Consumer Financial Protection Bureau v. Nationwide Biweekly Administration, Inc.

I. INTRODUCTION

17 This is a civil enforcement action brought by the Consumer Financial Protection Bureau 18 (CFPB) against entities and an individual whom the CFPB contends misled consumers. 19 Defendants sold a financial services product that purportedly allowed consumers to save 20 significant sums they would otherwise pay in mortgage interest. CFPB contended that few, if any, 21 consumers would come out ahead financially, given the effect of the fees defendants charged. 22 CFPB challenged several aspects of defendants’ marketing as allegedly misleading. 23 After a seven-day bench trial, the Court entered an Opinion and Order comprising the 24 findings of fact and conclusions of law required by Federal Rule of Civil Procedure 52(a). Then, 25 following consideration of briefing as to the appropriate form of a judgment and a motion for 26 reconsideration, a monetary judgment was entered against defendants Nationwide Biweekly 27 Administration, Inc., its wholly owned subsidiary Loan Payment Administration (“LPA”)1, and Daniel Lipsky, the founder, president, sole officer, and sole owner of Nationwide. The joint and several judgment was in the amount of $7,930,000,…