ROANOKE, Va.–A federal district court has again ruled that a plaintiff lacked standing to file a lawsuit against a credit union over alleged violations by its website of the Americans with Disabilities Act.
The latest suit to be dismissed involved Roanoke Valley Credit Union.
"This is the sixth complaint we have seen dismissed against a NAFCU-supported credit union and we are pleased to see the courts recognizing that these plaintiffs have no standing," said NAFCU CEO Dan Berger. "We will continue to defend our members against these meritless lawsuits."
NAFCU had earlier filed an amicus brief in support of RVCU, which was noted in the court's decision.
As has CUNA, NAFCU continues to call on federal agencies, states’ attorneys general and Congress to develop clear guidance and standards for website compliance.
Groups Send Letter to Congress
Separately, NAFCU has joined with more than a dozen other financial services industry trade groups in offering support for legislation that would require the CFPB to issue timely guidance on its rules in order to facilitate industry compliance and better protect consumers.
The groups sent a letter to House Financial Services Subcommittee Chairman Sean Duffy (R-WI) and Rep. Ed Perlmutter (D-CO) thanking them for introducing the Give Useful Information to Define Effective (GUIDE) Compliance Act (H.R. 5534).
"Market participants continue to be frustrated by CFPB guidance that contains caveats which serve to diminish the reliability of said regulation for future reference," the letter states. "The Bureau has been historically slow to issue guidance, which has created an environment of uncertainty amongst all stakeholders."
The groups highlight the lack of clarity around the bureau's "Know Before You Owe (KBYO)" rule and the resulting consequences for consumers and financial institutions.
Specifically, the letter offers support of the bill's provisions to:
- Set clear timelines for the CFPB to solicit industry questions and provide answers during and after the implementation process
- Require public notice before the bureau amends or revokes guidance
- Eliminate liability for acts that were consistent with guidance when they occurred, regardless of whether that guidance has since changed
- Require the Bureau to develop published guidelines for determining the size of any civil money penalties
NAFCU noted that it has repeatedly asked that the CFPB adopt a guidance process similar to other regulators where regulated entities can seek answers on unresolved or unclear issues. More guidance is needed from the Bureau that articulates clear supervisory expectations so credit unions have the information they need to operate in a safe, sound and compliant manner, the trade association said.