News & Analysis as of

Securities and Exchange Commission (SEC) Final Written Decisions

WilmerHale

Jarkesy Case Upends SEC Tribunal

WilmerHale on

On May 18, 2022, the US Court of Appeals for the Fifth Circuit issued its decision in Jarkesy v. SEC, vacating a Securities and Exchange Commission (SEC) decision in an enforcement action brought as an administrative...more

Miller Canfield

Federal Court Calls Unconstitutional the U.S. Securities & Exchange Commission’s In-House Administrative Proceedings for...

Miller Canfield on

Key Takeaways - ..The U.S. Supreme Court is poised to hear cases that may curtail the administrative powers of the SEC. ..These rulings may portend greater limits on federal administrative agencies generally....more

Carlton Fields

SEC Proceedings Face Uncertainty After Supreme Court Holds ALJs Unconstitutional

Carlton Fields on

After much anticipation, the U.S. Supreme Court ruled on the constitutionality of the Securities and Exchange Commission’s (SEC or Commission) Administrative Law Judges (ALJs)....more

Manatt, Phelps & Phillips, LLP

ALJs Could Get Political With New Executive Order

The new executive order (EO) granting agency chiefs the power to hire administrative law judges (ALJs) according to their own standards—and eliminating the exam and competitive hiring process formerly in place—could turn the...more

Polsinelli

Lack of Presidential Appointment May Invalidate ALJ Decisions

Polsinelli on

In one of its last opinions of the term, the U.S. Supreme Court held in Lucia v. U.S. Securities and Exchange Commission (SEC) on June 21, 2018, that administrative law judges (ALJs) are officers of the United States, not...more

Sheppard Mullin Richter & Hampton LLP

Lucia Is Likely To Have Little Impact On Waning FCC Adjudications

During its most recent Term, the Supreme Court held in Lucia v. SEC that the administrative law judges (“ALJs”) that preside over adjudications at the Securities and Exchange Commission (“SEC”) are “Officers of the United...more

Latham & Watkins LLP

Supreme Court: SEC ALJs Are Officers Subject to Constitution’s Appointments Clause

Latham & Watkins LLP on

Respondents in pending or future proceedings should carefully assess their options until several key legal questions are resolved. The United States Supreme Court recently issued its ruling in Lucia v. Securities and...more

Orrick, Herrington & Sutcliffe LLP

3 Key Defense Arguments For Post-Lucia SEC Proceedings

Orrick's Andrew Morris and Ben Aiken co-authored an article for Law360 in which they identify three of the most significant defense arguments for respondents in SEC administrative actions in light of the Supreme Court's...more

Carlton Fields

Supreme Court Set to Rule on Constitutionality of SEC’s ALJs

Carlton Fields on

In April, the U.S. Supreme Court heard oral argument in Lucia v. SEC to resolve the federal circuit court split on whether the SEC’s administrative law judges (ALJs) are "inferior officers" of the United States who must be...more

Vedder Price

SEC Administrative Law Judges: Key Takeaways and Lingering Questions from Lucia v. SEC

Vedder Price on

On June 21, 2018, the United States Supreme Court resolved a circuit split on the question of whether administrative law judges (“ALJs”) of the Securities and Exchange Commission (the “SEC” or the “Commission”) qualify as...more

Ballard Spahr LLP

What does the Supreme Court’s Lucia decision mean for the CFPB and federal banking agencies?

Ballard Spahr LLP on

In its June 21 decision in Lucia v. Securities & Exchange Commission, the U.S. Supreme Court ruled that administrative law judges (ALJs) used by the SEC are “Officers of the United States” under the Appointments Clause in...more

Jones Day

U.S. Supreme Court Holds SEC's Staff Appointments for Administrative Law Judge Unconstitutional

Jones Day on

In Lucia v. SEC, the U.S. Supreme Court made things messy for the Securities and Exchange Commission ("SEC") by vindicating constitutional concerns over the agency's use of administrative law judges. The Court concluded that...more

K&L Gates LLP

Supreme Court Offers Others a Chance for a Second Bite at the Apple in Federal Administrative Adjudication Proceedings – But the...

K&L Gates LLP on

On June 21, 2018 the U.S. Supreme Court ruled in Lucia et al. v. Securities and Exchange Commission, [1] that the appointment of certain administrative law judges (“ALJs”) was unconstitutional, and that those with matters...more

Kramer Levin Naftalis & Frankel LLP

Supreme Court Rules the SEC’s Procedure for Appointing Administrative Law Judges Violates the Constitution’s Appointments Clause

On June 21, 2018, the Supreme Court in Raymond J. Lucia, et al. v. SEC, held that the SEC’s administrative law judges are “Officers of the United States” whose appointment must comport with the requirements of the...more

Tonkon Torp LLP

Supreme Court Throws Out SEC Administrative Law Judge Process

Tonkon Torp LLP on

On June 21, 2018, the Supreme Court of the United States invalidated the process that the Securities and Exchange Commission ("SEC") had been using to appoint administrative law judges. Staff from the SEC had selected...more

Dechert LLP

Supreme Court Holds That SEC’s Administrative Law Judges Were Unconstitutionally Appointed

Dechert LLP on

The U.S. Supreme Court recently held, in Lucia v. SEC,1 that Administrative Law Judges (ALJs) for the U.S. Securities and Exchange Commission (SEC or Commission) are officers of the United States who must be appointed...more

Morrison & Foerster LLP

Lucia Leaves Many Important Questions Unanswered

In Lucia v. U.S. Securities and Exchange Commission, Justice Elena Kagan, writing for a six-justice majority, presents the U.S. Supreme Court’s decision as both narrow and uncomplicated. “The sole question” the court chose to...more

Manatt, Phelps & Phillips, LLP

SCOTUS Overturns SEC Judge Appointments: What You Need to Know

Many cases involving federal regulatory law are largely decided by judges appointed by the staffs of federal agencies—administrative law judges (ALJs). In a case closely watched for its securities and white-collar crime...more

Akin Gump Strauss Hauer & Feld LLP

Government Agencies Face Uncertainty After Supreme Court Rules That SEC ALJs Must Be Appointed

• SEC ALJs are “Officers of the United States” within the meaning of the Appointments Clause and therefore must be appointed directly by the SEC. The Court’s decision may permit litigants in prior and pending administrative...more

Miller Canfield

The Supreme Court Rules that SEC ALJs Were Unconstitutionally Appointed

Miller Canfield on

The U.S. Supreme Court has held that administrative law judges (ALJs) of the Securities and Exchange Commission are "Officers of the United States" under the Appointments Clause of the U.S. Constitution, and are not mere...more

A&O Shearman

United States Supreme Court Reverses And Remands SEC Administrative Proceeding - Finding That SEC Administrative Law Judges Are...

A&O Shearman on

On June 21, 2018, the Supreme Court held that Securities and Exchange Commission (“SEC”) administrative law judges (“ALJs”) are “inferior officers” of the United States, subject to the Appointments Clause of the Constitution....more

Morgan Lewis

Supreme Court Provides One Answer about SEC Administrative Law Judges, but Leaves Many Questions

Morgan Lewis on

On June 21, in Lucia v. Securities and Exchange Commission, the US Supreme Court held that administrative law judges of the US Securities and Exchange Commission are not mere federal employees but qualify as “Officers of the...more

WilmerHale

Supreme Court Rules SEC ALJs Are Officers Subject to the Appointments Clause

WilmerHale on

On June 21, 2018, the Supreme Court issued its decision in Lucia v. SEC, Slip Op. No. 17-130. Securities and Exchange Commission (SEC) administrative law judges (ALJs) have traditionally been appointed by SEC staff members,...more

Burr & Forman

Supreme Court: SEC Administrative Law Judges Must Be Appointed by Political Officials

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Are Administrative Law Judges (“ALJs”) “Officers of the United States” or simply employees of the Federal Government? In Lucia v. SEC, decided last Thursday, the Supreme Court answered that question in favor of the former,...more

Stinson - Corporate & Securities Law Blog

Supreme Court Finds Appointment of SEC ALJs Unconstitutional – What’s Next?

In Lucia v. Securities and Exchange Commission, the SEC brought an administrative action before one of its administrative law judges, or ALJ’s, against Raymond Lucia for allegedly using misleading slide presentations to...more

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