This is the second instance wherein systemic changes brought in by former President Barrack Obama in the wake of the 2007-2009 financial crisis is being dismantled.

In a landmark judgment, a federal appeals court has struck down the U.S. Department of Labor’s “fiduciary rule,” that was created as a safeguard against financial misadventure in the wake of the 2007-2009 financial crisis.

Adopted in 2016, the fiduciary rule was designed to curb conflicts of interest among those who provide financial advice to Americans planning for retirement.

The 2-1 decision by the 5th U.S. Circuit Court of Appeals is the second instance wherein the U.S. Administration, under President Donald Trump, has killed financial safety mechanisms. In 2017, the Congress had struck down a Consumer Financial Protection Bureau rule that restricted financial institutions from forcing clients to sign mandatory arbitration agreements.

The reason for striking down the “fiduciary rule,” by the U.S. Chamber of Commerce, was the argument put forward by the Securities Industry Financial Markets Association and others saying it was too burdensome and could make providing retirement advice too costly, especially for lower-income Americans.

The “fiduciary rule” was championed by consumer advocates and it required brokers to put their clients’ best interests first when advising about individual retirement accounts and 401(k) plans.

While the Labor Department could potentially appeal against the verdict in the U.S. Supreme Court, it could also ask the New Orleans-based appeals court to rehear the case.

The Labor Department could not immediately be reached after business hours for comment.

According to Stephen Hall, legal director for Better Markets, an advocacy group, the appeal court’s verdict is “a terrible setback in the fight for the simple, common sense principle that Americans saving for retirement deserve investment advice that is in their best interest.”

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