Piecemeal settlement through mandatory arbitration masks widespread misconduct like Wells Fargo’s fake-accounts scandal. Class actions bring such systemic abuses to light, and should always be an option for consumer redress.
House and Senate lawmakers formally filed resolutions on Thursday to repeal the Consumer Financial Protection Bureau's arbitration rule, but there were early signs that enacting them may prove challenging.
Sen. Tom Cotton, R-Ark., plans on leading Republican efforts to overturn the Consumer Financial Protection Bureau’s rule governing arbitration agreements and said Wednesday that a few Democrats might help the effort.
Most U.S. voters, including those who identify as Republicans, support the Dodd-Frank financial reform law and the Consumer Financial Protection Bureau, according to a poll conducted in late June.
The OCC and CFPB are engaging in a high-stakes battle over the latter agency's effort to rein in mandatory arbitration clauses, in a rare public spat between federal regulators.
Acting Comptroller of the Currency Keith Noreika has asked the CFPB to delay publishing its final arbitration rule, citing concerns about how it will impact the safety and soundness of banks.
The industry and GOP lawmakers face short time frames and other challenges in trying to repeal the Consumer Financial Protection Bureau's arbitration rule.
With the ink barely dry on the Consumer Financial Protection Bureau's final arbitration rule, defenders and critics of the rule were already girding for a congressional fight over its ultimate fate.
A federal appeals court is scheduled to hear oral arguments in August in a decade-old case against the San Francisco bank that could cost it hundreds of millions in penalties and restitution.
