Looks like the law on this issue is a little more than murky! It’s good Democrat politics for A.G. McDaniel – he now gets to parade each of the non-compliant companies through the streets and get even more populist press.

LITTLE ROCK – Attorney General Dustin McDaniel on Tuesday said that only a handful of payday lending companies in the state have told his office they will shut down or have already done so rather than face the threat of a lawsuit accusing them of violating the state’s ban on high-interest loans.Friday is the deadline McDaniel gave 60 companies that operate 156 payday lending locations in the state to respond to a cease-and-desist letter the attorney general sent the firms last month. McDaniel said his office is already preparing for lawsuits against companies that don’t shut down by then.

“We are developing lists of potential defendants for litigation, which we expect to commence relatively quickly after the deadline has passed,” McDaniel told reporters in a conference call. “It will be sooner rather than later. It’s not something people will have to wait weeks to see.”

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