That was quick: Supremes' gutting of Chevron deference is already paying dividends
Regulatory dominoes have begun to fall in the wake of the Supreme Court's gutting of federal agency rulemaking authority, with the Federal Trade Commission's ban on noncompete agreements the first to be stayed using the SCOTUS decision as justification.against tax prep firm Ryan LLC, the US Chamber of Commerce, and several other Texas business associations that sued the FTC over the matter in April, shortly after the Commission approved it.
"The court concludes the text and the structure of the FTC Act reveal the FTC lacks substantive rulemaking authority with respect to unfair methods of competition," Brown said in her order, and the plaintiffs are thrilled. Given recent Supreme Court elimination of the Chevron deference – which gave federal agencies the freedom to interpret ambiguous legislative terms for the purposes of enacting legislation, provided they were trying to apply laws passed by Congress – it's not clear the FTC's authority is still what it believes it is.
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