Jul 1, 2024, 7:58 PM
Jul 1, 2024, 7:14 AM

Supreme Court opens door to broad challenges to federal regulations with North Dakota truck stop ruling

Highlights
  • The Supreme Court decision in favor of a North Dakota truck stop signals potential challenges to federal regulations.
  • This ruling marks the third setback for federal agencies within a week.
  • The door is now open for broader legal challenges against established regulations.
Story

In a significant ruling, the Supreme Court has paved the way for new and broad challenges to regulations long after they have been implemented, marking the third recent setback for federal agencies. The court voted 6-3 in favor of a North Dakota truck stop, Corner Post, allowing it to sue over a regulation on debit card swipe fees that was upheld by a federal appeals court in Washington a decade ago. Despite the Biden administration arguing that the deadline for lawsuits over the regulation had passed in 2017, the Supreme Court's conservative majority, led by Justice Amy Coney Barrett, determined that the six-year clock for Corner Post did not start until it began accepting debit cards in 2018. This decision holds particular significance following last week's ruling that overturned the 1984 Chevron decision, which had facilitated the upholding of regulations across various aspects of American life. Additionally, the court also curtailed a major tool of the Securities and Exchange Commission in combating securities fraud. The case of Loper Bright, which overturned Chevron, has raised expectations that entities like Corner Post may find success in their legal challenges more frequently in light of the recent rulings. Chief Justice John Roberts highlighted the dilemma faced by the court during arguments in the Corner Post case, emphasizing the balance between preventing endless challenges to agencies while ensuring that individuals or entities harmed by government actions have the opportunity to seek redress. The principle of ensuring everyone's access to justice was underscored by Roberts, who noted that this entitlement should not be undermined by arbitrary time limits set for challenging regulations. The ruling sets a precedent for potential shifts in the legal landscape regarding regulatory challenges and governmental accountability.

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