The District Court for the Eastern District of Texas ruled in favor of the banking industry in a lawsuit challenging the legality of the Consumer Financial Protection Bureau’s updates to its unfair, deceptive, or abusive acts or practices examination manual.
In March 2022, the bureau announced changes to its supervisory operations to better guard against discriminatory practices, particularly with respect to fair lending laws. One of these changes involved expanding the bureau’s interpretation of “unfair” to include discrimination, raising concerns of statutory overreach by the bureau.