Texas Panel Relaunches TitleMax Payday Loan Rules Challenge

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Law360 (May 12, 2021, 6:53 p.m. EDT) – A Texas appeals court has restarted TitleMax of Texas Inc.’s lawsuit against the city of Austin challenging orders that place restrictions on payday loans and plans reimbursement, noting a recent Texas Supreme Court ruling, it said, paved the way for the lawsuit.

The panel found that, based on the Texas Supreme Court decision in Texas Propane Gas Association v. City of Houston, TitleMax can bring the challenge because the “essence” of the orders are civil even though they carry criminal penalties. Tuesday’s decision by Amarillo’s Seventh Court of Appeal overturns a trial court’s award of …

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