LITTLE ROCK, Ark. (Legal Newsline) — Arkansas Attorney
General Leslie Rutledge recently urged the Consumer Financial Protection Bureau
(CFPB) to withdraw its arbitration rule that attempts to limit companies from
including mandatory arbitration clauses in consumer financial agreements.
Along with a coalition of attorneys general, Rutledge
participated in a comment letter to the CFPB that claims arbitration benefits
consumers while not costing much to the companies.
“The CFPB wants to insert itself into an area of the
marketplace that has allowed consumers and companies to settle disputes at lower
costs and at a faster pace,” Rutledge said.
“As the chief consumer advocate for
Arkansans, I do not want the government implementing a policy that will force
citizens into more class action lawsuits and pad the wallets of trial lawyers.
Moreover, the CFPB is pushing this rule after its own study concluded it was
not necessary. I will continue to monitor this rule, and I urge the CFPB to
Rutledge joined West Virginia Attorney General Patrick
Morrisey, who is leading the initiative, in the letter along with attorneys
general from Michigan, Nevada, Oklahoma, South Carolina and Texas.