The National Law Journal this morning observed the American Bar Association and Federal Trade Commission "tangling again" --this time, over regulations aimed at mortgage fraud.
In this latest round, the FTC had announced back in February a rule proposal that would affect for-profit companies that try to prevent home foreclosures by helping consumers re-negotiate their mortgage loans. The rule, printed in the March 9th. 2010 Federal Register, would bar the collection of advance fees and impose recordkeeping requirements, among other regulations, the article said.
"The rule would exempt lawyers in some cases, but the ABA says the exemptions are too narrow. In an 11-page letter to the FTC, Thomas Susman, the ABA's chief Washington lobbyist, writes that the rule as written could drive lawyers out of the mortgage-modification business and, as a result, harm consumers. The ABA wants a broader exemption for lawyers and their non-lawyer employees."