The justices held that the CFPB's leadership by a single director removable only for inefficiency, neglect or malfeasance violates the separation of powers.
- From ScotusBlog:
Holding: The Consumer Financial Protection Bureau’s leadership by a single Director removable only for inefficiency, neglect or malfeasance violates the separation of powers.
Judgment: Vacated and remanded, 5-4, in an opinion by Chief Justice Roberts on June 29, 2020. Chief Justice Roberts delivered the opinion of the court with respect to Parts I, II and III, in which Justices Thomas, Alito, Gorsuch and Kavanaugh joined, and an opinion with respect to Part IV, in which Justices Alito and Kavanaugh joined. Justice Thomas filed an opinion concurring in part and dissenting in part, in which Justice Gorsuch joined. Justice Kagan filed an opinion concurring in the judgment with respect to severability and dissenting in part, in which Justices Ginsburg, Breyer and Sotomayor joined.
- From Oyez:
Question
1 - Does the vesting of substantial executive authority in the Consumer Financial Protection Bureau, an independent agency led by a single director, violate the separation of powers principle?
2 - If it does, is 12 U.S.C. § 5491(c)(3) severable from the Dodd-Frank Act?
