Posted July 6, 2017
House Financial Services Chairman Hensarling (R-Tx) threatened CFPB Director Richard Cordray with contempt, saying he has failed to respond fully to a subpoena request. In a July 5 letter provided to NACHA, Hensarling said the bureau missed a May 2 deadline for sending communications related to Bureau work arbitration agreements.
The CFPB's final rule on arbitration was expected to be released early this year. Many suggest that the bureau is reluctant to publish a final arbitration agreements rule because Congress is likely to challenge the regulation under the Congressional Review Act.
This showdown is taking place prior to a Supreme Court decision regarding if the highest court may hear the appeal in the PHH v CFPB case. Director Cordray’s term ends next July but he may resign later this year from the bureau to run for governor in Ohio.