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Chief Justice Roberts’s Two Landmark Opinions Turn Tide Toward Liberty

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Chief Justice Roberts’s Two Landmark Opinions Turn Tide Toward Liberty

Just in time for America’s 248th birthday, Chief Justice John Roberts has gifted our nation two landmark decisions that turn the tables on unlawful administrative power and turn the tide toward liberty. These cases do more to save Americans from being dominated by bureaucratic overlords than anything else the Court has done in at least half a century. The decisions in Securities and Exchange Commission v. Jarkesy and Loper Bright v. Raimondo (decided alongside NCLA’s case Relentless v. Department of Commerce) do not just right two wrongs; they deliver a one-two punch for independence. In different ways, each case changes the direction in which our ship of state was headed and steers it back on a course that is far more compatible with individual liberty and self-government than the tyrannical trajectory onto which the Court veered a century ago. Together they establish a legacy for The Chief Justice of the United States as a loyal defender of the structural Constitution and an ardent foe of unlawful administrative power.

A fuller examination of these two opinions will reveal just how rejuvenating they are. As Chief Justice Roberts notes in his Jarkesy opinion, the right to a jury trial was protected in the Constitution (in more than one place) in no small part because the colonists had personal experience with the monarch’s use of jury-less courts under the king’s control to adjudicate their alleged transgressions. So, when Congress started sidelining the federal judiciary and allowing federal agencies to go after alleged rulebreakers in their own tribunals, it had a familiar—if foreboding—feel. That individual rights suffered under this regime was as predictable as it was pernicious.

For the SEC, it was the Dodd-Frank Act of 2010 that dramatically increased the agency’s ability to herd regulated parties before biased in-house adjudicators. But whatever the legislative source of mischief, and sometimes there is not one (e.g., some of the adjudications at the Office of Federal Contract Compliance Programs are rooted in nothing more than an executive order), when agencies get to act as prosecutor, judge, and jury, they invariably abuse that combination of powers our Founders were so keen to separate and keep separate. For example, they bring cases that are marginal on the facts, on the law, or both. They pressure parties to settle rather than contest their innocence. They overcharge, they intimidate witnesses, they fail to turn over exculpatory evidence. Perhaps most outrageously—in part because SEC has been working feverishly to hide this grossly unethical conduct—they even have ‘control deficiencies’ whereby the prosecutorial staff downloads computer files from the adjudicative side of the agency. All those pathologies of administrative adjudication—and at least a couple dozen others—become much scarcer, and some nearly vanish, once the right to a jury trial in front of a real Article III court is restored.

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Note that a mere ability to appeal to an Article III court of appeals, which has always been possible at least in theory, is not enough. By appeal time, the overwhelming majority of parties have already been forced into settlement—98% at the SEC. For those who do not settle, the administrative record is set. There is no jury at the court of appeals level to do fact-finding. So, only errors of law stand a chance of being corrected. But an ounce of jury-trial prevention on the front end stops a pound of factual problems that back-end appellate review cannot cure.

Critics of the Jarkesy decision complain that forcing agencies to bring enforcement actions in real courts will limit their ability to take wrongdoers to the woodshed. To be sure, it takes more resources to conduct a real trial than an ersatz in-house tribunal, so to the extent resources limit the enforcement actions agencies can bring, they will have to marshal their resources to go after the most deserving targets of enforcement now. But since when did respect for constitutional rights like jury trials or due process become an undesirable impediment to greater government control over Americans’ lives? And what happened to the presumption of innocence until proven guilty? Have administrative statists become so drunk with power or so smitten with statism that they presume every target of administrative enforcement is well chosen (and guilty) and that the efficiency gains from a rush to judgment outweigh the deliberative losses from jury trials?

Some jaundiced journalists have charged that big corporations are behind the campaign to restore jury-trial rights, as though honoring the Bill of Rights somehow provides cause to seek out suspect motives. In truth, George Jarkesy and his courageous counsel have been on a largely lonely campaign to fix multiple constitutional shortcomings with administrative adjudication. His fixation on jury-trial rights is explained by the simple fact that people with their proverbial backs up against the wall are motivated to try long-shot arguments and fight back hard enough to expose the cracks in what others mistook to be a rock-solid façade. Most voices in the appellate bar mocked Jarkesy’s counsel for trying this argument. Even when it succeeded at the U.S. Court of Appeals for the Fifth Circuit, most of the Supreme Court bar remained skeptical at Jarkesy’s chances of winning with this argument on appeal.

Not only did Mr. Jarkesy prevail, but he secured a victory whose implications ripple to the furthest reaches of the administrative shoreline. The Chief Justice’s opinion for the Court holds that the SEC must honor jury-trial rights in fraud cases, a kind of charge that had a familiar common-law counterpart. But the opinion also sweeps broadly enough to encompass at least every federal agency that tries to mete out punitive financial penalties, not just the SEC. The opinion forthrightly observes that the Seventh Amendment extends to all cases except for those that the Constitution excludes, namely cases in admiralty and equity. And it focuses lower courts’ attention on the remedy that the government is seeking in a case. Where financial penalties are dispensed for punitive or deterrence reasons, most often jury trials will be required.

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Public-Rights Exception to Jury-Trial Rights Narrowed

Much to the chagrin of the dissenters, the Court’s opinion also questions and ultimately cashiers much of the so-called public rights exception to Article III jurisdiction, which the Court had long used to justify denying jury trial rights pretty much any time Congress chose to entrust enforcement of a new statute to an administrative agency. Back in 1977, the Supreme Court in Atlas Roofing Co., Inc. v. Occupational Safety and Health Review Commission held that the Seventh Amendment does not require a trial by jury in administrative proceedings to enforce civil violations of federal ‘public rights’ statutes. Worse yet, the scope of public rights was said to broadly include “cases in which the government sues in its sovereign capacity to enforce public rights created by statutes within the power of Congress to enact.” That had meant that pretty much every statutory prohibition could be enforced with civil penalties without a jury trial, if Congress so chose.

In tossing aside that flimsy doctrine, The Chief Justice gave notice that the government cannot turn jury-trial rights into options only exercisable at the government’s discretion. Congress does not have the power to take away jury-trial rights. That is, it is not just that agencies cannot do this on their own, they cannot even do it with Congress’s explicit blessing. Indeed, Americans’ right to trial by jury matters most in cases against the government, so the idea that jury-trial rights are limited to torts and contracts and other cases against private parties is wrong. This historically learned and deeply rooted decision seems destined to permanently secure Americans’ jury-trial rights against encroachment by the administrative state.

Practically-speaking that probably means pushing a bunch of cases back into Article III courts where they belong, i.e., not in front of administrative law judges. That might require appointing an additional handful of Article III judges, even though the agencies will not be bringing the same volume of cases as before. If so, that seems a small price for taxpayers to pay in exchange for the restoration of their jury-trial rights as a bulwark against aggressive agency enforcement tactics.

[NB: Chief Justice Roberts did not stop there. Stay tuned for the second half of the analysis, covering the Loper Bright and Relentless cases.]

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Sonia Sotomayor’s Supreme Court dissents give voice to liberal frustrations

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Sonia Sotomayor’s Supreme Court dissents give voice to liberal frustrations

During her 2009 confirmation hearing before the US Senate, Sonia Sotomayor declared that the president “can’t act in violation of the constitution. No one is above the law”. 

Back then, she was answering a question about former president George W Bush’s application of a bill banning torture. Now, 15 years later, Sotomayor has once again raised this tenet as a Supreme Court justice, dissenting from an opinion that granted Donald Trump broad immunity from criminal prosecution for his “official” acts as president.

“In every use of official power, the President is now a king above the law,” she wrote.

It is just one example this term of how Sotomayor, often joined by her two fellow liberals on the bench, has pushed back forcefully and vented frustrations about the court’s conservative majority, whose decisions have reshaped American government and society, from presidential immunity and abortion to regulators’ powers and gun policy. 

Sotomayor has been a pillar of the high court’s left-leaning wing since she joined the bench. She became the most senior liberal justice after Stephen Breyer’s retirement in 2022, emerging as the bench’s most vigorous standard-bearer of liberal views as the court has taken on increasingly polarising cases.

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“She is now the strongest character” in the liberal camp, said Barbara Perry, Supreme Court and presidency scholar at the University of Virginia. “She has risen to this level . . .[and taken on] the title of the ‘great dissenter,’” akin to predecessors such as John Marshall Harlan, a one-time slave owner who later championed minority groups’ civil rights primarily via the dissents he wrote while on the court.

Sotomayor, the first Latina member of the Supreme Court, was raised by her single Puerto Rican mother in a Bronx housing project. She earned scholarships to Princeton University and Yale Law School before starting a legal career as a prosecutor in the Manhattan district attorney’s office.

George HW Bush, a Republican, in 1991 nominated her for a seat on the prestigious court for the Southern District of New York. Bill Clinton, a Democrat, then appointed her as an appellate judge, and when Supreme Court Justice David Souter retired, Barack Obama nominated Sotomayor to replace him.

Since Sotomayor joined the bench, its balance of power has shifted. In the 2010s, it was often split 5-4 in liberals’ favour, when including Anthony Kennedy’s powerful swing vote. But Donald Trump’s three Supreme Court appointments have solidified a six-justice conservative majority, emboldening its staunchest members, Clarence Thomas and Samuel Alito.

As the conservatives’ power has grown they have also issued some of the court’s most dramatic rulings in recent years — including the 2022 reversal of Roe vs Wade, the decision that had enshrined the constitutional right to an abortion for nearly 50 years. In many of those cases, the ideological divides in the court’s rulings have opened it up to accusations of partisanship.

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Sotomayor has dissented from high-profile opinions, including upholding bans on homeless people sleeping in public and curbing universities’ consideration of race in admissions. Her writings have stood out for their scathing criticism and withering phrasing. “You can certainly see . . . the ideological force of Justice Sotomayor revealing itself in these dissents,” Perry said. 

She has also taken a front seat during oral arguments. While discussing the case that ultimately overturned Roe she wondered aloud whether the court could “survive the stench . . . in the public perception that the constitution and its reading are just political acts”.

And like other justices this term, she has from time to time given her dissents extra emphasis by reading them from the bench — a practice in revival that seeks to direct the public’s attention to high-stakes rulings.

She has not minced words in her writing. A decision to reverse a ban on “bump stocks”, a device to increase the firepower of rifles, would have “deadly consequences”, she wrote. In dissenting from the homelessness case, she said: “Sleep is a biological necessity, not a crime.”

Sotomayor’s dissent in the presidential immunity case was perhaps her fiercest this term. She painted a grim picture of how the decision could allow a president to lead with impunity. “Orders the Navy’s Seal Team 6 to assassinate a political rival? Immune. Organizes a military coup to hold onto power? Immune. Takes a bribe in exchange for a pardon? Immune. Immune, immune, immune.”

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Her last sentence — “With fear for our democracy, I dissent.” — broke from the standard conclusion: “I respectfully dissent.” That caught the attention of US President Joe Biden, who quoted Sotomayor hours after the ruling, saying: “So should the American people dissent.”

“It is not surprising that as the rightwing justices undermine democracy, the rule of law, and the modern administrative state, the justices who do not sign on to this project would begin to raise the alarm in more alarmist tones,” said Michael Klarman, a professor at Harvard Law School.

Sotomayor, 70, is setting herself apart as she faces calls from some Democratic activists to step down in order to allow Biden to appoint a younger justice who could solidify the liberal wing in the face of a conservative supermajority, half of whom are not yet 60.

Calls for her retirement are symptomatic of Democrats’ anxiety around the odds of a Biden win in the 2024 general election in November, a rematch against Trump, and of holding on to the Senate, which is charged with confirming Supreme Court nominees.

Other members of the liberal wing have raised their rhetorical edge as conservatives have flexed their power in decisions that curbed the Securities and Exchange Commission’s use of its own in-house courts and lengthened the statute of limitations to challenge regulations, among others.

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Justice Elena Kagan penned the dissent to a decision overturning Chevron vs Natural Resources Defense Council, a decades-old legal doctrine that has given the judiciary more power to determine how federal agencies should interpret ambiguous rules and laws written by Congress.

“A rule of judicial humility gives way to a rule of judicial hubris . . . In recent years, this Court has too often taken for itself decision-making authority Congress assigned to agencies,” Kagan wrote.

Not all decisions were split along ideological lines. Conservative justices Amy Coney Barrett and Brett Kavanaugh at times joined their liberal colleagues in dissent. For instance, Coney Barrett authored the dissent in a case that limited the use of an obstruction charge featured in hundreds of prosecutions against rioters who stormed the US Capitol on January 6 2021.

She also wrote a concurring opinion in the presidential immunity case that challenged the notion that protected “official” acts may not be introduced as evidence in a criminal prosecution of a president for private activity.

“I see a streak of pragmatic independence that is not so much leaning towards liberality, but being more pragmatic in her conservative thinking than the more ideological, philosophical views of an Alito or a Thomas or maybe even a [Neil] Gorsuch,” Perry said.

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The Supreme Court is set to hear more hot-button cases next term, beginning in October, including an appeal against a Texas law that requires age verification on pornography websites.

Sotomayor earlier this year told university audiences that she lives “in frustration” in the face of a conservative majority. There are “days that I’ve come to my office after an announcement of a case and closed my door and cried . . . And there are likely to be more,” she said.

More contentious cases are bound to come the court’s way. But Sotomayor has not publicly suggested she is ready to quit. “You have to shed the tears, and then you have to wipe them and get up and fight some more,” she said.

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Back-to-back shark attacks leave 4 people injured in Texas and Florida

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Back-to-back shark attacks leave 4 people injured in Texas and Florida

This image provided by the Texas Department of Public Safety shows a shark close to the shore in South Padre Island, Texas, on Thursday.

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Texas Department of Public Safety/AP

Shark attacks in Texas and Florida left at least four people injured, including one person seriously hurt, as Fourth of July festivities lured crowds to coastal waters this week.

Two people were injured in a shark attack off the coast of southern Texas on Thursday, local officials said.

At South Padre Island, two people were bitten by a shark and two more “encountered” the predator but were not seriously hurt, the Texas Parks & Wildlife Department said in a statement.

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The two bite victims were taken to a hospital in Brownsville for treatment, and one of them was flown out elsewhere for further treatment, according to the department.

Game Warden Capt. Chris Dowdy told The Associated Press that authorities believe a single shark about 6 feet long was involved in all four incidents based on information from witnesses and social media images.

The last shark attack reported in the area was five years ago, Dowdy said.

State officials said that shark attacks on humans are rare in Texas.

“When bites from sharks do occur, they are usually a case of mistaken identity by sharks looking for food,” Texas Parks & Wildlife said.

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“If you see large schools of bait near the shore, this typically [is] an indicator a predator is nearby, or if you see a shark in the water, calmly exit the water and wait for the predatory wildlife to pass,” the department advised in the statement.

Also on Thursday, another beachgoer was injured in a shark attack off the Florida Coast — the first of two shark bite incidents in the area in the span of a day.

At New Smyrna Beach, a 21-year-old man was hospitalized with non-life-threatening injuries after a shark bit his right foot around 4 p.m. on Thursday, Volusia County Beach Safety interim director Tamra Malphurs said in an emailed statement. He’d been playing football in knee-deep water.

On Friday just after 4 p.m. at the same beach, a 26-year-old man was wading in an inner tube in water about 5 feet deep when a shark bit his left foot, Malphurs said. He was treated on the scene and hospitalized for further care, according to Volusia County; his injuries were also not life-threatening.

Last year saw a total of 69 unprovoked shark attacks globally, according to the University of Florida’s International Shark Attack File. Almost half of those attacks occurred in the U.S. That’s an increase from the 57 attacks in 2022, but is still on par with the five-year average of 63 attacks annually.

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The increase in global shark attacks last year does not necessarily signal a rising trend, Gavin Naylor, director of the Florida Program for Shark Research at the Florida Museum of Natural History, told the Daytona Beach News-Journal.

“These are natural processes, random events, which happen to be when people are in the water, where there are sharks in the water — I would think that the variance would be much higher. But in fact, it is remarkably steady,” he said.

Sharks do tend to attack more commonly under certain conditions, he told the publication.

“You only get shark bites when there is a lot of people in the water, a lot of sharks in the water, the sharks are trying to feed on things, and they do not have good visibility,” Naylor said.

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Reformist Pezeshkian wins Iran’s presidential election

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Reformist Pezeshkian wins Iran’s presidential election

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Reformist candidate Masoud Pezeshkian has won Iran’s presidential election after pledging to re-engage with the west to secure sanctions relief and to relax social restrictions in the Islamic republic.

The former health minister secured 16.3mn votes in Friday’s run-off, defeating hardliner Saeed Jalili who garnered 13.5mn votes, according to the interior ministry.

Pezeshkian’s success is a remarkable turnaround for the reformist camp, which has spent years in the political wilderness. It was bolstered by an increase in turnout which was officially put at 49.8 per cent, compared with a record low of 40 per cent in the first round.

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Reformist politicians hailed the result on social media while Pezeshkian supporters staged street celebrations in several cities.

Iran is now set to have its first reformist president in two decades, with the republic at a critical juncture, but Pezeshkian inherits massive challenges. The low turnout underscored the deep sense of disillusionment felt by many Iranians towards their leaders, both reformists and hardliners, and who are loath to be seen to be legitimising the theocratic system through the ballot box.

The republic faces simmering social and economic pressures at home and heightened tensions with the west, fuelled by the Israel-Hamas war and Tehran’s continued expansion of its nuclear programme. The ruling establishment is also preparing for the eventual succession to Ayatollah Ali Khamenei, the 85-year-old supreme leader.

Khamenei is the republic’s ultimate decision maker over key domestic and foreign affairs. But the president does have influence and can affect the tone and approach of government policies at home and overseas. He heads key state bodies, appoints ministers and manages the economy.

During the campaign Pezeshkian, 69 and a cardiac surgeon, said he would seek to negotiate with the west to end the long stand-off over Iran’s expansion of its nuclear programme, arguing that sanctions relief was crucial to reviving the economy and rein in inflation.

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He also suggested he would take a softer stance on social affairs, including restrictions on internet use and enforcement of wearing the hijab. This has been a dominant domestic issue since anti-regime protests swept across the republic after 22-year-old Mahsa Amini died in police custody in 2022 after being arrested for not properly covering her head.

However, he is considered predictable and not someone who will seek to rock the boat. Throughout the campaign, Pezeshkian emphasised his religious beliefs and reiterated that he would follow Khamenei’s guidelines.

“He will not touch the political aspects [of life], but the social and economic aspects of life will be better and he will support Khamenei to change from confrontation to competition,” said Saeed Laylaz, a reformist analyst.

Any push for reforms is likely to face stiff resistance from hardliners who have controlled the levers of the state since cleric Ebrahim Raisi was elected president in 2021. Raisi died in a helicopter crash in May, triggering the election.

Hardliners control the parliament, which approves ministers’ appointments and legislation, while the elite Revolutionary Guards and other powerful entities hold significant sway over domestic and foreign policy.

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Improving relations with the west will also face challenges, with the US in an election year and major western powers angered by Iran’s continued nuclear advances, its sale of armed drones to Russia and human rights abuses. The west will also be sceptical that Pezeshkian’s victory will bring meaningful change.

“The conditions [regarding the nuclear crisis] will be very similar to where we are now. It is the unelected elements of the regime who control the nuclear programme and decisions on whether to agree in negotiations,” said a western official. “We have seen time and time again that Iran’s elected officials have to do what they are told.”

Even those who voted for Pezeshkian are aware of the limited influence he will have. “He’s the only person who can give us what we want. He will have the power to do things, but with others he will make a small difference,” said Ali, a 23-year-old mechanical engineer.

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