US Supreme Court Backs Trump in FTC Dismissal, Sets Stage for Landmark Review of Agency Independence

Web Reporter
3 Min Read

The US Supreme Court has ruled that President Donald Trump can dismiss Federal Trade Commission (FTC) Commissioner Rebecca Slaughter, a decision that could reshape the future of independent regulatory agencies in Washington.

In a 6-3 ruling on Monday, the court sided with the president, granting him authority to remove Slaughter, a Democrat, from her post while her legal challenge continues. The ruling also sets the stage for a broader constitutional showdown, as the justices agreed to hear arguments in December on overturning a nearly century-old precedent that shields independent agencies from direct presidential control.

The case revisits Humphrey’s Executor, a 1935 decision in which the Supreme Court ruled that Congress could create independent bodies such as the FTC with commissioners protected from removal except for misconduct or neglect of duty. That precedent has long been viewed as a cornerstone of modern administrative law, preserving the independence and bipartisan character of regulatory agencies.

Writing for the dissent, Justice Elena Kagan warned that the majority’s decision hands sweeping power to the White House at the expense of Congress’s intent. “He may now remove—so says the majority, though Congress said differently—any member he wishes, for any reason or no reason at all. And he may thereby extinguish the agencies’ bipartisanship and independence,” she wrote.

The FTC, which enforces consumer protection and antitrust laws, is typically composed of five commissioners, with three representing the president’s party and two from the opposition. In March, Trump dismissed Slaughter and fellow Democrat Alvaro Bedoya, prompting legal challenges. A federal judge later declared Slaughter’s removal unlawful under existing precedent, while Bedoya resigned.

Earlier this month, the Supreme Court temporarily allowed Trump to proceed with the dismissal as it weighed whether to take up the case. Monday’s decision confirms that Slaughter cannot return to her role while the high court prepares to revisit the constitutional question.

The implications extend beyond the FTC. The justices are also weighing the Trump administration’s attempt to remove Federal Reserve Governor Lisa Cook. Cook, dismissed in August over allegations of mortgage fraud that she denies, won her case in a lower court, which ruled the president lacked the authority to fire her.

Legal experts say the Supreme Court’s decision to reconsider Humphrey’s Executor could mark one of the most significant shifts in the balance of power between the presidency and independent agencies in nearly a century. A ruling in Trump’s favor could give the White House far greater control over institutions designed to operate outside partisan influence, from the FTC and Federal Reserve to other regulatory commissions.

For now, the court’s decision allows Trump to exercise sweeping authority over appointments, with the final verdict on agency independence expected after hearings in December.

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