Obama Administration Proposes Financial Crisis Responsibility Fee

Perhaps the biggest news in the financial world this week, overshadowing the announcements of exceptional bank profits, is the Financial Crisis Responsibility Fee (the “FCR Fee”) proposed yesterday by President Obama. In this Alert, we provide a description of the President’s proposal for the FCR Fee, a preliminary list of aspects of the proposed fee that require clarification and some potential reactions to the FCR Fee.

Overview of the FCR Fee

The FCR Fee will work as follows...