State of the States: State Creditors Bar Leadership Forum


Are you interested in the state level issues, legislation, and the work of SCBAs?

NCBA’s SCBA Leadership Forum meets the third Thursday of every month to share state level issues, legislation, best practices and to be a resource to help SCBAs grow. Our first 2022 open Town Hall is happening next week, February 17 at 3:00 p.m. ET.

During the Town Halls, SCBA leaders and members share topics including: 

  • Current state of your SCBA (opportunities and challenges)
  • Upcoming SCBA functions  
  • Creditor rights related bills pending in your state  legislature 
  • Operational and employee challenges
  • Resumption of normal debt collection litigation in your members’ offices
  • Anticipated State regulatory challenges ahead 

This list is by far non-exhaustive, and we want this to be an open and free flowing discussion. Should you be interested we welcome you to join NCBA’s SCBA Leadership Forum by emailing [email protected] with your name and respective SCBA.

Some examples of topics we cover and will likely hear more about during next Thursday's meeting include:

New York

On December 31, 2021, New York Governor Hochul signed into law S5724-A which reduces the annual rate of interest on judgments arising out of a consumer debt from 9% to 2%. The laws take effect 120 days from the Governor's signature, which is April 30, 2022. NYSCBA along with other industry stakeholders are exploring their options challenging this law that unfairly targets consumer debt only. Options include a court challenge focusing on the constitutional issues this law raises.


SB0156–This legislation is intended to correct and check one aspect of the ruling of the Court of Appeals in the matter of Cain v. Midland Funding, LLC. 38– 2020 (Md. Aug. 4, 2021). The decision is comprehensive and covers a lot of territory, however this bill concerns a limited issue created by the Cain holding: that actions on judgments may be brought by creditors for twelve years but judgment debtors only have three years to bring a claim. MDCBA and industry opposes SB 156 because it brings uncertainty to the law, makes multiple limitations periods subject to the same cause of action, and is harmful to consumers and businesses alike.

District of Columbia

B24-357 creates harms to consumers and small businesses. Pending before the DC city council is a permanent version of the temporary debt collection regulation bill that was enacted as a reaction to the pandemic.  Industry has met multiple times to draft a red-line version, as well as a two pager that summarizes industries’ concerns and requested technical amendments.  Among the concerns is the extremely restrictive three call attempts per week language that harms consumers’ ability to improve their credit and increases the likelihood they will be sued to recover their delinquent debt. Industry asks to have one contact with the consumer per week—the same standard new CFPB Reg. F establishes.

The stakeholder group continues to meet as they build consensus for a final version of the opposition documents.