In a big rebuke to the Treasury Department's attempts to make non-bank financial firms such as insurance giant Met Life and GE play by the same "too big to fail" rules of banks, a Federal judge removed MetLife from the systemically important category outlined by the Treasury. This decision will help strengthen the backlash against post-financial-crisis regulations like these.
An issue with these regulations is the lack of transparency behind the Financial Stability Oversight Council, or FSOC, and their decisions to classify companies as systematically important financial institutions, or too big to fail, and hiding parts of that process to thwart companies from trying to game the system. The MetLife ruling may force the government to change that process and bring in more transparency.
On General Electric’s end, the company has not only formally asked to be released from post-financial-crisis supervision by the Federal Reserve but has sufficiently reduced their financial services arm. Their point is that if their financial services no longer pose a threat to the financial system they are no longer too big to fail and no longer should be required to submit to US government regulations.