Obama holdover Richard Cordray: Allow class-action suits against banks

Published August 22, 2017 12:48pm ET



A key Obama administration official who is still in office argued Tuesday that consumers should be able to sue banks as a group, and should be freed from financial contracts that prevent them from doing so.

“[M]any contracts for products like credit cards and bank accounts have mandatory arbitration clauses that prevent consumers from joining group lawsuits, forcing them to go it alone,” wrote Consumer Financial Protection Bureau Director Richard Cordray wrote in a New York Times op-ed.

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