The PLA editors have created a database of enforcement actions that include allegations of unfair, deceptive, or abusive acts or practices (UDAAP) in connection with consumer financial products. The database focuses on enforcement actions by the Consumer Financial Protection Bureau, the Office of the Comptroller of the Currency, and the Federal Trade Commission. PLA will be updating the database from time to time and intends the database to facilitate analysis of the themes and patterns in these agencies’ UDAAP enforcement actions.
Federal regulators of consumer financial products and services have increasingly relied UDAAP laws to regulate financial institutions. While the traditional rulemaking process provides a robust opportunity for regulators to explain their rationale behind a particular legal issue, and for providers to understand and comply with the law, UDAAP interpretations are instead expressed through fact-specific enforcement actions. Moreover, many of these enforcement actions are resolved through consent orders, without the benefit of judicial opinions assessing the merits of the regulators’ allegations. The result is a patchwork of texts that together embody the federal government’s view of what constitutes a UDAAP violation. That said, careful and wide-ranging analysis – hopefully, facilitated by this database -- should disclose continuities that can inform financial service providers’ compliance planning, among other functions.
To access the database, click here.