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CFPB’s Bureaucratic Lawlessness—Real Consequences for Real People

February 26, 2020

NCLA Senior Litigation Counsel Michael P. DeGrandis hosts Lunch & Law with Crystal Moroney and attorney Ron Canter to discuss a shocking abuse of process perpetrated by the Consumer Financial Protection Bureau.

To date, Ms. Moroney is nearing the fourth year of a CFPB investigation into her small law firm—an investigation that has included demands for attorney-client privileged documents, multiple Civil Investigative Demands (CIDs) for the same information, and intimidation of her clients. Mr. Canter has been battling CFPB on Ms. Moroney’s behalf from the beginning, and he was ready to defend her in federal court in November 2019. He never got the chance. CFPB had the court dismiss the case as “moot,” but three hours later it announced that it would reissue a nearly identical CID and keep the investigation going without court oversight.

NCLA contends that CFPB acted beyond its constitutional authority when it targeted Ms. Maroney’s Law Firm with a Civil Investigative Demand, withdrew that CID on the cusp of her federal court hearing challenging it, and then promptly issued a new CID practically identical to the original one as soon as the case was dismissed as moot. The complaint asks the Court to redress this fundamental denial of Crystal Moroney’s right to due process.

Last December, The New Civil Liberties Alliance has filed a ​lawsuit​ in the U.S. District Court for the Southern District of New York challenging the funding mechanism for the Consumer Financial Protection Bureau (CFPB) as unconstitutional. Specifically, NCLA alleges that Congress unlawfully divested its legislative appropriations power when it gave CFPB the ability to draw funding directly from the Federal Reserve, without annual appropriations from Congress and without oversight from the appropriations committees of Congress.

The case also preserves the objection that ​Congress may not vest executive authority in CFPB, an independent agency led by a single director, while also shielding that agency’s director from Presidential oversight and removal.

Mark Chenoweth, NCLA Executive Director and General Counsel, believes that, “the case will afford an excellent opportunity to call into question the highly irregular—and almost certainly unconstitutional—way in which Congress has funded CFPB.” 

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CFPB’s Bureaucratic Lawlessness—Real Consequences for Real People

NCLA Senior Litigation Counsel Michael P. DeGrandis hosts Lunch & Law with Crystal Moroney and attorney Ron Canter to discuss a shocking abuse of process perpetrated by the Consumer Financial Protection Bureau.

To date, Ms. Moroney is nearing the fourth year of a CFPB investigation into her small law firm—an investigation that has included demands for attorney-client privileged documents, multiple Civil Investigative Demands (CIDs) for the same information, and intimidation of her clients. Mr. Canter has been battling CFPB on Ms. Moroney’s behalf from the beginning, and he was ready to defend her in federal court in November 2019. He never got the chance. CFPB had the court dismiss the case as “moot,” but three hours later it announced that it would reissue a nearly identical CID and keep the investigation going without court oversight.

NCLA contends that CFPB acted beyond its constitutional authority when it targeted Ms. Maroney’s Law Firm with a Civil Investigative Demand, withdrew that CID on the cusp of her federal court hearing challenging it, and then promptly issued a new CID practically identical to the original one as soon as the case was dismissed as moot. The complaint asks the Court to redress this fundamental denial of Crystal Moroney’s right to due process.

Last December, The New Civil Liberties Alliance has filed a ​lawsuit​ in the U.S. District Court for the Southern District of New York challenging the funding mechanism for the Consumer Financial Protection Bureau (CFPB) as unconstitutional. Specifically, NCLA alleges that Congress unlawfully divested its legislative appropriations power when it gave CFPB the ability to draw funding directly from the Federal Reserve, without annual appropriations from Congress and without oversight from the appropriations committees of Congress.

The case also preserves the objection that ​Congress may not vest executive authority in CFPB, an independent agency led by a single director, while also shielding that agency’s director from Presidential oversight and removal.

Mark Chenoweth, NCLA Executive Director and General Counsel, believes that, “the case will afford an excellent opportunity to call into question the highly irregular—and almost certainly unconstitutional—way in which Congress has funded CFPB.” 

NCLA Lunch and Law with Don McGahn, Former White House Counsel

November 7, 2019

​NCLA’s Executive Director Mark Chenoweth hosts NCLA’s Lunch & Law with special guest, former White House Counsel to President Trump, the Hon. Don McGahn, in the wake of two Executive Orders issued by the White House recognizing and addressing the problem of abusive regulatory guidance. “Bringing Guidance out of the Darkness” and “Transparency and Fairness” will force transparency and accountability upon federal agencies who too often regulate through unlawful shortcut “guidance” in order to circumvent the notice-and-comment rulemaking process that the Administrative Procedure Act (APA) mandates for binding regulations. NCLA believes binding agency guidance is unconstitutional. Since July of 2018, we’ve filed 21 anti-guidance petitions requesting that federal agencies stop promulgating and enforcing guidance that purports to legally bind individual Americans and small businesses. The President’s Executive Orders are a giant step in meeting NCLA’s request. Learn what the EOs mean to the goal of preventing unlawful guidance, what steps will happen next, and how you can lend a hand to this ongoing effort. Don’t miss this insightful discussion.

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NCLA Lunch and Law with Don McGahn, Former White House Counsel

​NCLA’s Executive Director Mark Chenoweth hosts NCLA’s Lunch & Law with special guest, former White House Counsel to President Trump, the Hon. Don McGahn, in the wake of two Executive Orders issued by the White House recognizing and addressing the problem of abusive regulatory guidance. “Bringing Guidance out of the Darkness” and “Transparency and Fairness” will force transparency and accountability upon federal agencies who too often regulate through unlawful shortcut “guidance” in order to circumvent the notice-and-comment rulemaking process that the Administrative Procedure Act (APA) mandates for binding regulations. NCLA believes binding agency guidance is unconstitutional. Since July of 2018, we’ve filed 21 anti-guidance petitions requesting that federal agencies stop promulgating and enforcing guidance that purports to legally bind individual Americans and small businesses. The President’s Executive Orders are a giant step in meeting NCLA’s request. Learn what the EOs mean to the goal of preventing unlawful guidance, what steps will happen next, and how you can lend a hand to this ongoing effort. Don’t miss this insightful discussion.

The Questionable Future of Brand X Deference Doctrine

October 10, 2019

NCLA recently filed a Petition for Certiorari in the United States Supreme Court in the case of Baldwin v. United States.

Howard and Karen Baldwin are the producers of the critically acclaimed movie “Ray” (2004) about the life of musician, Ray Charles. They are also law-abiding Americans whose simple act of sending their claim for a tax refund to the Internal Revenue Service by regular U.S. mail has led them all the way to the Supreme Court to get their money back as a result of the Brand X deference.

NCLA Litigation Counsel Adi Dynar moderates a lively discussion with Robert W. Keaster, attorney for Howard and Karen Baldwin, and Robert T. Carney, Tax Litigator and Administrative Tax expert, to learn why this case has implications far beyond the Baldwins getting their refund from the IRS.

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The Questionable Future of Brand X Deference Doctrine

NCLA recently filed a Petition for Certiorari in the United States Supreme Court in the case of Baldwin v. United States.

Howard and Karen Baldwin are the producers of the critically acclaimed movie “Ray” (2004) about the life of musician, Ray Charles. They are also law-abiding Americans whose simple act of sending their claim for a tax refund to the Internal Revenue Service by regular U.S. mail has led them all the way to the Supreme Court to get their money back as a result of the Brand X deference.

NCLA Litigation Counsel Adi Dynar moderates a lively discussion with Robert W. Keaster, attorney for Howard and Karen Baldwin, and Robert T. Carney, Tax Litigator and Administrative Tax expert, to learn why this case has implications far beyond the Baldwins getting their refund from the IRS.

Gundy v. United States: The end of non-delegation or a new beginning?

July 17, 2019

The Constitution vests Congress—and Congress alone—with the power to make law. However, for decades now, the so-called nondelegation doctrine has been rendered weak and useless by a Court reticent to enforce the Constitution’s separation of powers and the unconstitutional lawmaking authority exercised by executive officers. Panelists David Schoenbrod, a trustee professor at New York Law School, and Mark Chenoweth, Executive Director of NCLA, discuss the Supreme Court decision in Gundy v. United States and its impact on the nondelegation doctrine in this Lunch & Law speaker series moderated by NCLA Senior Litigation Counsel, Steve Simpson.

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Gundy v. United States: The end of non-delegation or a new beginning?

The Constitution vests Congress—and Congress alone—with the power to make law. However, for decades now, the so-called nondelegation doctrine has been rendered weak and useless by a Court reticent to enforce the Constitution’s separation of powers and the unconstitutional lawmaking authority exercised by executive officers. Panelists David Schoenbrod, a trustee professor at New York Law School, and Mark Chenoweth, Executive Director of NCLA, discuss the Supreme Court decision in Gundy v. United States and its impact on the nondelegation doctrine in this Lunch & Law speaker series moderated by NCLA Senior Litigation Counsel, Steve Simpson.

How Chilling Brewers’ Free Speech Puts First Amendment on Ice

June 5, 2019

NCLA hosted a lunch (scratch that) make it a Happy Hour & Law panel because we are talking beer with renowned constitutional lawyer Alan Gura, and his client, Justin Cox of Atlas Brew Works. Before brewers like Mr. Cox can sell beer in interstate commerce, each beer label must earn a “speech license” from the government. The license application addresses more than just mandatory warnings—it determines whether the words and images are indecent (not allowed), if they contain the American flag (yeah, not allowed), if they have images such as the king of hearts playing card (you guessed it, not allowed), or any one of a host of other standardless prohibitions. This is the only food-related consumer protection regulatory regime that licenses speech—and it’s patently unconstitutional.

Senior NCLA Litigation Counsel, Mike DeGrandis, leads our panelists in a lively discussion about the current state of free speech licensing, its impact on the craft brewing business and how government censorship violates the First Amendment.

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How Chilling Brewers’ Free Speech Puts First Amendment on Ice

NCLA hosted a lunch (scratch that) make it a Happy Hour & Law panel because we are talking beer with renowned constitutional lawyer Alan Gura, and his client, Justin Cox of Atlas Brew Works. Before brewers like Mr. Cox can sell beer in interstate commerce, each beer label must earn a “speech license” from the government. The license application addresses more than just mandatory warnings—it determines whether the words and images are indecent (not allowed), if they contain the American flag (yeah, not allowed), if they have images such as the king of hearts playing card (you guessed it, not allowed), or any one of a host of other standardless prohibitions. This is the only food-related consumer protection regulatory regime that licenses speech—and it’s patently unconstitutional.

Senior NCLA Litigation Counsel, Mike DeGrandis, leads our panelists in a lively discussion about the current state of free speech licensing, its impact on the craft brewing business and how government censorship violates the First Amendment.

Democracy in Peril: Why Controlling the Administrative State is Essential to Preserving our Constitutional System

April 23, 2019

There is a revolution in political power and it has its designs on defeating the Constitution. This panel discusses why judicial fortitude, public awareness and a renewed commitment to our form of government is essential to preserving the American form of democracy. Listen to this lively discussion moderated by NCLA Senior Litigation Counsel, Peggy Little.

Panelist, Peter J. Wallison, Author of Judicial Fortitude, The Last Chance to Rein in the Administrative State

Panelist, Christopher DeMuth, Distinguished Fellow at The Hudson Institute

NCLA Moderator, Peggy Little, Senior Litigation Counsel for NCLA

View Description

Democracy in Peril: Why Controlling the Administrative State is Essential to Preserving our Constitutional System

There is a revolution in political power and it has its designs on defeating the Constitution. This panel discusses why judicial fortitude, public awareness and a renewed commitment to our form of government is essential to preserving the American form of democracy. Listen to this lively discussion moderated by NCLA Senior Litigation Counsel, Peggy Little.

Panelist, Peter J. Wallison, Author of Judicial Fortitude, The Last Chance to Rein in the Administrative State

Panelist, Christopher DeMuth, Distinguished Fellow at The Hudson Institute

NCLA Moderator, Peggy Little, Senior Litigation Counsel for NCLA

In NCLA Relentless Case, Supreme Court Overturns Chevron DeferencePress Release >>
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