MGT 401 Business and the Constitution and Administrative Agencies

congress has power to regulate commerce with foreign nations

exclusive power
Ex. Trade between two nations.

concurrent power with the states
Ex. trade between two or more states

The federal law giving authority to the Drug Enforcement Administration to regulate the sale and use of drugs.
-Gonzales v. Raich (2005)

commerce occurring within one state which cannot be regulated by the federal government

-negative or dormant commerce clause
-burdening out of state interests

**passed these laws to prevent minors from purchasing alcohol over the internet

-constitution, federal statutes, and treaties are the supreme law of the land
-any conflict between state and federal statutes = fed law preempts & state law void (unconstitutional)

the bill of rights (first 10 amendments)
-certain individuals, business entities protected from governmental action

Congress shall make no law abridging the freedom of speech

1. Does the regulation directly advance a substantial government interest?
2. Is the regulation more extensive than necessary to accomplish the government interest?

Ex. Bad Frog Brewery v. NYS Liquor Authority

congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof

-establishment clause
-free exercise clause

the right of people to be secure in their persons, houses, papers, and effects against unreasonable searches

-search warrant and probable cause

no person shall be deprived of life, liberty, or property

-must provide procedural due process

1. give notice
2. trial/hearing
3. neutral factfinder

-is the government taking private property?
-is it for public use?
-is a fair price being paid?

14th amendment clause that prohibits states from denying equal protection under the law, and has been used to combat discrimination

-economic or social regulation
-gender
-race, ethnicity, and fundamental rights

the body of law that regulates the operation and procedures of government agencies.

-power to regulate business; federal or state
-enabling legislation (creation, powers, responsibilities)

-rules and regulations
-meetings
-investigations
-hearings
-informations

Rules and Regulations: legislative rules, interpretive rules, judicial deference

Procedure: study, publish proposed rule, written comments, public hearings, formal response, adopt final rule, re-propose revised rule, or withdraw proposed rule

-Code of Federal Regulations

-voluntary
-subpoena ad testificandum
-subpoena duces tecum (appear and bring things with them
-purpose
-relevancy
-specificity
-burden
-search and seizure: warrants

*after finding wrong doing
-hearing
-administrative law judge
-no jury
-attorneys
-informal rules of evidence
-1st appeal to appellate board - de novo decision
-subsequent appeal - federal court

1. Statutory Control
-enabling act
-administrative procedure act
2. Political Control
-appointments
-budget
-legislative amendments
3. Judicial Review
-constitutional? consistent with statutory law?

-FOIA Requests
-does not apply to congress, the courts, or executive branch
-federal agencies
-exemptions for confidential information

-open meetings
-prior notice
-exceptions

Requires an analysis of the cost a regulation will impose on small business and must consider less burdensome alternatives

Allows Congress to review new federal regulations for at least sixty-days before they can take effect.