Perform on-site supervision and examination as an outside financial services regulator for federally-recognized American Indian Tribes. Tribes are sovereigns that must have their own government regulators to make sure business operations within their boundaries are legal and safe. Sarah and her team go on-site, review documents and data, and interview employees of tribal lenders to examine and report on their compliance with tribal consumer protection laws, which often incorporate TILA, EFTA, GLBA, MLA, UDAAP, FDCPA, FCRA, OFAC regulations, the Red-Flags Rule, and specific tribal laws and regulations enacted by each sovereign. In her role as a regulator, Sarah requires tribal lenders to change practices that pose the risk of violating the law or cause consumer harm. With her advice, commissions issue regulatory guidance and can enforce violations of law with injunctive relief or civil money penalties.

Performed transaction due diligence for a major on-line financial services referral website in its acquisition of a credit repair and advisory business. We reviewed the transaction for contract compliance; drafted specific agreement provisions to protect the buyer in the event of a data breach or failures in PCI compliance; and ensured that the acquisition target was properly licensed and had all necessary state approvals to close the deal.

Enhanced operational efficiency for a lender and fiduciary loan servicer in the real estate market to streamline policies and procedures related to consumer privacy, attorney-represented debtors, and debt settlement and credit repair organizations (CROA). This project required analysis of the Telephone Solicitation Rule Advance Fee Ban (TSR), FDCPA, and the 50+ state and territory debt collection laws and regulations which might apply to creditors and fiduciaries that collect on their own accounts. The end product is a detailed policy and procedure portfolio to ensure compliant and effective handling of past-due accounts.

Act as outside financial services regulator for federally-recognized American Indian Tribes. Tribes are sovereigns that must have their own government regulators to make sure business operations within their boundaries are legal and safe. Sarah and her team use her experience standing up the CFPB to stand-up regulatory commissions with similar supervision and enforcement authorities as the CFPB and state departments of finance. This work ensures that tribal lender consumers receive the same regulatory protections as state-licensed lenders and that tribal governments exercise control and direction of their economic development projects.

In less than 90 days, Brownstein attorneys helped Habitat for Humanity of Metro Denver start-up and license a stand-alone mortgage lending and servicing affiliate. Support for this project included entity creation, transfer of mortgage assets between affiliates, and the creation and implementation of policies, procedures, and disclosures necessary for state and federal consumer financial protection compliance.

Successfully represented as amici the lending regulatory commission of an American Indian Tribe, the Habematolel Pomo of Upper Lake, in a lawsuit filed by the Consumer Financial Protection Bureau, alleging that lenders regulated by the commission violated federal unfair, deceptive, and abusive acts and practices (UDAAP) prohibitions because the tribally-owned and regulated lenders did not comply with some states’ lending laws. The lenders filed a motion to dismiss. Instead of responding to the arguments raised by the lenders, the Commission, and others, the Bureau filed a notice of voluntary dismissal.