As discussed here, yesterday the U.S. Supreme Court issued its long-awaited decision in Community Financial Services Association of America, Limited (CFSA) v. Consumer Financial Protection Bureau (CFPB or Bureau) holding that the CFPB’s special funding structure does not violate the appropriations clause of the Constitution. Wasting no time, today the CFPB filed notices of the CFSA decision in cases nationwide, including in the case where several trade associations are challenging the CFPB’s final rule under § 1071 of the Dodd-Frank Act (Final Rule), Texas Bankers Association, et al. v. CFPB.
As discussed here, on April 26, 2023, the Texas Bankers Association and others initially challenged the Final Rule based on the Fifth Circuit’s decision in CFSA v CFPB, finding the CFPB’s funding structure unconstitutional. On July 31, 2023, the district court granted the plaintiffs’ motion for preliminary injunction against the CFPB’s enforcement of its Final Rule until after the Supreme Court ruled on the CFSA case. The injunction was later extended to cover all small business lenders nationwide until the CFSA case was decided, discussed here.
In its court filing today, the CFPB took the position that the tolling period began on July 31, 2023 for all lenders covered by the Final Rule. Thus, all covered lenders are entitled to 290 days of tolling (from July 31, 2023 to yesterday). This means that the new compliance dates, are as follows.
| Compliance Tier | Original Compliance Date | New Compliance Date |
| Tier 1 institutions (highest volume lenders) | October 1, 2024 | July 18, 2025 |
| Tier 2 institutions (moderate volume lenders) | April 1, 2025 | January 16, 2026 |
| Tier 3 institutions (smallest volume lenders) | January 1, 2026 | October 18, 2026 |
These compliance dates are also listed on the CFPB’s 1071 page.
It is worth noting that in Texas Bankers Ass’n, the plaintiff trade associations also are challenging the Final Rule on Administrative Procedure Act grounds. The Texas district court is expected to rule on that issue later this year.