Consumer Financial Protection Bureau v. Morgan Drexen, Inc.
Opinion
Lead Opinion
Staton, J.
ORDER DENYING DEFENDANTS’ MOTION TO DISMISS
Before the Court is a Motion to Dismiss (“Motion”) filed by Defendants Morgan Drexen, Inc. (“Morgan Drexen”) and Walter Ledda. (Doc. 22.) Plaintiff Consumer Financial Protection Bureau (“CFPB”) filed an Opposition, and Defendants replied. (Opp’n, Doc. 25; Reply, Doc. 27.) Having considered the papers and supporting documentation submitted by the parties, heard oral argument, and taken the matter under submission, the Court DENIES Defendants’ Motion.
I. BACKGROUND
A. The CFPB
In 2010, Congress passed and the President signed into law the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”). Pub.L. No. 111-203, July 21, 2010. The Dodd-Frank Act created the CFPB as an independent agency in the Federal Reserve System, and tasked the agency with “regulatfing] the offering and provision of consumer financial products or services under the Federal consumer financial laws.” 12 U.S.C. § 5491 (a). Those laws include 18 pre-existing consumer-protection statutes and Title X of the Dodd-Frank Act. Id. § 5481(14), (12). Title X prohibits a “covered person” or “service provider” from engaging in any “unfair, deceptive, or…