Securities and Exchange Commission attorneys filed a legal brief late Friday arguing that that SEC's pending requirement that mutual fund be chaired by independent outsiders, was an appropriate action.
The U.S. Court of Appeals for the D.C. Circuit ruled in favor of a lawsuit by the U.S. Chamber of Commerce in June that the SEC hadn't fully considered costs and alternatives. Eight days later, the SEC responded by saying that the alternative was not feasible since the original plan required minimal costs, and it once again voted in favor of the rule. That sparked a second challenge from the chamber and put the rule on hold.