Adam Keilen

As of June 1, 2013, Regulation Z has prohibited arbitration in mortgage lending. TILA and Regulation Z prohibit contracts that require arbitration in closed-end loans secured by a dwelling and open-end loans secured by a traditional consumer’s dwelling. The new regulations and the TILA provisions also provide that no mortgage loan agreement can be applied to “bar a consumer from bringing [a federal claim] action.” 12 CFR § 1026.36 (h).