Albuquerque, NM - Today, Attorney General Hector Balderas announced that the DC Circuit Court issued an opinion in PHH Corp. v. CFPB, holding that the Consumer Financial Protection Bureau’s independent director may only be fired by the President for cause, and does not serve at will. This ruling adopts the position advocated by Attorney General Balderas in an amicus brief filed with the Court. As the Attorney General argued in this brief, Congress’s decision to establish the CFPB as an independent agency with a director who can only be removed for cause was a constitutional exercise of Congress’s power. Creating a strong and independent agency to protect consumers was an important part of the Dodd-Frank Wall Street Reform and Consumer Protection Act’s efforts to prevent the financial abuses and instability that led to the Great Recession of 2007-09.
