On March 26, the CFPB filed a status report and joint motion to stay proceedings in a case challenging its Buy Now, Pay Later interpretive rule indicating that the Bureau intends to revoke the rule. As previously covered by InfoBytes, the Bureau’s interpretive rule would have subjected BNPL providers to Regulation Z’s open-end credit provisions. The plaintiff had initially sought a pre-motion conference to move for summary judgment against the interpretive rule. In response, the CFPB requested the court delay its setting a briefing schedule while the Bureau’s new leadership reviewed the rule (covered by InfoBytes here). The Bureau’s latest filing indicated it plans to revoke the interpretive rule, and both parties jointly request that the court stay the litigation until the rule is revoked. The CFPB proposed to provide regular status reports every 30 days starting June 2 to update the court on the progress of the rule’s revocation.
