Comment Deadline Set for CFPB Proposal Establishing Registry of Contract Terms Used to Limit Consumer Protections

Comments on a CFPB proposal to establish a public registry of terms and conditions on form contracts that waive or limit consumer rights and protections are due by April 3, 2023. The Notice was published in the Federal Register.

As previously covered, the proposed rule would require supervised nonbank entities to report to the registry on an annual basis any contractual conditions that impair an individual's constitutional, statutory or common law rights, including (i) the type of claim consumers can bring, (ii) the company's liability to consumers, (iii) the timeframe, forum or venue to bring a legal action (including class actions) and (iv) certain other consumer rights or legal protections. The report would require information about the company, with limited exceptions, e.g., for smaller entities.