Assistant Professor of Law, Kevin Tu, is being noticed for his recent scholarship. An August American Banker article entitled, "How California Law Put a Hot Payments Innovator on Ice", by Sean Sposito, cited a recent paper by Tu. His paper, "From Bike Messengers to App Stores: Regulating the New Cashless World", is the basis for a forthcoming article in the Alabama Law Review at the University of Alabama School of Law.
According to Tu, recent state laws nationwide tend to define money transmission so broadly that even bike messengers and app stores would appear to require licenses in some jurisdictions. Exemptions, he says, “…vary from state to state, so there is no consistency.” In the American Banker article, Tu also adds, "…as a general matter, there are few if any exemptions that might arguably apply to exempt some of these new mobile payment systems from the licensing requirements."
In his paper, Tu calls for reforms that would narrow the scope of state regulations to cover only "services that pose a real risk of loss" to the consumer.
To read Prof. Tu’s full comments and the article visit the American Banker site.
To read Prof. Tu’s Alabama Law Review abstract, visit: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2235937##
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August 30, 2013