CFPB Director Richard Cordray Plans To Resign

Consumer Finance Blog Nov 15, 2017 Tampa, FL

By: Murray Silverstein and Jacob Boehner

Richard Cordray announced today that he is resigning the end of this month. Cordray, an Obama appointee and the first director of the Consumer Financial Protection Bureau (“CFPB”), informed his staff of his plans, with some speculating that he has his sights set on running for governor of Ohio, his home state.

Cordray has drawn extensive criticism in his tenure as director. His resignation comes on the heels of Congress’s vote to rescind the CFPB’s final rule banning the use of pre-dispute arbitration clauses in consumer arbitration agreements to block consumers from bringing class action lawsuits. President Trump later signed Congress’s joint resolution, effectively repealing the CFPB’s final arbitration rule even after receiving a letter from Cordray imploring him to uphold the rule.

The president’s express criticism of the arbitration class action waiver rule was clear well before he signed Congress’s joint resolution. Both before and after the congressional votes, the president released statements first disapproving of the CFPB’s final rule and then praising Congress for voting to rescind it. It seems clear that President Trump will be motivated to appoint a new director who is more politically and ideologically aligned with the current administration. The resignation of Cordray is a watershed moment in the consumer finance industry as the often criticized overreaching of the CFPB is likely to come to an end with a Republican-appointed director who will likely issue more modest rules that will benefit consumers without also harming financial institutions.

*The information in this article is provided for general informational purposes only, and may not reflect the current law in your jurisdiction. No information contained in this post should be construed as legal advice from Greenspoon Marder, P.A., In New York, Greenspoon Marder, P.A. practices under the name Greenspoon Marder, P.A. P.C. In California, Greenspoon Marder LLP practices using the fictitious name and trademark Greenspoon Marder under license from Greenspoon Marder, P.A., or the individual author(s), nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through, this Post without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country or other appropriate licensing jurisdiction.

About Greenspoon Marder

Greenspoon Marder LLP is a full-service law firm with over 240 attorneys and more than 20 office locations across the United States. With operations from Miami to New York and from Denver to Los Angeles, our firm attracts some of the nation’s top talent in key markets and innovation hubs. Our core practice areas include Real Estate, Litigation, and Transactional Services, complemented by the capabilities of a full-service firm. Greenspoon Marder has upheld a spot on The American Lawyer’s Am Law 200 as one of the top law firms in the U.S. since 2015, and our goal is to provide exceptional client service by developing a thorough understanding of each client’s business needs and objectives in order to provide strategic, cost-effective solutions.

MEDIA CONTACT

Natalie Villanueva, Director of Marketing
954.333.4308 | natalie.villanueva@gmlaw.com

This Greenspoon Marder LLP Client Alert is issued for informational purposes only and is not intended to be construed or used as general legal advice nor a solicitation of any type. Please contact the author(s) or your Greenspoon Marder LLP contact if you have any questions regarding the currency of this information. The hiring of a lawyer is an important decision. Before you decide, ask for written information about the lawyer’s legal qualifications and experience.

Next Previous

Subscribe to our
Consumer Finance Blog

Search By Author

Search By Practice Area

Search By State

Consumer Finance Blog

CFPB Director Richard Cordray Plans To Resign

Share

Subscribe to our
Consumer Finance Blog

News & Events

News & Events

Consumer Finance Blog

CFPB Director Richard Cordray Plans To Resign

Share

Subscribe to our Consumer Finance Blog

News & Events

News & Events

Subscribe to our
Consumer Finance Blog