Overview
- U.S. District Judge Loren L. Alikhan concluded that President Trump’s March removal of Rebecca Slaughter breached the FTC Act’s statutory for-cause protections and is therefore legally void.
- The decision invokes the 1935 Humphrey’s Executor precedent, which limits arbitrary dismissals of independent regulators to preserve agency autonomy.
- White House spokesman Kush Desai said the Supreme Court has long upheld presidential removal authority and that the administration will seek reversal of the ruling on appeal.
- Alvaro Bedoya, the other commissioner dismissed alongside Slaughter, resigned in June and does not remain in the legal challenge.
- A favorable ruling for the administration could undermine removal safeguards at the SEC, FDIC and Federal Reserve as a conservative 6-3 Supreme Court weighs the case.