CFPB Argues to Retain Illinois Venue in Upper Lake TLE Case

Attorneys for the Consumer Financial Protection Bureau (CFPB) filed a memorandum to the U.S. District Court of Northern Illinois on Monday arguing the district judge should deny a motion to relocate the agency’s hotly contested case against four tribal lending entities (TLE) owned and operated by the Habematolel Pomo Tribe of Upper Lake. The Upper Lake TLEs filed a motion to change venue to Kansas back in June, arguing a substantial portion of the tribe’s lending operations were located in Kansas. The CFPB submitted its response to the motion this week claiming Illinois was a worthy venue- many of the alleged aggrieved borrowers reside in Illinois, while none live in Kansas.

The CFPB is suing the Upper Lake TLEs for alleged violations of the Truth in Lending Act and for unfair, deceptive, and abusive acts and practices (UDAAP) under the Consumer Financial Protection Act. The agency’s argument under UDAAP in this case could harm the future exercise of tribal sovereignty in the move for economic and political self-sufficiency. The Upper Lake TLEs have until August 28th to reply to the CFPB’s memorandum regarding transfer of venue. A new status hearing on the matter is set for September 12th.