Sources of administrative law in the USA

Sources of Administrative Law in the USA

1. The U.S. Constitution

The Constitution provides the foundation for administrative law by defining the powers of the executive, legislative, and judicial branches, and limiting their reach. Agencies derive their authority from the Constitution, typically through legislative delegation.

Case: Marbury v. Madison (1803)

Facts: Marbury sought a writ of mandamus to compel delivery of his judicial commission.

Holding: Established the principle of judicial review, i.e., courts can declare laws or executive actions unconstitutional.

Significance: This case is the cornerstone of administrative law because it confirms the judiciary’s power to review agency actions and ensure they comply with the Constitution.

2. Legislation (Statutory Law)

Congress passes laws that create administrative agencies and define their scope, powers, and procedures.

Case: Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc. (1984)

Facts: The EPA interpreted a vague statutory provision regulating air pollution.

Holding: The Supreme Court created the Chevron deference doctrine, which says courts should defer to an agency’s reasonable interpretation of ambiguous statutes.

Significance: This case highlights the role of statutes as the foundation for agency power and clarifies judicial review limits, deferring to agency expertise.

3. Administrative Regulations and Rules

Agencies issue regulations under authority delegated by Congress. These have the force of law and regulate behavior within the agency’s domain.

Case: United States v. Mead Corp. (2001)

Facts: The Court examined whether tariff classification rulings by the Customs Service deserved Chevron deference.

Holding: The Court ruled that not all agency interpretations qualify for Chevron deference; only those made with Congress’s delegated authority through formal procedures do.

Significance: This refined the scope of how regulations and informal agency interpretations are treated by courts.

4. Executive Orders and Presidential Directives

The President, as head of the executive branch, can issue executive orders that impact agency operations and administrative law.

Case: Youngstown Sheet & Tube Co. v. Sawyer (1952)

Facts: President Truman seized steel mills during the Korean War without Congressional authorization.

Holding: The Supreme Court held the President’s action was unconstitutional.

Significance: This case defines the limits of executive power over administrative agencies and emphasizes separation of powers, restraining administrative overreach by the executive.

5. Judicial Decisions (Case Law)

Courts interpret constitutional provisions, statutes, and administrative regulations. Case law shapes administrative law by clarifying agency powers, procedural fairness, and rights of individuals affected by agency action.

Case: Goldberg v. Kelly (1970)

Facts: The case challenged the termination of welfare benefits without a hearing.

Holding: The Court ruled that due process requires a hearing before termination of welfare benefits.

Significance: This case sets important procedural due process standards in administrative proceedings affecting individuals.

Case: Motor Vehicle Manufacturers Association v. State Farm Mutual Automobile Insurance Co. (1983)

Facts: The National Highway Traffic Safety Administration rescinded a rule without adequate explanation.

Holding: The Court held that agency rulemaking must not be arbitrary or capricious.

Significance: This case established the “arbitrary and capricious” standard of judicial review, ensuring agencies provide rational explanations for their decisions.

6. Custom and Practice

Although less formal, long-standing customs and administrative practices influence agency behavior and judicial interpretation.

Summary of Key Points

SourceDescriptionKey Case(s)Role in Admin Law
ConstitutionBasis of government powers and judicial reviewMarbury v. MadisonLimits agency power; judicial review
Statutes (Legislation)Create agencies, delegate authorityChevron v. NRDCDelegates power; courts defer to agency interpretation
Agency RegulationsRules and regulations agencies createUnited States v. MeadDefines when courts defer to agency rules
Executive OrdersPresidential directives affecting agenciesYoungstown SteelLimits on executive power
Judicial DecisionsCourts interpret laws and review agency actionGoldberg v. Kelly, State FarmProtect due process; prevent arbitrary decisions
Custom and PracticeInformal but influential practicesN/AGuides agency functioning

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