| Topics and Issues | Credit repair (34) |
In May 2019, the CFPB announced its suit in federal court in Utah against “PGX Holdings Inc. and subsidiaries Progrexion Marketing Inc., Progrexion Teleservices Inc., eFolks LLC, and CreditRepair.com Inc.; and against John C. Heath, Attorney at Law PLLC, which does business as Lexington Law.” The announcement added that
The lawsuit, filed in U.S. district court in Utah, alleges the defendants violated the Telemarketing Sales Rule (TSR) by requesting and receiving payment of prohibited upfront fees for their credit repair services. Under the rule, companies can only charge fees for telemarketed credit repair services after providing consumers with documentation reflecting that the promised results have been achieved. That documentation cannot be provided to consumers until more than six months after the results were achieved. The Bureau also alleges that Progrexion and its subsidiaries violated the TSR and the Consumer Financial Protection Act by making deceptive representations in its marketing, or by substantially assisting others in doing so.
Relevant documents:
- 2021 12 10 – CFPB Motion for Partial Summary Judgement on Count 1 (TSR)
- 2022 07 14 – CFPB Motion to Clarify Counts 2 – 5
- 2022 08 10 – CFPB Motion to Exclude Testimony of John Ulzheimer
- 2022 08 17 – Amended Complaint
- 2022 08 31 – Lexington Law Answer to Amended Complaint
- 2022 08 31 – Progrexion Answer to Amended Complaint
- 2023 03 10 – Order Granting the CFPB’s Motion for Partial Summary Judgment on Count 1