Supreme Court’s Temporary Decision on FTC Firings

The Supreme Court has temporarily permitted President Donald Trump to dismiss several Democrat-appointed members of independent agencies, spotlighting a significant legal battle over presidential authority. This decision is part of a broader effort by Trump to challenge the independence of federal agencies, with one particular case, Slaughter v. Trump, potentially setting a precedent for future presidential powers.

Slaughter v. Trump: A Pivotal Legal Battle

In the case of Slaughter v. Trump, Rebecca Slaughter, a Biden-appointed member of the Federal Trade Commission (FTC), is contesting her dismissal, which she deems “illegal.” This case could reach the Supreme Court and challenge the nearly century-old decision in Humphrey’s Executor v. United States, which limits a president’s power to remove independent regulatory agency members without cause.

Historical Context of Humphrey’s Executor

The Humphrey’s Executor case originated from President Franklin D. Roosevelt’s attempt to remove an FTC commissioner due to political disagreements. The Supreme Court ruled that such dismissals required just cause, such as malfeasance, as outlined by Congress in the FTC Act. This decision has long protected the independence of agencies like the FTC.

Evolving Role of the FTC

John Shu, a constitutional law expert, notes that the FTC’s role has significantly evolved since 1935. Today, the FTC possesses executive, quasi-legislative, and quasi-judicial powers, enabling it to conduct investigations, issue subpoenas, and impose penalties. These expanded functions raise questions about its independence and accountability to presidential authority.

Implications for Presidential Power

The Supreme Court’s recent actions suggest a willingness to reconsider and potentially overturn Humphrey’s Executor. A 6-3 order allowing the removal of labor board members indicates a shift towards granting presidents more control over executive officers who wield considerable power on their behalf.

Ongoing Legal Proceedings

Rebecca Slaughter briefly returned to her FTC position after a federal judge ruled in her favor. However, the Trump administration appealed, leading to an appellate court pausing the lower court’s decision. The case continues as a three-judge panel reviews further filings.

Future of Independent Agencies

Slaughter remains committed to challenging her dismissal, emphasizing the importance of maintaining agency independence from presidential politics. The outcome of this legal battle could reshape the balance between executive power and agency autonomy in the United States.