Peter Conti-Brown of Penn’s Wharton School and the Brookings Institution and Brian D. Feinstein, also of Wharton have written Banking on a Curve: How to Restore the Community Reinvestment Act, Harvard Business Law Review, Forthcoming. Here’s the abstract: The federal government’s primary financial-regulatory tool for combating wealth inequality is broken. Intended to push banks towards deeper engagement […]
From the announcement: The American Law Institute’s Council voted today to approve the launch of a Principles of the Law project that will address a serious challenge facing state courts: the adjudication of high-volume, high-stakes, low-dollar-value civil claims. The project will be led by Reporter David Freeman Engstrom of Stanford Law School. These types of […]
Here. Behind a paywall, but also available on Lexis. Excerpt: * * *The Fifth Circuit is claiming the CFPB wields broader regulatory authority than the Fed, a full-fledged bank regulator that engages in rulemaking and enforcement, operates the payment systems that are the backbone of the economy, and regulates monetary policy and employment. This is […]
by Jeff Sovern Here, in the NY Daily News. My latest op-ed. Excerpt: You might not expect that in the year 2022, businesses would go to court asserting a right to discriminate. Yet that is essentially what the Chamber of Commerce and various banking groups did last month when they sued the Consumer Financial Protection Bureau. The […]
That's the takeaway from Evan Weinberger's Bloomberg Law report, CFPB Funding Decision Is Grist for Agency Enforcement Fights. Excerpt: At least two companies targeted in CFPB enforcement actions have already pointed to the ruling to ask other courts to dismiss the actions on constitutional grounds. Others will wield the US Court of Appeals for the Fifth […]
Here. Definitely worth a read.
Yesterday evening, a federal court in Missouri dismissed a challenge by six states (Nebraska, Missouri, Arkansas, Iowa, Kansas, and South Carolina) to the Department of Education's plan to cancel $10,000 (or $20,000 for Pell grant recipients) of federal student-loan debt. The court held that the states lacked standing to bring the case. The district court […]
This afternoon, Justice Amy Coney Barrett denied, without comment, a request from a taxpayers’ association in Wisconsin to enjoin the Biden Administration's plan for student debt relief. The lower court had held that the plaintiff lacked standing. The New York Times has the story, here.
Read the opinion. The court summarized its ruling this way: Community Financial Services Association of America and Consumer Service Alliance of Texas challenge the validity of the Consumer Financial Protection Bureau’s 2017 Payday Lending Rule. The Plaintiffs contend … that the Bureau is unconstitutionally structured. [We agree with the Pplaintiffs that] Congress’s decision to abdicate […]
Subscribers to our daily email digest of blog posts will have noticed that the emails have stopped coming. We have not been able to fix the problem but continue to work on it. Until it is fixed, please visit us here, on the website, to read our latest posts about consumer law and policy.