7 Takeaways From Arguments In The SCOTUS Case That Could Slay The Administrative State
BY: MARGOT CLEVELAND JANUARY 18, 20241/3
Wednesday’s arguments were all about whether the Supreme Court should do away with the unworkable Chevron deference.
The United States Supreme Court heard oral arguments in two companion cases, Relentless Inc. v. U.S. Dept. of Commerce and Loper Bright v. Raimondo on Wednesday.The bottom-line question before the court concerned whether Congress authorized the Department of Commerce to charge fishing businesses the costof government-mandated observers on their rigs.
But answering that question requires the Supreme Court to first decide whether to overturn the landmark case of Chevron v. Natural Resources Defense Council, the namesake for the Chevron doctrine, which requires courts to defer to an agency’s interpretation of an ambiguous statute so long as the agency’s interpretation is “reasonable.”That’s what Wednesday’s arguments were all about — Chevron and whether the Supreme Court should do away with Chevron deference.
Here are your top takeaways from the hours-long arguments.
1. What Does Chevron Deference Mean?
A blackletter law definition of Chevron deference is easy to provide. As noted above, it is a legal principle that requires courts to defer to an agency’s reasonable interpretation of an ambiguous statute.But Wednesday’s hearing showed the contours of the doctrine are far from clear, with the justices jousting with the solicitor general, who represents the Department of Commerce, over the meaning of “ambiguous.”
A statute is “ambiguous,” Solicitor General Elizabeth Prelogar said, “when the court has exhausted the tools of interpretation and hasn’t found a single right answer.” But asJustice Gorsuch notedin response, just the prior year, agovernment attorney claimed he could not define “ambiguous.”
The meaning of “ambiguous” is key to the doctrine of Chevron deference, which requires two steps. At step one, a court is to “employ[] traditional tools of statutory construction” to determine “whether Congress has directly spoken to the precise question at issue.” According to Chevron, “[i]f the intent of Congress is clear, that is the end of the matter,” and the court must enforce the clear meaning.” But if “the statute is silent or ambiguous with respect to the specific issue,” then the court proceeds to step two, which requires the court to defer to an agency’s interpretation so long as it reflects a “permissible construction of the statute.”
So defining “ambiguous” matters, several of the justices stressed, pointing to the confusion of the lower courts on the question —something that would justify overturning Chevron.
2. Justice Kavanaugh Was a Star
Heading into Wednesday, court watchers knew three justices had already expressed disagreement with Chevron, including Justices Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh. To date, Gorsuch has made some of the most resounding attacks on Chevron deference. And while Gorsuch landed some blows during oral argument, it wasKavanaugh who seemed to throw haymaker after haymaker.
Kavanaugh returned to ground zero — the Chevron decision — and pushed the solicitor general on what he saw as“an internal inconsistency in Chevron itself.”
“It related to footnote 9,” he explained. That footnote provides that “the judiciary is the final authority onissues of statutory construction and must reject administrative constructionswhich are contrary to clear congressional intent.” Accordingly, the Chevron court continued, “[i]f a court, employing traditional tools of statutory construction, ascertains that Congress had an intention on the precise question at issue, that intention is the law and must be given effect.”
Referencing that footnote, Kavanaugh continued, “if you use all the traditional tools of statutory interpretation, you’ll get an answer,” and therefore, there is no step two and no deference. And we know you get an answer, the Trump appointee stressed, “because, in cases where we don’t have an agency involved and we use those same traditional tools, we get an answer.”
Kavanaugh reiterated that point several times throughout the argument, namely that courts interpret statutes regularly, both ambiguous and unambiguous ones, implying that if judges did the tough work of statutory interpretation, there would be no step two deference required.
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Complicated but very good read