CFPB Arbitration Rule

The White House announced that the president has signed H.J. Resolution 111, striking down the CFPB’s Arbitration Rule.  The Rule will not take effect on March 19, 2018, and a similar rule cannot be enacted without specific authorizing legislation. This does not change any state specific requirements or restrictions regarding arbitration clauses. Passwords to access the blog posts, and blog … Read More

Mandatory Arbitration Clauses

The CFPB has issued a new rule to ban companies from using mandatory arbitration clauses to deny consumers access to class action lawsuits. Companies that use mandatory arbitration clauses can make it financially impractical for the average consumer to sue, thus avoiding both the costs and potential court orders to cease the practices in question. The CFPB said its new rule … Read More

Mandatory Arbitration Clause Proposal

The CFPB released proposed rules prohibiting mandatory arbitration clauses in new contracts that deny groups of consumers class action options. The Rules would apply to most all consumer financial products and services that the CFPB oversees, including basic services – lending, storing, moving or exchanging money.  Under the Proposal, credit unions would still be able to include arbitration clauses in … Read More