covered person or service provider for engaging in “abusive acts or practices” under Sections 1031 and 1036 of Dodd Frank.