Recent U.S. Supreme Court decisions have introduced new challenges for housing justice advocates. The rulings, including the pivotal Loper Bright Enterprises v. Raimondo, which overturned Chevron deference, collectively weaken the power of agencies like HUD and the CFPB.
To help housing justice organizers respond effectively, AHJ members analyzed these developments. Download our detailed explainer, What Housing Justice Organizers Need to Know about SCOTUS’ Recent Administrative Law Decisions, and read on for key highlights.
Loper Bright Enterprises v. Raimondo
The Court’s decision to overturn longstanding precedent from Chevron USA, Inc. v. Natural Resources Defense Council (Chevron), which previously allowed agencies to interpret ambiguous statutes, now gives courts more authority to overrule agency decisions.
Courts may use Loper Bright to justify restricting pro-tenant actions and efforts to decommodify housing. This shift could lead to more restrictive interpretations that hinder housing justice initiatives.
While the overall impact is likely negative, it may also provide opportunities to argue that agency interpretations are insufficiently protective of tenants, potentially prompting stronger statutory protections. Notably, Chevron itself emerged in a similar context, with courts challenging Reagan-era agency actions.
Corner Post, Inc. v. Board of Governors of the Federal Reserve System:
The Corner Post ruling affects the statute of limitations for challenging regulations, starting it from when a plaintiff is first injured. This shift could invite renewed legal attacks on long-standing housing regulations. For example, HUD’s Fair Housing Act regulations from the 1990s and rules on public housing demolition and disposition from the 2000s, previously immune to facial challenges, can now be contested. This development could significantly destabilize the regulatory framework that has protected tenants for decades.
Jarkesy v. Securities & Exchange Commission:
In Jarkesy, The Court’s decision limits the use of administrative law judges in certain cases, citing the Seventh Amendment’s right to a jury trial. While it’s unlikely to impact HUD’s fair housing enforcement, this ruling could strain the resources of agencies like the CFPB that rely on administrative law judges for enforcement, like the Financial Protection Bureau CFPB.
To navigate the Jarkesy ruling, future legislation might need to avoid terms that resemble traditional legal actions like fraud or include an option to have cases heard in federal court instead of before an administrative law judge.
Ohio v. Environmental Protection Agency:
In the Ohio case, the Supreme Court decided that states challenging an environmental regulation had a strong enough case that they were likely to win, allowing them to temporarily halt the rule's implementation. The challenge centered on claims that the agency failed to adequately address public comments during the rulemaking process. While agencies are expected to consider public comments, this decision is notable for the extent to which the Court micromanaged the agency's response.
Although this ruling isn't specific to housing justice, it could slow down rulemaking across the board, making it harder for agencies to implement tenant protections and regulate housing markets. This delay could hinder efforts to protect the public good and rein in corporate power, but it might also be leveraged to challenge deregulatory efforts that weaken existing protections.
These Supreme Court decisions mark a significant shift in how housing laws may be enforced and interpreted. By breaking down complex legal issues like these, Alliance for Housing Justice aims to equip organizers with the insights needed to respond effectively. Understanding these rulings is crucial for continuing the fight for safe, affordable housing for all.
Alliance for Housing Justice is a coalition of organizations including Center for Popular Democracy, Housing Justice for All NY, Housing Now! CA, Liberation in a Generation, PolicyLink, Lawyers Committee for Civil Rights Under Law, National Housing Law Project, PowerSwitch Action, Poverty & Race Research Action Council, Public Advocates & Right to the City Alliance