Sheppard Mullin Financial Institutions Law Blog

Question: Is a separate agreement whereby a borrower pays a fee for a locked-in interest rate itself subject to the three-day cancellation right under the Truth In Lending Act?

Answer: Yes, according to the Ninth Circuit in Jones v. e*Trade Mortgage Corporation, 05 C.D.O.S. 1283.

Question: Does California state law combating predatory lending practices preempt Oakland's predatory lending law?

Answer: Yes, according to the 4-3 decision by the California Supreme Court in American Financial Services Association v. City of Oakland 05 C.D.O.S. 845 (January 31, 2005).