CFPB, Federal Agencies, State Agencies, and Attorneys General
The final version of the National Defense Authorization Act for Fiscal Year 2022 (NDAA) (S. 1605) currently awaiting President Biden’s signature does not contain several proposed provisions that members of the consumer financial services industry had opposed.
Specifically, the NDAA does not contain provisions that would have:
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The U.S. House of Representatives has fired another salvo against class and collective action waivers in employment agreements. The recently passed Build Back Better Act (BBB Act) would amend the National Labor Relations Act (NLRA) to make it unlawful for employers to enter into or attempt to enforce any agreement whereby, prior to a dispute,…
On June 11, the American Bankers Association and the Consumer Bankers Association, represented by Ballard Spahr, filed an amicus brief in support of a petition for certiorari asking the Supreme Court to review the Ninth Circuit’s ruling in HRB Tax Group, Inc. v. Snarr that the Federal Arbitration Act (FAA) does not preempt California’s McGill…
Professor Jeff Sovern responded to our blog criticizing his proposal for a new CFPB arbitration rule by asserting that his proposed rule is not substantially the same as the prior CFPB rule that Congress vetoed and, therefore, the Congressional Review Act would not bar its promulgation. According to Professor Sovern: “I don’t see how my…
The United States Supreme Court granted certiorari in Badgerow v. Walters, No. 20-1143 on May 17, 2021. The question presented is “[w]hether federal courts have subject matter jurisdiction to confirm or vacate an arbitration award under Sections 9 and 10 of the [Federal Arbitration Act (“FAA”)] where the only basis for jurisdiction is that…
Consumer advocates often contend that Congress should prohibit arbitration agreements with class action waivers because servicemembers and other consumers need class actions to effectuate their statutory rights. However, a report issued by the Government Accountability Office (GAO) to Congress last month contains data that refutes that argument.
The GAO report studied the impact of mandatory…
After reviewing the legal developments leading to this surging litigation phenomenon and describing its use by plaintiffs’ attorneys, we discuss the courts’ position on mass arbitration, short-and long-term strategies for companies to consider in addressing the risks of mass arbitration demands, including revisions to arbitration agreements, changes to AAA’s fee schedule, and policy implications.
Ballard…
NACA is one of the plaintiffs in the Massachusetts lawsuit challenging the CFPB’s creation of its Taskforce on Federal Consumer Financial Law. Mr. Rheingold discusses the legal basis for the lawsuit, NACA’s views on how the CFPB should approach modernization of federal consumer financial laws, and NACA’s support for federal legislation or new CFPB rulemaking…
Proposed legislation now working its way through the New Jersey Senate would eliminate the eligibility of postsecondary students and other individuals for State student assistance, training and employment services, including grants, scholarships and loans, if the school or training provider requires students to sign enrollment contracts that include “forced arbitration and other restrictive clauses, including…
After a recap of industry’s successful history in defeating challenges to the use of arbitration agreements to limit class action exposure, we discuss the threat of individual public injunctive relief claims to the use of arbitration resulting from recent California and Ninth Circuit decisions, efforts to distinguish such claims from claims for other relief, drafting…
