Mark S. Nelson, J.D., a writer analyst in the Wolters Kluwer Legal & Regulatory Solutions U.S. Securities Group, explains why a small group of respondents in SEC administrative proceedings have challenged the constitutionality of the agency’s administrative law judges, reviews the arguments for and against district court jurisdiction of their claims, details the subtle interplay between Supreme Court and D.C. Circuit precedents on the Article II merits issue, and highlights what to expect as federal appeals courts grapple with the legality of the SEC's in-house enforcement regime and the potential impact of these coming decisions on other federal agencies.
Commentary and musings on the complex, fascinating and peculiar world that is securities regulation
Thursday, October 22, 2015
The SEC's ALJs: The Latest Constitutionality and Enforcement Issues
Mark S. Nelson, J.D., a writer analyst in the Wolters Kluwer Legal & Regulatory Solutions U.S. Securities Group, explains why a small group of respondents in SEC administrative proceedings have challenged the constitutionality of the agency’s administrative law judges, reviews the arguments for and against district court jurisdiction of their claims, details the subtle interplay between Supreme Court and D.C. Circuit precedents on the Article II merits issue, and highlights what to expect as federal appeals courts grapple with the legality of the SEC's in-house enforcement regime and the potential impact of these coming decisions on other federal agencies.