
A federal appeals court ruled on April 5 that a Texas judge incorrectly transferred a lawsuit challenging the Consumer Financial Protection Bureau's (CFPB) rule capping credit card late fees at $8 to a court in Washington, D.C. The Fifth Circuit Court of Appeals ordered the case to return to Texas, highlighting issues of 'judge shopping.' The lawsuit, backed by the banking industry and the U.S. Chamber, aims to stop the implementation of the CFPB's rule, arguing that it would reduce the current average late fee of $35, which can go as high as $41. This legal battle has raised questions about a potential conflict of interest involving a circuit court judge who owns shares of @Citi and has prompted the Fifth Circuit to request additional briefing on recusal. Meanwhile, the U.S. Judicial Conference's Advisory Committee on Civil Rules is considering measures to curb 'judge shopping' by assigning cases challenging government policies randomly.

















Big banks are challenging @POTUS’ crackdown on credit card late fees —and a judge hearing the case owns shares of @Citi, one of the biggest credit card companies. The Fifth Circuit is right to take a serious look at this conflict of interest. https://t.co/xUg2zLVuBR
The @CFPB’s credit card penalty fee rule will only restrict Americans’ access to credit, particularly for those who need it most. I’m leading the fight against this ill-conceived rule. https://t.co/q9gt3nSR2x
The Fifth Circuit has ordered additional briefing in a banking industry-backed challenge to the CFPB's $8 credit card late-fee rule amid questions that have been raised about a potential conflict of interest involving a circuit court judge on the case. https://t.co/vZmI8akxpB https://t.co/QMPLXThIUe