Another Judge Upholds DOL Fiduciary Rule

Saying she found "the plaintiffs' position on the merits unpersuasive," U.S. District Chief Judge Barbara M.G. Lynn in Dallas has dismissed a motion for a preliminary injunction against the Department of Labor (DOL) Fiduciary Rule (aka "Conflict of Interest" rule), which is set to take effect April 10. The request for injunction was sought by several trade groups, including the U.S. Chamber of Commerce, the Securities Industry and Financial Markets Association, and the Financial Services Institute Inc. The Fiduciary Rule, which requires retirement investment advisers to put the best interests of their clients first, may be delayed until June 9, as the DOL is seeking a 60-day extension at the urging of the White House (which actually wanted a 180-day delay). The DOL has already issued guidance saying that, even if the rule takes effect April 10, it will delay enforcement until June 9. A chorus of other judges before Lynn previously declined to place an injunction on the incoming rule.