Joseph Reilly Quoted in National Mortgage News Article, "Lawmakers Urge CFPB to Go Easy on Enforcement of New Disclosures"Joseph J. Reilly
Joseph Reilly was quoted in Brian Collins’ National Mortgage News article, “Lawmakers Urge CFPB to Go Easy on Enforcement of New Disclosures,” on Friday, April 10, 2015.
The agency has said its combined Real Estate Settlement Procedures Act and Truth in Lending Act mortgage disclosure forms will go into effect Aug. 1.
The ABA is working with other industry groups, CFPB officials and lawmakers to find some level of an accommodation.
The CFPB and other government agencies could provide a grace period and refrain from enforcement actions until Jan. 1.
However, the new RESPA/TILA regime creates a private right of action and lenders can be held liable for any errors in the new closing disclosure document by private litigants, according to Joseph Reilly, a partner at Buckley Sandler LLP.
"If the rule goes live on Aug. 1, there is nothing the CFPB can do stop private lawsuits," Reilly said at the ABA conference.