The new fiduciary rule, which had its final rule, published, got its first lawsuit.
The Federation of Americans for Consumer Choice (FACC), along with several independent insurance agents, filed a lawsuit in the U.S. District Court for the Eastern District of Texas against the Department of Labor (DOL).
FACC says it will seek a preliminary injunction to stop the new rule from taking effect while the case is contested.
FACC claims that by implementing a new fiduciary rule, the DOL has violated the Fifth Circuit’s 2018 rule that had vacated the department’s previous 2016 fiduciary legislation. Expect more litigation down the pike.
