- American Action Forum
- November 16, 2017
In the wake of the financial crisis of 2008, Congress passed the Dodd-Frank Act which created the Financial Stability Oversight Commission (FSOC) and charged it with identifying “risks to the financial stability of the United States.” The FSOC has the authority to designate firms it determines to be Systemically Important Financial Institutions (SIFIs) and subject them to heightened supervision including higher capital requirements. In December, 2014 MetLife was designated as a SIFI by FSOC. MetLife challenged FSOC’s designation in the U.S. District Court for the District of Columbia. On March 30, 2016, the U.S. District Court ruled in MetLife’s favor and the SIFI designation was rescinded. The decision is now pending appeal.