Here (behind paywall). The article lists various possible industry strategies for blocking the rule: fire CFPB Director Cordray before he can adopt the new rule or after it is adopted and appoint a new director who will rescind it; Congress could preempt the rule from taking effect through the Congressional Review Act or the Financial Choice Act; challenge a rule through litigation. In one interesting passage, an opponent of a CFPB arbitration rule, Virginia law professor Jason Johnston, seemingly acknowledges that arbitration prevents consumers from asserting small claims:
Currently, a wide range of consumer finance firms have been shielded from billions in potential liability, especially over small-dollar disputes that might lead to class actions but are bound by mandatory arbitration. Filing an arbitration claim costs about $200, so any dispute for less than $200 likely does not get filed.
The average $200 fee "is a barrier to filing an arbitration claim," Johnston said.
He suggests that institutions take care of many small-dollar disputes because companies refund billions in consumer fees and charges every year. But there is no data repository to determine how many refunds stem from disputed charges.
