CFPB to Remove Arbitration Rule from CFR

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The CFPB is scheduled to publish a notice in tomorrow’s Federal Register removing the agency’s final arbitration rule from the Code of Federal Regulations (CFR).  The rule was originally published in the Federal Register on July 19, 2017.  However, Congress disapproved the rule under the Congressional Review Act on October 24, 2017, and President Trump signed the joint resolution into law on November 1, 2017.  Subsequently, the CFPB posted a notice on its website that the arbitration rule “has no force or effect” and that the materials relating to the rule on the CFPB’s website “are for informational purposes only.”  Tomorrow’s notice will state the CFPB “is hereby removing the final rule titled Arbitration Agreements from the CFR.”

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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