Vice President Mike Pence stepped in Tuesday to settle a controversial debate that had rocked the Senate. Pence cast the deciding vote repealing a measure that allowed consumers to file class-action lawsuits against banks and credit card companies.
The bill now rests on the president’s desk, awaiting his signature. The White House has strongly indicated President Trump fully supports the repeal effort.
“The (old) rule would harm our community banks and credit unions by opening the door to frivolous lawsuits by special interest trial lawyers,” White House spokeswoman Sarah Huckabee Sanders said.
Trump’s administration believes in supporting the free market. His campaign was full of promises to cut regulations.
“The effort to try to characterize this as some devious system that has been created to try to stop consumers from having access to fairness is simply false,” said Sen. Mike Crapo, R-Idaho, chairman of the Banking, Housing and Urban Affairs Committee. “We have a very fair system that has been working for over 100 years in this country.
The banks argue that consumers with grievances against them should use the arbitration system. Critics counter that most people lack the time and funds to pursue their claims the old-fashioned way and will simply abandon their complaint.
“So who does forced arbitration help? Wall Street banks and other huge corporations that never pay the price for cheating working people,” said Sen. Sherrod Brown, D-Ohio.
Senators couldn’t agree with each other. Without Pence’s vote, the measure would have died. Americans are as divided as their representatives.
(Source: NBC News)