September 23, 2025

The US Supreme Court has taken on a case that could reshape the executive control over independent federal agencies, specifically focusing on the president’s authority to dismiss commissioners of the Federal Trade Commission (FTC). This decision stems from a controversial move by former President Donald Trump, who terminated FTC commissioner Rebecca Slaughter, sparking a legal battle over the limits of presidential powers.
In an unprecedented review, the Supreme Court will consider overturning a landmark 1935 decision, Humphrey’s Executor v. United States, which has long protected FTC commissioners from removal without cause, defined as "inefficiency, neglect of duty, or malfeasance in office." This case solidified the operational independence of federal agencies during the New Deal era, a principle now under scrutiny.
The core of the controversy began when President Trump dismissed Slaughter, leading to her suing the administration. The U.S. District Court for the District of Columbia subsequently ruled the firing unlawful under the current FTC Act, which echoes the protections set by Humphrey’s Executor. However, the Supreme Court halted Slaughter’s reinstatement pending appeal, signaling a potential shift in judicial attitudes towards agency independence.
The Supreme Court's review will address whether the FTC Act’s firing protections infringe upon the separation of powers doctrine and if federal courts can intervene to prevent removals from public office. These deliberations are set against a backdrop of recent decisions where the Court’s conservative majority has expanded presidential control over other federal entities, such as the National Labor Relations Board and the Consumer Product Safety Commission.
Justice Elena Kagan, alongside Justices Sonia Sotomayor and Ketanji Brown Jackson, expressed dissent concerning the Court's direction, warning that it undermines the legislative intent to maintain agency independence. Kagan criticized the majority for preemptively granting the president broader removal powers, potentially diluting the bipartisan and staggered nature of commissions like the FTC.
As the nation awaits the Court’s arguments scheduled for December, this case not only tests the fabric of administrative law but also poses significant implications for the nonpartisan governance of independent agencies. The outcome could redefine the balance of power between the White House and federal agencies, impacting how regulations are enforced across various sectors, from commerce to consumer protection.