Venable partner Jonathan Pompan was quoted in the April 2016 issue of Corporate Counsel on litigation targeting electronic payments. Increasingly, class action suits are being filed over something as routine as deducting periodic payments from a customer's bank account. Under the Electronic Funds Transfer Act, a company must obtain authorization from a customer before making an electronic debit and provide a copy of the authorization.
"Payments may not always get the attention it needs from a regulatory compliance perspective. It's not on the radar but it should be," said Pompan.