Reply from Eastside Lenders
Date: Fri, 12/14/2007 - 16:52
Here is a response received by my state AG from Eastside Lenders after my state AG contacted them NUMEROUS times with no response. They state they are responding to their letter dated August 15, 2007. What is it now? December? Good Lord. And check it out. Apparently, they firmly believe they are "above" the law. Not that anyone would be surprised. Also, they state that they are located/licensed by Delaware. However, from what I have found, they are not licensed in Delaware. I did find a license for them somewhere, and I'll be darned if I can remember what state it was now; however, it was not Delaware. I just wanted to share Eastside Lenders views with all those who are still hounded by them.
[quote]Eastside Lenders, which is located in Delaware, is licensed by the State of Delaware to make small loans. All such loans are approved and funded in Delaware, with repayment to be made in Delaware. The East Side Lenders loan agreement and website contain all disclosures required by Delaware and federal law and make it clear that all transactions are governed by Delaware law.On advice of counsel, East Side Lenders maintains that the conduct of a national internet lending program itself is insufficient to establish legislative or regulatory jurisdiction over East Side Lenders. In addition, on advice of counsel, we maintain that attempts to regulate East Side Lenders extraterritorially run afoul of the dormant commerce clause of the Constitution. Finally, on the advice of counsel, East Side Lenders maintains that the choice of Delaware law as controlling in the loan documents would be upheld, as all of the significant contacts in the loan transaction occur in Delaware. In responding to your letter, East Side Lenders notes and reserves these objections, as well as others, including, but not limited to, personal jurisdiction.[/quote]
[quote]Eastside Lenders, which is located in Delaware, is licensed by the State of Delaware to make small loans. All such loans are approved and funded in Delaware, with repayment to be made in Delaware. The East Side Lenders loan agreement and website contain all disclosures required by Delaware and federal law and make it clear that all transactions are governed by Delaware law.On advice of counsel, East Side Lenders maintains that the conduct of a national internet lending program itself is insufficient to establish legislative or regulatory jurisdiction over East Side Lenders. In addition, on advice of counsel, we maintain that attempts to regulate East Side Lenders extraterritorially run afoul of the dormant commerce clause of the Constitution. Finally, on the advice of counsel, East Side Lenders maintains that the choice of Delaware law as controlling in the loan documents would be upheld, as all of the significant contacts in the loan transaction occur in Delaware. In responding to your letter, East Side Lenders notes and reserves these objections, as well as others, including, but not limited to, personal jurisdiction.[/quote]
cannr-I believe you found out they were licensed in Utah.
cannr-I believe you found out they were licensed in Utah.
