California, New York, Oregon Haven’t Given Up on Fiduciary Rule

California, New York, and Oregon aren’t giving up on their quest to save an Obama-era rule that would require investment advisers to put the interests of retirement savers above their own.

The states’ attorneys general May 16 asked the U.S. Court of Appeals for the Fifth Circuit to reconsider an earlier ruling that denied their request to intervene in the case and defend the Labor Department’s fiduciary rule, which was struck down in its entirety in March.

The states’ request comes after the DOL let pass the deadline to seek review of the decision that vacated the fiduciary rule. In their latest filing, the states cite “exceptional” circumstances and the grave harm they will suffer as a result of the panel opinion—billions of dollars in lost retirement income to their residents and tens of millions of dollars in lost tax revenue. Last month, AARP also asked to intervene in the case—a request that was denied by the court shortly after.

The states also asked that if the three-judge panel won’t reconsider its order denying intervention, the order be reviewed by the full court. This unusual request comes after the states weren’t allowed to file a petition for en banc review of the order that denied intervention. Such filings aren’t allowed by the Fifth Circuit e-filing system, the states said.

The Justice Department, which represents the DOL in this case, won’t take any position on the states’ request, while the U.S. Chamber of Commerce and other industry groups said they would oppose the motion, according to court documents.

The respective offices of the states’ attorneys general represent the states.

The case is U.S. Chamber of Commerce v. DOL, 5th Cir., No. 17-10238, motion for reconsideration 5/17/18.