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Trump Administration Challenges Independence of Federal Agencies in Supreme Court Case

The administration seeks to overturn a 90-year-old precedent limiting presidential authority over regulatory bodies, raising constitutional and economic concerns.

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President Donald Trump signs an executive order in the Oval Office of the White House on Feb. 10, in Washington, DC.
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Overview

  • The Trump administration is urging the Supreme Court to overturn Humphrey’s Executor, a 1935 ruling that restricts the president's ability to fire heads of independent agencies without cause.
  • An executive order issued by Trump mandates all independent agencies to submit regulatory policies to the White House for review, intensifying executive control.
  • Legal experts warn that overturning Humphrey’s Executor could impact the Federal Reserve's independence, despite attempts to exempt its monetary policy decisions.
  • The case has sparked a constitutional debate over the separation of powers, with critics arguing Trump's actions undermine checks and balances established by the Founders.
  • Democrats and some legal scholars express concerns about the potential destabilization of financial and regulatory systems, while conservative justices appear open to revisiting the precedent.