Attorney General’s Explanation Passes Court Test

PIERRE, S.D. (AP) - Attorney General Marty Jackley says a circuit judge has upheld his written explanation for a proposed 2016 ballot measure that would place restrictions on payday lenders.

Opponents challenged the explanation and asked that it be rewritten, but Jackley says Judge Kathleen Trandahl has denied the request.

The ballot initiative would cap interest on payday loans at 36 percent. Both sides have said it would effectively end payday lending in South Dakota because it would make it difficult to keep a business profitable.

Under state law, the attorney general is responsible for preparing explanations for proposed initiated measures, referred laws and constitutional amendments. Jackley's explanation includes a title, an objective, a summary of the purpose and effect of the proposed measure and a description of legal consequences.

  Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed