Petition Filed for U.S. Supreme Court to Review Case re Constitutionality of BCFP Structure

The question of whether the Bureau of Consumer Financial Protection's (BCFP or Bureau) structure is constitutional may be going up to the U.S. Supreme Court. On September 6, 2018, a petition for writ of certioriari -- in other words, a request for the nation's highest court to hear a case -- has been filed in the case of State National Bank of Big Spring, Et Al. v. Steven Mnuchin, et al., appealed from the D.C. Circuit Court of Appeals.

The underlying case from the United States District Court for the District of Columbia dealt with two main issues: the constitutionality of the BCFP's structure and the recess appointment of the BCFP's former director Richard Cordray. The main argument regarding the Bureau's constitutionality revolved around the separation of powers. At the time the district court reviewed this matter in July 2016, the PHH Corp. v. Consumer Financial Protection Bureau case was on appeal before the D.C. Circuit with the same argument, so the district court deferred judgment until the D.C. Circuitruled on the issue.

It appears that all parties involved wanted to fast-track this case to the U.S. Supreme Court. Once the PHH decision was published, the parties jointly moved for judgment in the district court case in order to promptly appeal. Less than a month after the matter reached the D.C. Circuit Court of Appeals, the parties filed a joint motion to affirm the district court decision without prejudicing the right to appeal the matter the the U.S. Supreme Court. The D.C. Circuit granted this motion on June 8, 2018.

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