It’s rare for a company to be this bold. It’s a sound legal argument, but it may not be the best public relations argument.
— Jenny Lee, a partner at Dorsey & Whitney’s Washington, D.C., office, commenting on the shocking arguments made by student debt servicer Navient in its motion to dismiss a complaint filed against it in January by the Consumer Financial Protection Bureau. Navient argued that because it was not required by federal law, borrowers could not “reasonably rely” on the company to counsel them about their debt repayment options. Furthermore, Navient said that its only duty was to act in lenders’ best interests, not borrowers’ best interests.
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Staci Zaretsky is an editor at Above the Law. She’d love to hear from you, so feel free to email her with any tips, questions, or comments. You can follow her on Twitter or connect with her on LinkedIn.