On February 5, 2024, several national and Texas banking and business trade groups (Plaintiffs) filed a lawsuit challenging the final regulations (Final Rules) implementing the Community Reinvestment Act of 1977 (CRA) that were jointly adopted in October 2023 by the Office of the Comptroller of the Currency, Federal Deposit Insurance Corporation, and Federal Reserve Board (Agencies).… Continue Reading
Litigation and Court Decisions
Texas federal court enters order transferring to D.C. federal court lawsuit challenging CFPB final credit card late fee rule; Fifth Circuit stays transfer order until April 2
Last week ended with an intense flurry of activity in the lawsuit challenging the CFPB’s final credit card late fee rule (Rule). The flurry followed the plaintiffs’ March 25 filing of a Notice of Appeal after the district court denied their motion for expedited consideration of their preliminary injunction motion. In their Notice of Appeal, the plaintiffs assert that the denial of their motion for expedited consideration effectively denied their request for meaningful preliminary injunctive relief.… Continue Reading
Plaintiffs in credit card late fee rule case ask Fifth Circuit to keep appeal even though the district court has scheduled a preliminary injunction hearing
On March 26, 2024, the plaintiffs in the lawsuit challenging the CFPB’s final credit card late fee rule (“Final Rule”) filed a Notice Regarding Their Emergency Motion for Injunction Pending Appeal and Administrative Stay in the Fifth Circuit. Plaintiffs, who noticed their interlocutory appeal of the federal district court’s “effective denial” of their motion for a preliminary injunction on Tuesday, asked the appeals court to allow the appeal to continue even though the district court has scheduled an April 2, 2024 hearing on their motion for a preliminary injunction.… Continue Reading
Opt-out challenge case assigned to Colorado federal Judge Daniel D. Domenico
By Alan S. Kaplinsky on
As we previously reported, on March 25, 2024, three consumer financial services industry trade groups filed a lawsuit in federal district court in Colorado challenging legislation recently adopted to opt out of rate exportation rights afforded to state banks under federal law. National Association of Industrial Bankers et al. v.… Continue Reading
Texas federal court sets April 2 hearing on plaintiffs’ preliminary injunction motion in lawsuit challenging CFPB final credit card late fee rule; plaintiffs file notice of appeal following denial of motion for expedited consideration of preliminary injunction motion; CFPB moves to transfer venue to D.C. federal court
The Texas federal district court hearing the lawsuit challenging the CFPB’s final credit card late fee rule (Rule) issued an order today setting April 2 as the date for a hearing on the plaintiffs’ motion for a preliminary injunction. Yesterday, the plaintiffs filed a notice that they are appealing to the Fifth Circuit the Texas federal district court’s “effective denial” of their motion for a preliminary injunction. … Continue Reading
Colorado interest rate preemption opt-out challenged in federal court
On March 25, 2024, three consumer financial services industry trade groups filed a lawsuit asking the federal district court in Colorado to strike down recent Colorado legislation purporting to opt out of a federal law that allows FDIC-insured state-chartered banks to “export” interest rates on interstate loans to the same extent as their national bank counterparts. … Continue Reading
Court denies motion for expedited consideration of plaintiff’s preliminary injunction motion in credit card late fees suit
On March 20, 2024, the court forcefully denied the motion for expedited consideration of plaintiff’s preliminary injunction motion in the lawsuit challenging the Consumer Financial Bureau’s (“CFPB”) final credit card late fee rule. Plaintiffs, including the U.S. Chamber of Commerce, American Bankers Association, and Consumer Bankers Association, had filed the motion just the day before, asking the court to address their request for injunctive relief before determining the venue issue the judge in the case had raised sua sponte on March 18.… Continue Reading
Judicial Conference issues policy regarding random assignment of judges
By Brian Turetsky on
Posted in Litigation and Court Decisions
On March 12, 2024, the Judicial Conference of the United States (“Judicial Conference”) announced that, in an effort to limit the ability of litigants to select judges in certain cases based on where they file lawsuits, it has strengthened its policy regarding random civil case assignments. The policy, which would assign judges through a district-wide random selection process, is aimed at civil actions that seek to bar or mandate state or federal actions through declaratory actions or injunctive relief.… Continue Reading
CFPB notifies Texas federal court of intention to move to transfer case challenging final credit card late fee rule; plaintiffs seek expedited consideration of preliminary injunction motion before court decides venue issues
Yesterday, the CFPB filed a notice with the Texas federal district court stating that it intends to move to transfer the lawsuit challenging the CFPB’s final credit card late fee rule (Rule). The notice was filed pursuant to an order entered by the court on March 18 questioning whether the Fort Worth Division of the Northern District of Texas is the correct venue to hear the lawsuit.… Continue Reading
Texas federal judge hearing trade group lawsuit challenging CFPB final credit card late fee rule questions whether venue is proper and orders expedited briefing
The federal district court judge to whom the lawsuit challenging the CFPB’s final credit card late fee rule (Rule) was reassigned entered an order yesterday questioning whether the Fort Worth Division of the Northern District of Texas is the correct venue to hear the lawsuit.
In the order, Judge Mark Pittman states that “[t]he Court is [wary] that there appears to be an attenuated nexus to the Fort Worth Division, given only one plaintiff of the six in this matter has even a remote tie to the Fort Worth Division.” … Continue Reading