Pro-Company Groups Collectively Sue CFPB
Eighteen groups representing thousands of corporations and banks, including many chambers of commerce, jointly sued the Consumer Financial Protection Bureau in federal court in Dallas, Texas claiming that the CFPB's arbitration rule harms the public interest by precluding arbitration that typically benefits consumers in favor of class actions which they claim does not. Ironically, these pro-company interest entities didn't seek to arbitrate this action and instead themselves sought to bring a collective action against the CFPB much like a class action. The CFPB's rule precluding class actions against certain financial entities and in certain financial agreements has garnered more attention as Congress puts forth efforts to repeal the rule. Those in favor of the rule point to the recent scandals involving Wells Fargo creating fake accounts on behalf of consumers and the Equifax breach exposing consumers' sensitive information. Equifax initially offered "free credit monitoring" to those effected by its breach only if those individuals gave up their right to sue Equifax. Andersen Sleater Sianni attorneys fight for individuals' rights against corporate interests. Click here to read the lawsuit against the CFPB.