In a 2-1 decision, the U.S. Court of Appeals for the District of Columbia Circuit said workers' unions and pro-consumer groups that use CFPB services did not have the right to bring the case to federal court and that the lower court judge acted outside its authority when it temporarily blocked the dismantling of the CFPB.
"We hold that the district court lacked jurisdiction to consider the claims predicated on loss of employment, which must proceed through the specialized-review scheme" under laws governing the civil service, U.S. Circuit Court Judge Gregory Katsas wrote for the majority, joined by Circuit Judge Neomi Rao.
"If the plaintiffs' theory were viable, it would become the task of the judiciary, rather than the Executive Branch, to determine what resources an agency needs to perform its broad statutory functions," the judge said.