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Expert Analysis

CFPB Rule Is Keen On Restricting Arbitration Clauses

Law360, New York ( May 11, 2016, 12:12 PM EDT) -- To say that the Consumer Financial Protection Bureau's proposed rule on arbitration was "much-anticipated" would be an understatement: within minutes of its release — at about midnight Eastern time on Thursday, May 5, 2016 — emails and social media posts began to fly. To call the proposed rule "controversial" would also be an understatement. Some commenters trumpet the proposal as a needed reform for consumers; others see it as an unfair blow to companies. But as much as opinions may differ on the proposal's merits, this much is clear: the CFPB is proposing regulations that would drastically change many consumer financial contracts....

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