Business Law Essays
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David P. Twomey – Boston College
Marianne M. Jennings – Arizona State University
Stephanie Greene – Boston College
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Twomey - Jennings, Anderson’s Business Law and the Legal Environment, 22nd Ed.
© 2017 Cengage Learning. All Rights Reserved.
© 2017 Cengage Learning. All Rights Reserved.
Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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Chapter 6
Administrative Agencies
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
LEARNING OUTCOMES
Describe the nature and purpose of administrative agencies
Discuss the legislative or rulemaking power of administrative agencies
Explain the executive or enforcement function of administrative agencies
Discuss the judicial power of administrative agencies including the rule on exhaustion of administrative remedies
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© 2017 Cengage Learning. All Rights Reserved.
Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-1 Nature of the Administrative Agency
6-1a Purpose of Administrative Agencies
An administrative agency is a government body that administers and implements legislation.
Created to carry out general policies specified by Congress
Examples include SEC, CPSC, FDA
Governed by administrative law
© 2017 Cengage Learning. All Rights Reserved.
Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-1 Nature of the Administrative Agency
6-1b Uniqueness of Administrative Agencies
Combine legislative, executive, and judicial powers
6-1c Open Operation of Administrative Agencies
Public has ready access to administrative agency activities
Open records
Open meetings
Public announcement of agency guidelines
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-2 Legislative Power of the Agency
6-2a Agency’s Regulations as Law
Agencies cannot act beyond their scope of authority
Authority is not limited to the technology in existence at the time the agency was created
Example: Massachusetts v. EPA—Court held that the EPA must curb greenhouse gases due to the Clean Air Act
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-2 Legislative Power of the Agency
6-2b Agency Adoption of Regulations
Congressional Enabling Act
Agency Research of the Problem
Proposed Regulations
Public Comment Period
At least 30 days
Options after Public Comment
Agency can pass, promulgate, or withdraw the rule.
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-3 Executive Power of the Agency
6-3a Enforcement or Execution of the Law
Agency has the power to investigate to determine law and rule violations and to determine if additional regulations are needed
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-3 Executive Power of the Agency
6-3b Constitutional Limitations on Administrative Investigation
Inspection of Premises: Allowed without a warrant unless dangerous to health or safety
Production of Papers: The 4th and 5th Amendments cannot be invoked
Inspections and Reports: The agency may require submission of periodic reports
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-4 Judicial Power of the Agency
6-4a The Agency as a Specialized Court
Beginning Enforcement – Preliminary Steps
A private individual or agency may file a written complaint, which is served/answered
The Administrative Hearing
No right to jury; administrative law judge (ALJ) hears the case
Not subject to the rules of evidence
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-4 Judicial Power of the Agency
6-4a The Agency as a Specialized Court, Cont.
Streamlined Procedure: Consent Decrees: Practical devices used to resolve disputes
The Hearing Process: Interveners, interested third parties, can also participate
The Administrative Agency Decision: Files an opinion with the findings of facts and reasons for the decision
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-4 Judicial Power of the Agency
6-4b Punishment and Enforcement Powers of Agencies
Penalty
Cease-and-Desist Order
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-4 Judicial Power of the Agency
6-4c Exhaustion of Administrative Remedies
No judicial review until after the agency’s final decision unless
there is no opportunity for relief
irreparable injury is possible
an appeal to the agency would be useless
substantial constitutional question exists
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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6-4 Judicial Power of the Agency
6-4d Appeal from an Administrative Agency Action
Procedural Issues
Substantive Law or Fact Issues
Ultra Vires or Beyond the Jurisdiction of the Agency
Arbitrary and Capricious (ex. Hornbeck Offshore Services v. Salazar)
Constitutional Rights
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Twomey /Jennings/Greene: Anderson’s Business Law, 23rd Edition
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