The CFPB Survived The High Court, But Will All Of Its Rules?

The CFPB Survived The High Court, But Will All Of Its Rules?

July 6, 2020, Law360

Eric Mogilnicki is quoted in Law360 regarding the Supreme Court's decision settling the long-standing debate around the constitutionality of the Consumer Financial Protection Bureau. Mr. Mogilnicki says the move to remand the case nevertheless "suggests that ratification is a live legal issue.” He adds, “Although the court doesn't quite say that ratification is required, it does suggest that ratification matters, and if it matters for Seila Law, it matters for a lot of folks in a lot of contexts.”

Mr. Moginicki discussed the CFPB’s director Kathleen Kraninger’s willingness to revisit regulations written before her arrival at the agency, saying, “She could, in the interest of clarity, simply ratify all actions taken by prior directors, but the temptation should be considerable to pick and choose.”