As we have seen recently, the U.S. Supreme Court is again considering overturning decades-long precedent. Nearly 40 years after the Court decided Chevron v. Natural Resources Defense Council, it has agreed to reconsider.
In Chevron, the Court held that courts should defer to a federal administrative agency’s interpretation of an ambiguous statute as long as the agency interpretation is “reasonable.” This became known as “Chevron deference,” meaning that the courts generally defer to the agency interpretation.
That ruling will be revisited in Loper Bright Enterprises v. Raimondo, which the Supreme Court recently agreed to review. The case involves a group of commercial fishing companies who are challenging a rule issued by the National Oceanic and Atmospheric Administration Fisheries, a federal agency.
If the Court overrules Chevron, the ruling could have a profound impact on how the government operates – and it could be good news for employers, whose actions are often controlled by interpretations issued by federal administrative agencies, such as the Equal Employment Opportunity Commission, the National Labor Relations Board, the Occupational Safety and Health Administration, and the Wage and Hour Division of the U.S. Department of Labor, among others.
Background
Loper Bright Enterprises is a family‐owned herring fishing company located in Cape May, NJ, and operating in New England waters. The specific rule at issue in Loper Bright is whether the NOAA Fisheries has the...
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