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A federal appeals court has rejected the Trump Administration's request to delay its response to an en banc hearing request in the lawsuit challenging the mass firings at the CFPB due to the government shutdown.
The National Treasury Employees Union (NTEU), which is challenging the firings, had not opposed the Administration's request.
Nonetheless, on October 17, the U.S. Court of Appeals for the District of Columbia said in a brief order that that the Administration was required to respond to the union's request for an en banc hearing by October 21, 2024.
Justice Department attorneys had said that funding for the DoJ had expired and that without appropriations, DoJ attorneys were prohibited from working except in limited circumstances. As a result, they said they could not respond to the request for an en banc hearing.
The plaintiffs, including the NTEU, filed suit against the Trump Administration, contending that mass firings at the CFPB would result in the agency being shut down.
A divided appeals court dissolved a lower court injunction blocking the firings and said that the Trump Administration can resume the firing of more than 1,400 employees at the CFPB. However, when it dissolved the injunction, the Appeals Court withheld the mandate in the case until the plaintiffs timely petitioned for a rehearing en banc. The plaintiffs subsequently filed a request for the en banc hearing.
The plaintiffs have argued that the Trump Administration is violating federal law by trying to abolish the CFPB through massive layoffs. The Trump Administration has said it was not intending to abolish the agency by laying off employees.
However, according to several press reports, Office of Management and Budget Director and Acting CFPB Director Russell Vought recently said on the "Charlie Kirk Show" that he thinks he will be successful in shutting down the CFPB "within the next two to three months."
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