News & Analysis as of

Department of Justice (DOJ) Disparate Impact Consumer Financial Protection Bureau (CFPB)

Alston & Bird

The End of Disparate Impact Liability?

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On April 23, 2025, President Trump signed an Executive Order entitled “Restoring Equality of Opportunity and Meritocracy,” which seeks to “eliminate the use of disparate-impact liability in all contexts to the maximum degree...more

Cooley LLP

Executive Order Seeks to Eliminate Federal Deployment of Disparate Impact Theory of Discrimination

Cooley LLP on

In an April 23 executive order titled, “Restoring Equality of Opportunity and Meritocracy,” the Trump administration declared it federal policy to eliminate the use of disparate impact liability “in all contexts to the...more

Sheppard Mullin Richter & Hampton LLP

White House Executive Order Eliminates Disparate-Impact Liability Enforcement

On April 23, the White House issued an Executive Order entitled Restoring Equality of Opportunity and Meritocracy, directing federal agencies to “eliminate the use of disparate-impact liability in all contexts to the maximum...more

Troutman Pepper Locke

President Trump Issues Executive Order to Eliminate Disparate Impact Analysis

Troutman Pepper Locke on

President Donald J. Trump issued an executive order titled “Restoring Equality of Opportunity and Meritocracy.” This order aims to eliminate the use of disparate impact liability in all contexts, emphasizing the importance of...more

Bilzin Sumberg

An Opportune Time For Financial Institutions to Review Their Fair Lending Procedures

Bilzin Sumberg on

At the beginning of his term, President Biden declared that his administration would make it a policy to eliminate “racial bias and other forms of discrimination in all states of home-buying and renting.”...more

Hudson Cook, LLP

Fair Lending Developments: Disparate Impact Lives On

Hudson Cook, LLP on

[co-author: John Ropiequet] The fair lending cases filed by Miami against four major mortgage lenders, reported in several previous Annual Surveys, came to a sudden, anticlimactic end when the city voluntarily dismissed...more

King & Spalding

The Implications of a Revived Disparate Impact Doctrine Under a Biden CFPB

King & Spalding on

Every change in presidential administration results in shifts to agencies’ policy priorities and enforcement efforts. In a Biden Administration, the Consumer Financial Protection Bureau (“CFPB” or “Bureau”), in particular,...more

McGlinchey Stafford

9 Election Consequences Financial Services Clients Should Be Prepared For

McGlinchey Stafford on

If a change of administration transpires due to the upcoming election, here are some considerations that financial services companies should keep in mind. •Major philosophical differences exist between Biden and Trump on...more

Ballard Spahr LLP

CFPB Files First Ever Redlining Complaint Against a Non-Bank Mortgage Lender

Ballard Spahr LLP on

On July 15, 2020, the CPFB filed a complaint in federal court against Townestone Financial, Inc. (Townestone) representing the first ever redlining complaint against a non-bank mortgage lender. ...more

Skadden, Arps, Slate, Meagher & Flom LLP

Skadden's 2020 Insights

Despite political and economic uncertainties, markets and deal activity were resilient in 2019, and strong fundamentals remain in place heading into 2020. Companies continue to face a challenging litigation and enforcement...more

Goodwin

Financial Services Weekly News - May 2018 #3

Goodwin on

Editor's Note - In This Issue. The Consumer Financial Protection Bureau (CFPB) published its Spring 2018 rulemaking agenda; the U.S. Department of Housing and Urban Development (HUD) announced that it will seek public...more

WilmerHale

High Court Inclusive Communities Ruling: 1 Year Later

WilmerHale on

Last summer the U.S. Supreme Court issued its much-anticipated decision in Texas Department of Housing and Community Affairs v. Inclusive Communities Project,[1] holding that disparate impact discrimination claims are...more

McGuireWoods LLP

CFPB Poised to Continue Focused Scrutiny of Indirect Auto Lenders

McGuireWoods LLP on

Earlier this month, the Consumer Financial Protection Bureau (CFPB) announced a joint enforcement action with the Department of Justice (DOJ) against Toyota Motor Credit Corporation (TMCC), an indirect auto lender, which,...more

MoFo Reenforcement

CFPB Refers Another Auto Finance Company to DOJ on Disparate Impact Allegations

MoFo Reenforcement on

Not long after taking action against American Honda Finance Corporation under the disparate impact doctrine for allegedly discriminatory auto loan pricing, the CFPB has struck again—this time reportedly referring Santander...more

Ballard Spahr LLP

ABA seeks supervisory and enforcement standards consistent with Inclusive Communities

Ballard Spahr LLP on

The American Bankers Association has sent a letter to the DOJ, Fed, OCC, FDIC, HUD and CFPB requesting confirmation “in interagency guidance, updated exam procedures, and where appropriate amended regulations that the...more

Ballard Spahr LLP

Auto Finance Company Agrees to Change Dealer Compensation Policy to Settle CFPB and DOJ Fair Lending Claims

Ballard Spahr LLP on

To resolve charges by the Consumer Federal Protection Bureau (CFPB) and the Department of Justice (DOJ) that it engaged in unlawful discrimination in violation of the Equal Credit Opportunity Act (ECOA), American Honda...more

Skadden, Arps, Slate, Meagher & Flom LLP

"Supreme Court May Nix Disparate Impact in Fair Lending Enforcement"

In recent years, the Consumer Financial Protection Bureau (CFPB) and Department of Justice (DOJ) have increased fair lending enforcement under the disparate impact theory of liability. This term, however, the U.S. Supreme...more

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