Richard Cordray

  • March 30, 2012

    by John Schachter

    Who would have thought a 220-year-old law would be relevant in the health care reform debate that dominated the Supreme Court this week? Yet there it is – the Militia Act of 1792 – standing firmly as an answer to an oft-asked question in this debate. Is there an example of anything that Congress has mandated that people buy?

    Let’s put aside for the moment that the requirement that we pay our taxes “mandates” that we all “buy” Social Security and Medicare, highways, medical and scientific research, tanks and weapons, and anything else the government pays for through its revenues. How about the narrower question of Congress specifically mandating that citizens actually purchase a good or service?

    When ACS President Caroline Fredrickson appeared on Fox News’ “The O’Reilly Factor” on March 27, the show’s eponymous host appeared genuinely miffed when Caroline mentioned the Militia Act. “What act was that?” he asked. O’Reilly had insisted on hearing an example of Congress requiring citizens to purchase something – or as he so politely put it, “[Name] one thing that the federal government compels you to buy, one thing. One thing.”

    And when given the oldest and most relevant answer, he balked. It’s pretty clear he didn’t expect there to be an answer. While it’s often difficult to divine what our Founders may have intended with various constitutional prerogatives, in this case we have actual hard evidence.

    The following day (presumably after firing the intern who failed to brief him properly), O’Reilly had to justify his erroneous skepticism. Easy for him – he changed the question.

  • February 6, 2012

    by Jeremy Leaming

    A gaggle of senators, typically given to grousing about so-called activist judges, is agitating for court intervention into the president’s recent recess appointments, which The Atlantic’s Andrew Cohen highlights for its hypocrisy.

    As Cohen notes, Sens. Charles Grassley (R-Iowa), John Cornyn (R-Texas), Orrin Hatch (R-Utah), Tom Coburn (R-Okla.), Mike Crapo (R-Idaho) and Lindsey Graham (R-S.C.) agreed to join other senators in filing a “friend of the court brief in support of the federal legal challenges to President Obama’s recess appointments of Richard Cordray to head the Consumer Financial Protection Bureau, and three selections to the National Labor Relations Board. On Friday the senators issued a letter about their intent to file the brief, which will argue that the appointments are unconstitutional.

    All of those senators, members of the Senate Judiciary Committee, have at one time or another expressed outrage over judges who supposedly legislate from the bench. So Cohen finds “something deliciously hypocritical” of their call for a federal court to take action and nullify the president’s recess appointments.  

    Cohen has some advice on how Democrats should respond to the Republicans’ call for judicial action over the administration’s recess appointments, writing, “If I were a Democrat in the Senate, or a White House tribune, I would be responding to the GOP lawsuit letter by loudly doubling down on the concept of having judges determine political procedure. Republicans want the courts involved in recess appointments? Fine. Then they should embrace the notion that the federal courts ought to decide whether the filibuster is constitutional was well. After all, it has less explicit constitutional support than a recess appointment, does it not?”

    Since it is likely that the Republican senators do not actually want judges determining the constitutionality of recess appointments or wading into the Senate’s use of the filibuster, they might more seriously focus on reforming procedure. Indeed it was the Senate Republican’s stalling tactics on Cordray’s nomination and the selections to the NLRB that prompted the recess appointments.

  • February 2, 2012

    by Jeremy Leaming

    Fuming over the recess appointments President Obama made in January, Iowa Sen. Charles Grassley leveled threats against the Assistant Attorney General Virginia Seitz who authored a legal memorandum backing those appointments. Not only attacking her legal analysis, Grassley said Seitz (pictured) should never be confirmed again for any position.  

    In a piece for The Huffington Post, ACS President Caroline Fredrickson takes Grassley to task for his misguided attacks on Seitz, who he voted to confirm to lead of the Office of Legal Counsel, which is charged with providing legal advice to the president and all executive agencies.

    Fredrickson writes:

    Seitz’s memorandum is straightforward and relies on precedent and historical practice of past attorneys general. If it’s unconvincing to Grassley that’s only because it helped the president stand up to the ongoing obstruction orchestrated by Grassley’s party.

    Since coming into office, President Obama has faced an intensifying front of opposition to his judicial, and many of his executive branch selections. For example, the obstructionism has greatly hobbled our federal courts, where there are more than 80 vacancies and caseloads of courts throughout the nation continue to swell, leaving far too many Americans without access to an efficient judicial system.

    After more than a year of going without a chief, the president moved on naming Richard Cordray to lead the Consumer Financial Protection Bureau. Faced with three vacancies on the five-member board of the National Labor Relations Board, and ongoing of obstruction of nominees to those seats, the president used recess appointments to keep the agency functioning.

  • February 1, 2012

    by Nicole Flatow

    In recess appointing Richard Cordray to the Consumer Financial Protection Bureau and three others to the National Labor Relations Board, President Obama has acted “sensibly and soundly to defend his own prerogatives,” UNC Chapel Hill constitutional law professor Michael Gerhardt said during a House Oversight and Government Reform Committee hearing Wednesday.

    During a more than three-hour hearing that featured sharp questioning and a host of objections to President Obama’s actions by Sen. Mike Lee, Gerhardt explained the clear constitutionality of President Obama’s action, and praised the Office of Legal Counsel’s recent memorandum defending the legality of the action as a “perfectly good example” of the kind of nonpartisan legal analysis performed by the office.

    After dismissing arguments that President Obama did not act during an actual “recess” because the Senate held pro forma sessions every three days, Gerhardt went further to explain that Obama has an affirmative constitutional duty to enforce the laws faithfully, which he was aiming to effectuate in making recess appointments.

    “No doubt in this case the president considered that if he didn’t act there would be laws left unenforced --  laws that he’s obviously trying to do what he can to put into implementation,” Gerhardt said.

    Some of the other witnesses testified that the recess appointments have resulted in uncertainty for businesses, because decisions made by the NLRB and actions taken by the CFPB may be invalidated if legal challenges to Obama’s appointments are successful.

    But Gerhardt agreed with Rep. Danny Davis during questioning that all actions and major pieces of legislation are subject to legal challenge, and there is nothing unique about Obama’s recess appointments.

    “It’s sort of a false premise to say that recess appointments are likely to create litigation when the litigation is likely to take place in any event,” Davis said. “Whether these are recess appointees or any other kind of appointees, individuals still have the option to ask for judicial review.”

    Around the same time that this hearing was occurring, the Senate Banking Committee was also reviving the issue of Obama’s recess appointments during an oversight hearing involving Richard Cordray.

    As The National Law Journal’s Jenna Greene explains:

  • January 13, 2012

    by Nicole Flatow

    The Justice Department’s Office of Legal Counsel released a memo yesterday explaining the legal justification for President Obama’s recess appointments of Richard Cordray to head the Consumer Financial Protection Bureau and three others to the National Labor Relations Board.

    "This is one opinion that is likely to be followed by future presidents,” UNC law professor Michael Gerhardt told Mother Jones. “It's not easy to overturn opinions of the [Office of Legal Counsel], as the history of the [Bush-era] Torture Memos demonstrate."

    The memo concludes that Obama was authorized to act under the Constitution’s Recess Appointments Clause, and that the Senate’s attempt to block appointments by holding “pro forma” sessions every few days did nothing to disrupt its recess.

    "[W]hile Congress can prevent the President from making any recess appointments by remaining continuously in session and available to receive and act on nominations, it cannot do so by conducting pro forma sessions during a recess," Assistant Attorney General Virginia Seitz writes in the memo.

    Ohio State University’s Peter Shane calls the memo’s argument that Obama made the appointments during what was effectively a 20-day recess the more “institutionally modest” approach. He and others have argued that even during a three-day recess, Obama could have made such appointments.

    Bolstering these arguments is the fact that Obama only made appointments to those agencies that were unable to perform essential functions so long as the vacancies remained open.