Consumer Finance Monitor

In this week's episode of the Consumer Finance Monitor podcast, our host, Alan Kaplinsky (founder, practice group leader for 25 years and now Senior Counsel of the Consumer Financial Services Group) is joined by two leading commercial law scholars, Christopher Odinet, Professor at Texas A&M University School of Law, and Andrea Tosato, Professor at SMU Dedman School of Law. Chris and Andrea are the co-authors of the recently published book Digital Commercial Law: Private Law in the Age of Tokens, Platforms, and Automation, which examines how traditional commercial law principles apply to digital assets and why those principles remain indispensable in an increasingly digital economy. The book makes a compelling case that the emphasis on public law regulation, while understandable, has obscured fundamental questions of private law. As Andrea explains during our discussion, private law governs the relationships among individuals and businesses, including their contractual obligations, property rights, and rights against third parties. These rules operate alongside financial regulation, not in opposition to it. Without a sound private law foundation, regulatory requirements alone cannot provide the legal certainty that digital financial markets need. Key Topics Discussed:  Property Rights Versus Contractual Rights Digital Asset Custody and Bankruptcy Risk Stablecoins and the GENIUS Act Tokenization and Secured Transactions The CLARITY Act and the Future of Digital Commercial Law The central takeaway from the conversation is straightforward: Digital finance cannot operate on regulation and technology alone. Clear rules governing property, contracts, custody, secured lending, and insolvency are essential to determining who owns digital assets, what rights attach to them, and who bears the risk when things go wrong. The book, Digital Commercial Law: Private Law in the Age of Tokens, Platforms, and Automation, is available on AMAZON. Consumer Finance Monitor is hosted by Alan Kaplinsky, Senior Counsel at Ballard Spahr, and the founder and former chair of the firm's Consumer Financial Services Group. We encourage listeners to subscribe to the podcast on their preferred platform for weekly insights into developments in the consumer finance industry.

The consumer reporting system is undergoing rapid change, raising important questions for financial institutions, consumer reporting agencies, data furnishers, and consumers. In this week's episode of the Consumer Finance Monitor podcast, our host Alan Kaplinsky (founder, former practice group leader for 25 years and now Senior Counsel of our Consumer Financial Services Group) is joined by Dan Smith, President and CEO of the Consumer Data Industry Association (CDIA), and Adam Maarec, a member of our Consumer Financial Services Group, for an in-depth discussion of the legal, regulatory, and technological developments reshaping the consumer reporting ecosystem. Key Topics Discussed:  The broad reach of consumer reporting, including its role in underwriting, tenant and employment screening, fraud prevention, identity verification, and other activities that affect consumers' everyday lives. The Fair Credit Reporting Act (FCRA) and the obligations of consumer reporting agencies and data furnishers to maintain accurate information and investigate consumer disputes. The effects of the growing use of artificial intelligence The CFPB's recent changes to its consumer complaint portal The distinction between the FCRA's formal dispute process and complaints submitted to the CFPB The expanding role of alternative data in credit underwriting Section 1033 of the Dodd-Frank Act Regulatory outlook for the consumer reporting industry This episode offers a timely and practical examination of an industry in transition. For financial institutions, fintech companies, consumer reporting agencies, data furnishers, and their counsel, understanding these developments is increasingly important to navigating compliance obligations, evaluating emerging underwriting tools, and preparing for the next generation of consumer reporting. Consumer Finance Monitor is hosted by Alan Kaplinsky, Senior Counsel at Ballard Spahr, and the founder and former chair of the firm's Consumer Financial Services Group. We encourage listeners to subscribe to the podcast on their preferred platform for weekly insights into developments in the consumer finance industry.

The Supreme Court's June 29, 2026 decisions in Trump v. Slaughter and Trump v. Cook raise fundamental questions about presidential power, the independence of federal agencies, and the constitutional structure of the administrative state. Although both cases involved the President's authority to remove federal officials, the Court's decisions appear to point in different directions. In our latest Consumer Finance Monitor podcast, our host, Alan Kaplinsky (founder and former practice group leader for 25 years and now Senior Counsel of our Consumer Financial Financial Services Group) discuss these decisions and their potentially far-reaching implications with Professor Lev Menand of Columbia Law School, one of the country's leading scholars on administrative law, constitutional structure, financial regulation, and the Federal Reserve System. In our discussion, Professor Menand questions the historical analogy between those early banks and the modern Federal Reserve Board, emphasizing the distinction between a bank (which is what the First and Second Banks of the United States were) and a government agency that regulates banks (which is a significant part of what the Federal Reserve Board does.) We explore whether Cook establishes a meaningful exception to Slaughter, how far that exception might extend, and whether other financial regulators, including the FDIC, might be able to invoke similar arguments to preserve their independence. The conversation also examines several other important issues: The future of independent agencies The Federal Reserve's constitutional status Justice Gorsuch's nondelegation concerns Potential responses by Congress and the courts What lies ahead for financial services regulation The discussion concludes with Professor Menand's assessment of where the law may be headed over the next five years and why the long-term consequences of these decisions remain difficult to predict. Listen to our latest Consumer Finance Monitor podcast for an in-depth discussion of these consequential decisions and their implications for the future of the administrative state and federal financial regulation. Consumer Finance Monitor is hosted by Alan Kaplinsky, Senior Counsel at Ballard Spahr, and the founder and former chair of the firm's Consumer Financial Services Group. We encourage listeners to subscribe to the podcast on their preferred platform for weekly insights into developments in the consumer finance industry. Postscript: Trump Establishes Committee to Reconsider Lisa Cook's Removal Since recording this podcast, President Trump has announced a new effort to remove Federal Reserve Governor Lisa Cook. On October 7, Trump established a three-member committee of inquiry to investigate allegations that Cook made false statements in connection with mortgage documents and to recommend whether there is "cause" for her removal under the Federal Reserve Act. The committee consists of Kevin Hassett, director of the National Economic Council; Keith Sonderling, acting director of the Office of Government Ethics; and Andrea Lucas, chair of the Equal Employment Opportunity Commission.  The committee is scheduled to hold a closed, transcribed hearing at the White House on November 5, at which Cook may respond to the allegations and present evidence and arguments through counsel. It must provide written findings and a recommendation to Trump after receiving any post-hearing submission from Cook, due November 10. The initiative follows the Supreme Court's June decision leaving in place an injunction against Cook's removal while litigation proceeds, with the Court emphasizing the need to provide her notice of the allegations and an opportunity to respond. Cook's attorneys have questioned whether the new process will be impartial, pointing to Trump's repeated statements that he has already decided to fire her. The committee's proceedings could therefore provide an important test of the procedural requirements governing a President's authority to remove a Federal Reserve governor for cause. 

Artificial intelligence is increasingly changing single‑plaintiff consumer litigation, particularly by enabling pro se plaintiffs to file longer, more citation‑dense complaints more quickly, while simultaneously giving defense counsel tools to assess cases, identify weaknesses, and pursue early resolution or dismissal strategies. In the first episode of this series focusing on consumer financial services litigation, Joseph Schuster and Matthew Morr, partners at Ballard Spahr in our Consumer Financial Services Group, discuss both the tactical opportunities and the professional responsibility/ethics risks created by AI use in litigation. Key Topics Discussed: AI is driving higher volume and "more complete" pro se complaints: Complaints that were once handwritten and sparse are now often lengthy, AI‑generated filings that may include irrelevant material but appear more sophisticated Defense "jujitsu" strategy: attack AI tell‑tales early: A key defense tactic is verifying whether pro se plaintiffs' case citations are real and accurately stated; phantom or mischaracterized citations can support motions to strike, motions to dismiss, or requests for sanctions/show cause AI enables faster defense-side case assessment: Defense teams use AI for first‑pass complaint analysis, chronology building, allegation‑by‑allegation factual mapping, claim‑element matrices, missing record identification, and surfacing potential defenses Professional responsibility remains with counsel despite AI assistance: The transcript stresses that lawyers must verify both law and facts produced with AI, with courts criticizing parties who submit (or fail to flag) phantom cases and incorrect standards Privilege/work product issues are unsettled and fact‑dependent: The speakers describe an emerging debate about whether AI interactions are protected work product, including a Colorado ruling extending Rule 26 work product to AI‑assisted work and (in some circumstances) to pro se litigants, while also noting arguments that public generative AI use may waive confidentiality Concern about non-lawyers using AI as "agents": The transcript flags potential unauthorized practice of law where non‑lawyer companies use AI to negotiate or litigate on behalf of individuals, with anticipated defense efforts to investigate and challenge such conduct Overall, the conversation frames AI as both an equalizer for pro se litigants and a tool for defendants to more efficiently evaluate, rebut, and resolve claims where appropriate, while emphasizing that accuracy, diligence, and evolving privilege/ethics rules remain central litigation risks.

In the episode of the Consumer Finance Monitor podcast released today, the host of the show, Alan Kaplinsky (founder, former leader for 25 years, and now Senior Counsel of our Consumer Financial  Services Group) spoke with James Fallows Tierney, Associate Dean for Academic Affairs and Associate Professor of Law at Chicago-Kent College of Law, about his working paper, "The Value of Class Action Waivers: Evidence from Invalidation of the CFPB Arbitration Rule." Professor Tierney's research focuses on the intersection of law, financial markets and consumer finance.  His study uses financial-market data to examine how investors reacted to developments affecting the enforceability of consumer arbitration agreements containing class action waivers. Key Points Discussed: ·                 An Eight-Year Project ·                 Letting the Market "Speak" ·                 What Did the Study Find? ·                 What About Consumers? ·                 Important Limitations ·                 A Different Way of Looking at an Old Debate Listen to the full Consumer Finance Monitor podcast with Professor James Fallows Tierney to hear our discussion of his methodology, the 11 events examined in the study, the stock-market reaction to Congress's repeal of the CFPB arbitration rule, the study's limitations, and where this research could go next. Consumer Finance Monitor is hosted by Alan Kaplinsky, Senior Counsel at Ballard Spahr, and the founder and former chair of the firm's Consumer Financial Services Group. We encourage listeners to subscribe to the podcast on their preferred platform for weekly insights into developments in the consumer finance industry.