![]() ![]() The court found, upon applying the first step of the Chevron analysis, that “Congress has directly and unambiguously spoken on the issue at hand and only prohibits discrimination against applicants” (emphasis added). Natural Resources Defense Council, Inc., 467 U.S. The court, in its opinion, summarized the allegations as follows: “The CFPB alleges that Townstone’s acts and practices would discourage African-American prospective applicants, as well as prospective applicants in majority- and high-African-American neighborhoods in the Chicago MSA from seeking credit.” To determine whether the CFPB’s allegation of discrimination against “prospective applicants” was permissible under ECOA, the court applied the framework set forth in Chevron, U.S.A., Inc. ![]() The complaint, filed by the CFPB in July 2020, alleged that Townstone Financial, Inc., a nonbank retail-mortgage creditor and broker based in Chicago, engaged in discriminatory acts or practices in violation of ECOA, including: (1) making statements during its weekly radio shows and podcasts through which it marketed its services, that discouraged prospective African-American applicants from applying for mortgage loans (2) discouraging prospective applicants living in African-American neighborhoods from applying for mortgage loans and (3) discouraged prospective applicants living in other areas from applying for mortgage loans for properties located in African-American neighborhoods. District Court for the Northern District of Illinois dismissed with prejudice the complaint filed by the Consumer Financial Protection Bureau (CFPB), holding that the plain language of the Equal Credit Opportunity Act (ECOA) does not prohibit discrimination against prospective applicants. Townstone Financial fair lending case, the U.S. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |