Manatt Financial Services Special Counsel Jonathan Joshua was quoted in a Bloomberg Law article about the CFPB’s plans to expand its enforcement surrounding discrimination against protected minority groups. According to the article, the bureau will exercise its broad rulemaking and enforcement authorities over unfair, deceptive, or abusive acts or practices to root out unfair acts and practices by banks and other firms, and has released an updated examination manual on how they will apply the unfairness standard to products not covered by federal fair lending laws. It may prove difficult for companies to determine whether they are engaging in discriminatory practices, however, as the cause of certain transactional delays may be due to legitimate anti-fraud checks. “There’s no indication of how one would evaluate discrimination in many of these contexts,” Joshua concluded.
Bloomberg Law subscribers can read the full article here.