Fannie Mae (FNMA)

[clarencebeaks21]

Here are 4 remedy options we might see from SCOTUS if it hears CFPB v CFSA.

I gleaned #3 and #4 in large part from a blog by New Civil Liberties Alliance, who also filed an Amicus brief in Seila.

(1) Bulldozer: strike down Dodd Frank Title X in its entirety. IMHO: I doubt the Court is willing to take that bold a step.

(2) Sharp Chisel: strike the parts needed to sever the funding stream from the Federal Reserve. IMHO: the problem is it’s a fair amount of provisions to ‘blue-pencil’, and, (BTW) it would *disable the CFPB*. Nor can the Court alternatively somehow *order Congress* to fund CFPB from another source.

(3) Dull Chisel: Strike the offending self-funding parts as unconstitutional BUT stay the mandate to give Congress time to address the issue. IMHO: this balances the means and the ends, itis less partisan, and the Chief can couch it as respecting bicameralism and presentment. I like it.

(4) Sledge Hammer: Along lines of the concurrence musings in Seila by Thomas and Gorsuch, SCOTUS could simply refuse to enforce the CFSA order. This signals that as long as the CFPB’s unconstitutional funding structure remains as-is, CFPB can expect to find all similar challenged orders unenforceable. IMHO: this is a low-risk, low-reward option that favors old school orthodox legislative reform in due (sloooooow) course.

GLTA