Description
Understand the regulatory backdrop that repayment agreements are subject to.Many businesses consider entering into repayment agreements with their employees or customers. Repayment involves paying money back that was previously borrowed. This presentation will discuss reasons for entering into repayment agreements, terms to include and exclude, and when and with whom businesses should not enter into repayment agreements. The presentation will explain the regulatory backdrop that repayment agreements are subject to and the potential necessity of acquiring a license to make and service them. The topic is intended to help businesses who are considering using repayment agreements (or who are already doing so) with flagging issues they need to address and get right for regulatory and compliance purposes. The program will also discuss heightened regulatory and enforcement activity involving repayment agreements that businesses need to be aware of. Repayment agreements can be beneficial to a business, but they also can present substantial risks of civil and regulatory liability.
Date: 2023-02-15 Start Time: End Time:
Learning Objectives
Reasons for Entering Into Repayment Agreements
• Increases Odds of Receiving Payment
• Can Avoid or End Litigation
• Can Replace Less Favorable Debt Contract Terms With More Favorable Repayment Contract Terms
Terms to Include in Repayment Agreements
• More Favorable Debt Contract Terms
• Ratification Terms or Terms Concerning Tolling of Statutes of Limitations
• Consideration Recitals
Terms to Not Include in Repayment Agreements
• Repayment Terms That a Reviewing Court or Regulator May Consider Unfair, Deceptive, Abusive, or Unconscionable
• Interest Terms That Violate Usury or Other Laws
• Terms That Require Guarantors If Prohibited by Law
When and With Whom Not to Enter Into Repayment Agreements
• Licensing, Ability to Repay, and Other Laws for Consumer Debt Obligations
• Medical and Nursing Home Debt Repayment Agreements
• Potential Loss of Lien Priority for Secured Debts Such as Mortgages and Auto Loans
• Bankruptcy Reaffirmation Agreements and Considerations
• Discharged and Time-Barred Debts
Regulatory and Enforcement Activity Involving Repayment Agreements
• Consumer Financial Protection Bureau Enforcement Jurisdiction and Activity
• Federal Trade Commission Enforcement Jurisdiction and Activity
• State Attorney General Enforcement Jurisdiction and Activity
CLE (Please check the Detailed Credit Information page for states that have already been approved) ,Additional credit may be available upon request. Contact Lorman at 866-352-9540 for further information.
David M. Bizar-Seyfarth Shaw LLP
