Today's Date: March 2, 2024
EMPOWER Leads Foster Care Services for All Children and Families in the Metroplex East Region   •   Duncan's First Nation celebrates the opening of a new water treatment plant   •   Children’s Hospital Los Angeles Launches Ninth Annual Make March Matter® Fundraising Campaign   •   Meridiam Breaks Ground in Selma, Alabama, on Transformative Fiber Infrastructure Project   •   Canada is connecting more than 150 Northwest Territories households to high-speed Internet and bringing mobile connectivity to r   •   WM Elects Tom Bené to Board of Directors   •   Calvin Klein Fragrances announces Idris and Sabrina Elba as the face of new Calvin Klein ETERNITY AROMATIC ESSENCE fragrance cam   •   AHF Opens Food Pantry for San Diego Veterans   •   Standing Buffalo and Canada sign roadmap to advance reconciliation and rebuild their relationship   •   Croptimistic Releases Inaugural Sustainability Report   •   /C O R R E C T I O N -- Lexus/   •   Barnes & Noble Education Receives Continued Listing Standard Notice From NYSE   •   University of Phoenix Continues Nationwide Networking Series, "Small Bites, Big Connections," Fostering Alumni Community Bonds   •   Minister Qualtrough announces investments in sport and physical activity opportunities for Indigenous communities   •   Pittsburgh 12th Grader Selected to Join Million Girls Moonshot Flight Crew   •   Ventas to Participate in Investor Meetings at Citi 2024 Global Property CEO Conference   •   1,000 Dream Fund Kicks Off Women's History Month Celebration with Twitch Charity Fundraiser in Partnership with Twitch Women's U   •   Robust AI: Transforming Education and Healthcare with AI-Powered Teacher Apps   •   The Family Initiative (TFI) Becomes One of the Largest Community-Based Care Child Welfare Agencies in the U.S.   •   Mexico City's Night Sky Lights Up With Opening of Scientology Church for Del Valle
Bookmark and Share

Suit Against Payday Lenders Gets Green Light

WASHINGTON - In the case of Andrea Felts v. CLK Management, Inc. and Cash Advance Network, Inc., the defendants had appealed two earlier district court decisions: in July 2009, the District Court of Bernalillo County (N.M.) denied CLK Management, Inc.’s motion to compel arbitration; then in November 2009 the court denied Cash Advance Network, Inc.’s identical motion.

On Wednesday, March 2, 2011, Judge Cynthia A. Fry of the New Mexico Court of Appeals in Albuquerque wrote an opinion for a three-judge panel that affirmed those lower court decisions and approved the plaintiffs’ class action.

Paul Bland, an attorney with Public Justice, P.C., argued for the plaintiffs on the appeal.

“The Court of Appeals has insisted that our client should be given her day in court,” said Bland.  “These internet payday lenders were trying to use the fine print of their contract to exempt themselves from and undermine New Mexico’s consumer protection laws by shielding them from any kind of lawsuit.”

Lead class member Andrea Felts and other New Mexico consumers who obtained loans for less than $2,500 allege that the defendants engaged in online lending practices in direct violation of New Mexico State law.

“My office supported this lawsuit because we believe the lenders in this case took advantage of consumers and such practices are against public policy,” said New Mexico Attorney General Gary King.  “I am pleased that the Court of Appeals directed that the victims here will be allowed to continue their legal action against these lenders.  New Mexico adopted legislation in 2007 that regulated the payday loan industry to protect consumers from excessively high interest rates and unfair business practices such as those alleged in the plaintiffs’ lawsuit.”

The case began in late 2007 when Ms. Felts, then a 38-year-old high school administrator in Albuquerque, was going through a costly divorce.  In need of extra money to make ends meet, she turned to an online payday lender for three loans of around $400 each.

She was then charged interest rates of 684, 730 and 521 percent on those three loans.

When Ms. Felts could not keep up with her payments, the lenders began to contact her repeatedly, both at work and at home.  She sometimes received more than twenty calls per day, and her 13-year-old daughter was subjected to calls as well.  The lenders even threatened Ms. Felts with jail.

Lead counsel for Ms. Felts is Rob Treinen of Albuquerque.  The plaintiffs are also represented by the Schaefer Law Firm of Minneapolis, Minn.

New Mexico Attorney General Gary King and Assistant Attorney General Karen Meyers joined Public Justice in filing an amicus brief on behalf of the plaintiffs.  Public Justice’s Amy Radon was the principal author of Ms. Felts’ appellate brief.


STORY TAGS: Hispanic News, Latino News, Mexican News, Minority News, Civil Rights, Discrimination, Racism, Diversity, Latina, Racial Equality, Bias, Equality



Back to top
| Back to home page
Video

White House Live Stream
LIVE VIDEO EVERY SATURDAY
Breaking News
alsharpton Rev. Al Sharpton
9 to 11 am EST
jjackson Rev. Jesse Jackson
10 to noon CST


Video

LIVE BROADCASTS
Sounds Make the News ®
WAOK-Urban
Atlanta - WAOK-Urban
KPFA-Progressive
Berkley / San Francisco - KPFA-Progressive
WVON-Urban
Chicago - WVON-Urban
KJLH - Urban
Los Angeles - KJLH - Urban
WKDM-Mandarin Chinese
New York - WKDM-Mandarin Chinese
WADO-Spanish
New York - WADO-Spanish
WBAI - Progressive
New York - WBAI - Progressive
WOL-Urban
Washington - WOL-Urban

Listen to United Natiosns News