The Consumer Bankers Association reacted to the Supreme Court's decision by reiterating its call for Congress to alter the CFPB's structure to a commission, arguing that the agency is currently operating under a "cloud of uncertainty."
Obama recess appointed Cordray to his position at the beginning of 2012, and has since renominated him to the position. His appointment is set to expire at the end of the year barring Senate confirmation.
The CFPB, which opened its doors in 2011, was unable to fully utilize its new powers without a director in place. But if the Supreme Court determines that such recess appointments were not legally valid, some of the work taken on by the agency under Cordray's watch could be brought into question.
Read more about the Supreme Court's decision to hear the case on The Hill's RegWatch.