This article by C. Ryan Barber says that
U.S. Justice Department lawyers convinced [U.S. district judge Timothy] Kelly that the Federal Vacancies Reform Act should control the outcome of the leadership dispute. That law gives the president wide authority to install Senate-confirmed acting heads at executive agencies. Kelly said the text of the vacancies law applies in English’s case. “On its face, the [Federal] Vacancies Reform Act does appear to apply to this situation,” Kelly said in court Tuesday. He said the text of the law “does not say that VRA would not be available in this situation.”
So, at least for the time being, we have a leader of the CFPB that described the agency as "a sad, sick joke."
The Washington Post has this on the decision.