Morgan Drexen Files Complaint Against CFPB

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On July 22, 2013, Morgan Drexen Integrated Systems and Connecticut attorney Kimberly Pisinski filed a lawsuit in federal court challenging the constitutionality of the Consumer Financial Protection Bureau (CFPB). The lawsuit states the CFPB lacks the checks and balances required of a governmental agency. In other words, it is an agency that answers to no one. The suit also accuses the CFPB of grossly overreaching its authority by attempting to “data mine” the confidential bankruptcy records of thousands of American consumers. In addition, the complaint alleges the CFPB is attempting to regulate attorneys, a function reserved for state bars.

The complaint, filed in United States District Court for the District of Columbia, states:

“Plaintiffs bring this action because CFPB’s structure insulates it from political accountability and internal checks and balances in violation of the United States Constitution. Unbridled from constitutionally-required accountability, CFPB has engaged in ultra vires and abusive practices, including attempts to regulate the practice of law (a function reserved for state bars), attempts to collect attorney-client protected material, and overreaching demands for, and mining of, personal financial information of American citizens, which has prompted a Government Accountability Office (“GAO”) investigation, commenced on July 12, 2013. Serious constitutional questions have been raised about CFPB’s structure and insulation from mandatory checks and balances, but to date, no court has passed on these questions.”


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  1. David  September 6, 2013

    This lawsuit is a step in the right direction. Everyday, I hear about something that is taking away the personal liberties of American citizens. Whether it is the right to purchase large sodas or something else. Government is way to involved in people’s personal decisions. Then you hear about the IRS targeting certain groups or looking at cell records, etc. And I’m not saying they are doing this for terrorist reasons to protect us. It is solely for information or to attack those with differing political or other ideas. It is about time someone stood up to government interference and oppression. Let the free market regulate itself. They don’t need personal information on bankruptcies or communications between attorneys and their clients. I for one am excited to see something like this and hope it spurs others to take back our rights and freedoms.

  2. Pebe  September 6, 2013

    Kimberly Pisinski and her co-plaintiff — support services provider Morgan Drexen Integrated Systems —have refused an investigative demand from the CFPB that they claim asks for thousands of personally identifiable documents of bankruptcy clients containing information including names, addresses, amount of debt, creditors and other details about communications with attorneys.

    Pisinski and Morgan Drexen are seeking declaratory relief on the ground that the CFPB doesn’t have constitutional authority to regulate legal services provided by an attorney to a client.

  3. Leon Katz  September 10, 2013

    David taking on Goliath. It’s about time. The CFPB has inflated to over a 1,000 emploees. I’m pretty sure Congress did not have this “David” in mind when it create this monstrosity.


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