WASHINGTON—The U.S. Supreme Court has scheduled to hold oral arguments March 3, 2020 in the lawsuit filed by Seila Law challenging the CFPB's single-director structure.
The CFPB had previously announced it would no longer defend its director structure, following years of lawsuits and calls to reform it from various stakeholders.
Following the Supreme Court's decision to take up the case, NAFCU President and CEO Dan Berger reiterated the association's stance "that a commission structure at the CFPB is absolutely essential to ensuring greater transparency and accountability."
CFPB Director Kathy Kraninger notified congressional leaders of the Bureau's intent to no longer defend its structure and also reinforced that position during a House Financial Services Committee hearing. The Bureau also notified the Supreme Court of its intent in a court filing.
The case could also have implications on the structure of the Federal Housing Finance Agency (FHFA), NAFCU noted. The Fifth Circuit, sitting en banc, in September ruled that the FHFA's structure, which is also single director, is unconstitutional. The agency previously decided not to defend its structure; however, changed its position under current Director Mark Calabria.