In the first federal legal act of Gov. Mikie Sherrill’s administration, acting Attorney General Jennifer Davenport co-led a motion challenging the Trump administration’s attempt to defund the Consumer Financial Protection Bureau.
The motion is a continuation of a lawsuit co-led by former Attorney General Matt Platkin in late December. The motion, filed in federal court Thursday morning, asks a judge to require the CFPB to continue seeking funding before the current federal budget funding ends in March.
“Our promise is clear: when officials in Washington issue unlawful policies that increase costs here in New Jersey, we will be there to protect our residents,” said Acting Attorney General Davenport. “The CFPB exists to ensure that federal and state agencies can protect consumers from threats like price gouging, and that work is needed now more than ever as New Jerseyans and the rest of the country struggle with an affordability crisis
Congress created the CFPB in 2011 after the Great Recession to address fraud and predatory schemes affecting users. The Trump administration has sought to cripple the agency, cutting funding and terminating staff.
“Across the nation, prices are skyrocketing for middle- and working-class families. In New Jersey, people are struggling to keep up as endless attacks from Washington continue to drive rising costs,” said Governor Mikie Sherrill. “Defunding the CFPB will compound the affordability crisis we are facing, doing away with critical consumer protections that New Jerseyans rely on.”
New Jersey joined 21 other states in the lawsuit. The states say that defunding the CFPB would harm states’ ability to address consumer fraud.
