Payments News Update – May 28, 2020

Legal and Regulatory Developments SPOTLIGHT: French Anti-Trust Watchdog Shines a Light on Fintech Finextra – May 27, 2020 France's competition authority has launched a public consultation into the fintech sector, with a focus on payment services. The payments sector is being upended by a combination of new technologies, such as mobile phones and blockchain, and new players, both fintech startups and big tech outfits. The Autorité de la concurrence is...

Financial Times Global Legal Hackathon Targeting Pandemic Issues Raises Interest in Whistleblowers Worldwide

In April, international business and economics newspaper The Financial Times launched a Global Legal Hackathon with a call for “organisations and individuals in the legal sector to develop solutions to problems created by the coronavirus pandemic.”  The hackathon aims to harness the collective capability, energy, and innovation of the world’s legal industry to develop multidisciplinary and technology-driven solutions that can support communities, governments and industries during this global emergency. The...

Payments News Update - May 21, 2020

Legal and Regulatory Developments SPOTLIGHT: Retailers and Wholesalers Call for Urgent Amendment of Card Fees Regulation Finextra – May 18, 2020 EuroCommerce Director-General Christian Verschueren today pressed the European Commission to act on the growing problems facing retailers and wholesalers resulting from the limited scope of the Interchange Fee Regulation (IFR). He asked for firm proposals to amend the legislation as a follow-up to the Commission report into the application...

Private Equity Ownership of Nursing Homes Might Have Made Everything Worse

Most nursing homes already had no room for error before COVID-19.  Years of private equity ownership and competition with other elder-care services dealt a one-two punch to the cash-strapped facilities’ ability to react to the pandemic crisis, says The New York Times in a troubling analysis.  In particular, private equity firms’ relentless quest for profits, miniscule margins, and regular cash-draining exacerbate the vulnerabilities.  While these firms may run from legal...

Let’s Talk about Nursing Homes – Who Will Raise the Red Flag Now That Routine Inspections Are Halted?

In March 2020, the federal government abruptly paused non-emergency inspections of some 15,300 nursing homes and other long-term healthcare facilities nationwide in order to focus on preparations to respond to the threat of COVID-19 pandemic.  This triage means that an on-site survey will be authorized only in cases of “immediate jeopardy” of serious harm (e.g., abuse) or reported infection-control deficiencies.  In lieu of routine inspections, nursing homes may now use...

Payments News Update - May 14, 2020

Legal and Regulatory Developments SPOTLIGHT: A Third Rail for Europe: SEPA Instant Payment Card Comes Into Focus PaymentsSource – May 11, 2020 (subscription required) The potential for a new card scheme throughout Europe has been a discussion point surrounding the Single Euro Payment Area since its inception more than a decade ago. A new proposal could bring this concept into reality. The Smart Payment Association is calling for use of...

Payments News Update - April 30, 2020

Legal and Regulatory Developments SPOTLIGHT: What Asia-Pacific Can Learn From EU’s Open Banking Initiatives PYMNTS – April 30, 2020 (click here for PYMNTS report) The COVID-19 pandemic has caused an impact on open banking developments worldwide as regulators, financial institutions (FIs) and businesses set their sights on helping their current customers rather than future innovations. Implementing any new standards during the pandemic was off the table for many markets, though...

Payments News Update - April 23, 2020

Legal and Regulatory Developments SPOTLIGHT: AAI Says It’s Time to Cancel Amex: Sabre-Farelogix Opinion Makes a Mockery of Market Definition American Antitrust Institute – April 21, 2020 (click here for the AAI commentary) In a new commentary addressing the Department of Justice’s recent defeat in attempting to block the merger of Sabre and Farelogix, AAI Vice President of Legal Advocacy Randy Stutz argues that the district court’s opinion betrays fundamental...

Payments News Update - April 16, 2020

Legal and Regulatory Developments SPOTLIGHT: Small Business Lending: Paypal, Intuit, Square to Facilitate SBA Paycheck Protection Loans International Business Times – April 14, 2020 A number of fintech firms, including PayPal Holdings Inc., Square Inc. and Intuit Inc., have retooled their lending programs and begun facilitating Small Business Administration Paycheck Protection Program loans through major U.S. banks. The companies say they can grant faster approval than banks and eliminate obstacles...

The Paycheck Protection Program is a Big Solution to a Big Problem, but it Needs Big Oversight

It’s no secret that our local bodegas, corner nail salons, and go-to restaurants are in trouble. The unprecedented nationwide stay-home initiatives may be flattening the curve, but they’re also threatening to bankrupt millions of small businesses and their employees. The Coronavirus Aid, Relief, and Economic Security (CARES) Act aims to address this problem with numerous programs, including the Paycheck Protection Program (PPP), funded at $349 billion in its first round,...