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Supreme Court hears heated debate over Chevron deference in Relentless v. Department of Commerce

Supreme Court of the United States · January 17, 2024

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Summary

At oral argument in Relentless v. Department of Commerce, petitioner counsel argued Chevron deference unlawfully transfers courts’ interpretive power to agencies and conflicts with the APA; the Solicitor General defended Chevron as a longstanding rule that preserves uniformity and congressional design. Justices pressed both sides on where to draw the line between law and policy.

The Supreme Court on Monday heard arguments in Relentless v. Department of Commerce, a case that asks whether courts should continue to defer to federal agencies under the doctrine known as Chevron. Petitioner counsel Mister Martinez told the justices that Chevron "has distorted the judicial process and undermine[d] statutory interpretation" and urged the Court to overrule it.

Martinez framed his case on three grounds: constitutional limits under Article III, the Administrative Procedure Act's review standard, and the weakness of the implied-delegation justification. "Article III empowers judges to say what the law is," he told the bench, and "Chevron reallocates interpretive authority from courts to agencies," a reallocation he said threatens judicial independence and individual liberty. He pointed to the underlying dispute about a fisheries program under the MSA, saying the agency's interpretation would "force struggling fishermen to pay up to 20% of their annual profits" to federal monitors as an example of agency overreach.

The justices repeatedly pressed Martinez on how to draw lines between legitimate judicial interpretation and permissible agency policymaking. On whether a court should defer when statutory language uses broad terms such as "reasonable" or "appropriate," Martinez acknowledged agencies may have a role where Congress plainly grants discretion, but he insisted that courts must retain the final interpretive authority and may apply persuasive weight (Skidmore) rather than binding deference.

In a robust defense, the Solicitor General (at argument identified in the transcript as General Preeliger) urged the Court to preserve Chevron. She described the doctrine as "a bedrock principle of administrative law with deep roots in this Court's jurisprudence" and emphasized the reliance interests of Congress, agencies, regulated parties and the public. She warned that overruling Chevron could open thousands of prior agency rulings to renewed challenge and produce significant disruption.

Prelogar told the justices that Chevron is compatible with the APA because courts perform a thorough step‑1 interpretive inquiry and that Chevron applies only when Congress has not resolved the question, leaving a gap for the agency to fill. She also defended Brand X and other precedents that, in her view, promote national uniformity in administration.

A central theme in questioning was the difficulty of defining the "ambiguity" trigger that sends a case from judicial interpretation to agency deference. Several justices observed that judges and circuits routinely disagree about that threshold; others worried that eliminating Chevron would produce inconsistent outcomes across jurisdictions and give rise to greater litigation and regulatory uncertainty, especially in complex programs such as Medicare or in novel fields like artificial intelligence.

Martinez replied in rebuttal that Chevron forces courts to apply agency constructions even when judges believe a different interpretation is correct, and that the Court should rely on independent judicial judgment under Article III and the APA. The argument concluded with both sides acknowledging practical tradeoffs: Chevron proponents stressing uniformity and reliance; opponents stressing constitutional allocation of interpretive power and legal accountability.

The Court heard extended questioning on stare‑decisis consequences, Brand X–style flip‑flopping between administrations, and where an agency's expertise meaningfully affects the legal question. The justices did not announce a decision at argument; the case was submitted for decision at the close of argument.

The justices’ written opinion in Relentless will determine whether Chevron survives in whole, in part, or is limited further, a ruling that could reshape how courts review agency interpretations across many federal regulatory regimes.