Senate Passes House Bill 4014, Clearing Way for Privilege Protection Documents Turned Over to Consumer Financial Protection Bureau (CFPB) During Examination
Our colleagues Laureen Galeoto, Robert Bostrom and Scott Sheehan recently published a GT Alert titled Senate Passes House Bill 4014, Clearing Way for Privilege Protection Documents Turned Over to CFPB During Examination.
To summerize: On December 11, 2012, the U.S. Senate passed House Bill 4014 without amendment and sent it to the president for signature. HR 4014 is the long-awaited and much sought after legislation that amends the Federal Deposit Insurance Act (FDIA) in order to protect banks and non-banks that are subject to the Consumer Financial Protection Bureau’s supervision and examination authority from unintended waiver or destruction of a privilege that they could have otherwise claimed as to third parties. And while there is cause to be somewhat comforted or alleviated even, there are still some real risks and considerations that lie ahead as examined entities are asked to turn over their privileged documents and communications.