Democratic AGs Defend Fed Independence

Cozen O'Connor
Contact
LinkedIn
Facebook
X
Send
Embed

Cozen O'Connor

  • Colorado AG Phil Weiser led a group of 23 Democratic AGs in filing an amicus brief in Trump v. Cook, urging the U.S. Supreme Court to reject President Trump’s request to immediately remove Federal Reserve Governor Lisa Cook from her position. A lower court had previously enjoined Cook’s removal pending resolution of the case.
  • In their brief, the AGs argued that the President’s attempt to remove a Federal Reserve governor “for cause” without due process is inconsistent with congressional intent and threatens to undermine the Fed’s independence. They warned that allowing such removal authority would politicize monetary policy and undermine the Fed’s ability to make economic decisions free from political pressure.
  • According to the brief, compromising the Fed’s independence could lead to higher inflation, increased unemployment, market volatility, and long-term financial instability—all of which could directly harm state economies. The AGs emphasize that stable monetary policy is essential for states to plan budgets, fund schools, and provide essential services, and argue that granting the President’s request for a stay of the preliminary injunction would erode judicial checks on executive power and undermine the rule of law.
  • The AGs urge the Court to uphold the lower court’s decision and preserve the Fed’s independence.
Send Print Report

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Cozen O'Connor

Written by:

Cozen O'Connor
Cozen O'Connor
Contact
more
less

What do you want from legal thought leadership?

Please take our short survey – your perspective helps to shape how firms create relevant, useful content that addresses your needs:

Cozen O'Connor on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
Sign Up Log in
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide