The Supreme Court of the United States will hear oral arguments today in a case that will impact banks and credit unions.
The U.S. Department of Labor in 2010 concluded that mortgage loan officers are subject to minimum wage and overtime pay regulations. This decision reversed a 2004 finding made during the administration of President George W. Bush that concluded mortgage loan officers were exempt from the regulations.
The Supreme Court will decide whether the Department of Labor in 2010 had violated Administrative Procedures Act by not engaging in a formal rulemaking process. The government is contending that it did not have to conduct a formal rulemaking because it was only offering a new interpretation of an existing regulation.
A district court judge ruled in favor of the government but, in a July 2013 ruling, the U.S. Court of Appeals for the District of Columbia Circuit threw out the new interpretation, saying a formal rulemaking process was required.
The two related cases being heard by the Supreme Court are Perez v. Mortgage Bankers Association and Nickols v. Mortgage Bankers Association.
No comments:
Post a Comment