Google has filed a lawsuit against the US Consumer Financial Protection Bureau (CFPB) to contest its supervisory authority over Google Payment Corp.

The CFPB's move stems from consumer complaints regarding error resolution and fraud prevention practices associated with Google Pay. The agency aims to examine Google’s payment practices to assess potential risks to consumers, though it has not alleged any wrongdoing. This development marks an intensifying regulatory focus on the tech giant’s financial services.

In its legal challenge, Google contends that the CFPB’s supervision is unjustified, with company representatives characterizing the consumer complaints as “unsubstantiated.” Spokesman Jose Castaneda described the action as “a clear case of government overreach,” emphasizing that the peer-to-peer payments feature in question is no longer offered in the US. The lawsuit underscores the tension between regulators and tech companies navigating the intersection of technology and financial services.