The Justice Department argued in a brief filed Friday that President Trump can legally fire the head of the Consumer Financial Protection Bureau (CFPB) as the battle grows over the agency's future.
The U.S. Court of Appeals for the Washington, D.C., circuit ruled in October that the CFPB’s structure is unconstitutional. A court panel held 2-1 that placing a single director in charge of an independent agency of the federal government gives one person too much power.
The panel struck down the provision in the Dodd-Frank Act — which established the CFPB —making the bureau’s director only fireable by the president “for cause” or severe misconduct.
But the panel didn’t rule that the agency must be dissolved, or that CFPB Director Richard Cordray must be fired.The ruling has also been held up by an emergency injunction.