Breaking: CFPB Structure Is Constitutional

This Alert Was Sent To Me By Theresa Ballard

The legendary compliance management consultant, and I thank her everyday for her assistance in our presentation of MLO courses. When I met Theresa, I could not even spell MLO.

An En Banc Panel Of D.C. Circuit Judges On Wednesday Overturned A Ruling

This would have allowed President Donald Trump to fire the Consumer Financial Protection Bureau’s director at will, preserving the agency’s current structure and setting up a potentially messy process before the U.S. Supreme Court.

The full panel of D.C. Circuit judges voted 7-3 to reverse a split October panel decision that found the CFPB’s single-director leadership structure and restriction allowing the president to fire the director only for cause was unconstitutional.

The Full D.C. Circuit Court Of Appeals

The D.C. CCOA ruled that the current structure of the agency, which allows for a single director who cannot be removed by the president except for cause, “is consistent with Article II” of the Constitution.

The Opinion For The Majority Was Written By Cornelia Pillard

Cornelia is an Obama appointee. The original three-judge panel that found the bureau’s structure unconstitutional in 2016 dissented.

The case was first brought against the CFPB by a lender, PHH Mortgage Corp., that had been fined by the bureau and sued it as unconstitutional.

Now, This Decision Seems Like Shutting The Backdoor After The Houses Have Exited

Cordray could have kept his job. This situation plays like a B level soap opera.

No comments yet.

Leave a Reply

More Information & Classes -