In the News

According to New York University’s Institute for Policy Integrity, the Trump administration won only 23 percent of legal challenges to its agency actions (which were almost entirely deregulatory), compared to a success rate of about 70 percent defending agency actions in previous administrations. 

Environmentalists are warning that if the Supreme Court ends the long-standing Chevron doctrine, as is widely expected after Jan. 17 arguments, it will result in significant policy uncertainty as courts conduct heightened scrutiny of EPA and other agency rules while Congress is unable to provide detailed legislation that such an approach requires... Donald Goodson of the Institute for Policy Integrity at New York University tells Inside EPA that the high court should have dismissed Loper and just heard Relentless, which is “the obviously better vehicle” because all nine justices can participate.

As 2023 drew to a close, EPA sharply increased its estimates for what climate change costs society. A higher carbon value can help tip the scales in favor of a stronger regulatory option that delivers greater net benefits... “Agencies often leave a more stringent option on the table, even if their own analysis finds that it would yield greater net benefits,” said Max Sarinsky, a senior attorney at the Institute for Policy Integrity at New York University School of Law.

Donald Goodson of the Institute for Policy Integrity at New York University says the Chervon and APA cases, taken together, could have even more of an impact than in isolation. That is because if the Supreme Court overturns or narrows Chevron and then extends the statute of limitations under the APA, that could open up old rules to new challenges, creating massive uncertainty.

The practice of partition pricing and marketing has become a topic of interest for the FTC and the CFPB. For example, the FTC recently streamlined procedures to “tackle cutting-edge issues, like … unfair and deceptive practices in event ticket sales, among others,” according to Commissioner Rebecca Kelly Slaughter. Additional efforts across states are being made to encourage the FTC to ban the use of drip pricing. For example, the Institute for Policy Integrity at New York University School of Law has petitioned the FTC to ban drip pricing practices. The petition argues that sellers should be required to disclose the “full” price of a product or service up front as a single total price, including all unavoidable fees and charges.

The Supreme Court justices have made clear that they intend to use Relentless vs Department of Commerce and Loper Bright Enterprises vs Raimondo to reconsider a seminal decision that has set the rules for legal challenges to federal regulation since 1984. Under the Chevron doctrine, as it is known, courts defer to an agency’s interpretation of federal law when Congress itself has been silent. Don Goodson, a senior attorney at New York University’s Institute for Policy Integrity, warns that businesses should be careful what they wish for. “There are good legal reasons for Chevron and there are good practical reasons . . . Inevitably, federal statutes are sometimes ambiguous,” he says. If different courts reach different conclusions, that could lead to conflicting rules in various parts of the country. “If you are a regulated entity, the question is: do you want one interpretation or several? That may have headaches of its own,” he adds.

The Environmental Protection Agency (EPA) this weekend took action that is expected to justify stricter climate regulations. Max Sarinsky, a senior attorney at New York University’s Institute for Policy Integrity, said that technically, a future president could prevent agencies from using the Biden administration’s social cost values “with the stroke of a pen.” But he also said that doing so could make any rules issued by that administration legally vulnerable.

Court fights over proposed Gulf Coast gas export facilities are exerting new pressure on federal energy regulators to reevaluate whether it is in the public’s best interest to ship fossil fuels to foreign countries as the world confronts climate change. Section 3 of the [Natural Gas Act] tells FERC it can approve or deny an application for siting an LNG facility, but the statute doesn’t provide a legal standard for how to make that decision, said Jennifer Danis, federal energy policy director at the Institute for Policy Integrity.

The Biden administration directed agency policymakers on Thursday to more heavily weigh how their economic regulations will help or hurt worker safety, children’s health, and consumer prices decades into the future. The 93-page memo instructs agencies to pay more attention to how the costs and benefits of their regulations vary by person… “Costs accrue for the most part in the short term,” said Max Sarinsky, an attorney that studies regulation at New York University School of Law. “But the benefits accrue decades or more into the future.”

Max Sarinsky, a senior attorney at New York University School of Law's Institute for Policy Integrity, said there will be some factors on an agency's side as well during future litigation. He said that for one thing, the estimates, which have already been used in many rules and other decisions, go through an extensive process before finalization that incorporates a public comment period, a peer review process and the best available science at the time. "To win an argument that the standard is high, you have to show that it's arbitrary and capricious to use these numbers," Sarinsky said. "So to say that it's arbitrary and capricious to use Nobel Prize-winning work seems a little difficult to me."