Supreme Court Limits Federal Agency Power
Landmark Chevron Doctrine Weakened
Washington, June 28, 2024
The Supreme Court on Friday significantly weakened the power of federal agencies to regulate industries, a major victory for business interests and a setback for the Biden administration. The 6-3 ruling, in a pair of related cases, overturned a 40-year-old precedent known as the Chevron doctrine. That doctrine gave agencies broad authority to interpret the laws they enforce, and courts were generally required to defer to those interpretations. The court's new ruling requires agencies to provide a more detailed explanation of their reasoning when issuing regulations, and it gives courts more leeway to reject those regulations if they are deemed unreasonable. The decision is a major victory for the conservative legal movement, which has long sought to limit the power of federal agencies. The movement argues that agencies have become too powerful and that they often exceed their authority. Business interests also welcomed the ruling, arguing that it will provide greater certainty and predictability in the regulatory process. They say it will make it easier for businesses to plan for the future and avoid costly litigation. The Biden administration, on the other hand, expressed disappointment with the ruling. The administration argues that it will make it more difficult for agencies to protect the public health and safety. The court's ruling is likely to have a significant impact on a wide range of industries, including energy, environmental protection, and healthcare. It is also likely to lead to increased litigation as businesses and agencies challenge regulations.
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