Tomorrow, the U.S. Supreme Court will hear oral argument in CFPB v. CFSA, in which the question presented is whether the CFPB’s funding mechanism violates the Appropriations Clause of the U.S. Constitution.
In an article requested by and published today in American Banker’s BankThink, Alan Kaplinsky, Senior Counsel (and former practice group leader) in Ballard Spahr’s Consumer Financial Services Group, argues that the Supreme Court should rule that the CFPB’s funding mechanism is unconstitutional. He does not urge the Court to dismantle the CFPB or invalidate all of its regulations as a remedy. Instead, Alan urges the Court to defer on deciding what the remedy for the constitutional violation should be in order to give Congress an opportunity to subject the CFPB to the annual Congressional appropriations process and ratify most CFPB regulatory and enforcement final actions.
The full article is available here for American Banker subscribers.
On October 17, 2023, from 2:00 p.m. to 3:30 p.m. ET, Ballard Spahr will hold a webinar roundtable, “The U.S. Supreme Court’s Decision in CFSA v. CFPB: Who Will Win and What Does It Mean?” Our exclusive roundtable brings together six attorneys who filed amicus briefs with the Supreme Court in the case. To register, click here.