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Supreme Court Decisions Curtail Agency Powers and Could Impact the FCC

Two recent Supreme Court decisions may shake things up at the FCC when it comes to rulemakings and enforcement authority.  In this 7-minute podcast, Steve Rosen joins Sara Crifasi to talk about how the Supreme Court rulings in Loper Bright Enterprises v. Raimondo and SEC v. Jarkesy could lead to a slowdown in the FCC’s implementation of new rules.

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Supreme Court Decisions Curtail Agency Powers and Could Impact the FCC

Two recent Supreme Court decisions may shake things up at the FCC when it comes to rulemakings and enforcement authority. In this episode of Staying Connected, Steve Rosen joins Sara Crifasi to talk about how the Supreme Court rulings in Loper Bright Enterprises v. Raimondo and SEC v. Jarkesy could lead to a slowdown in the FCC’s implementation of new rules.

Chevron Deference: Steve explained the concept of “Chevron deference,” which originated from a 1984 Supreme Court decision. This principle allowed courts to defer to agency decisions and expertise when interpreting ambiguous statutes. However, the recent Supreme Court ruling in Loper Bright Enterprises v. Raimondo overturned this deference, emphasizing that it is the judiciary’s responsibility to interpret statutes.

Impact on FCC Enforcement: The second case, SEC v. Jarkesy, questioned agencies’ abilities to enforce their rules through internal administrative tribunals. The Supreme Court ruled that fraud cases must be litigated in a jury trial, casting doubt on the FCC Enforcement Bureau’s authority to enforce the Communications Act without bringing an action in federal district court.

Future Challenges: Sara and Steve discussed the potential implications of these decisions on the FCC. They anticipated an increase in challenges filed against FCC rules and decisions, leading to prolonged uncertainty and increased disputes. The likelihood of success for those challenging agency actions has increased, and the implementation of FCC rulings might be stalled by litigation.