603 U.S. ___ (2024) (U.S. Supreme Court)
Loper Bright Enterprises v. Raimondo is a watershed decision in administrative law.
Does the APA permit courts to defer to an agency's reasonable interpretation of an ambiguous statute under Chevron, or must courts exercise independent judgment in interpreting statutes, giving at most Skidmore respect to agency views? And, applying the proper standard, did the MSA authorize NMFS to require the herring industry to fund third-party observers?
Under APA § 706, courts must decide all relevant questions of law and interpret statutory provisions independently. Ambiguity in a statute does not trigger binding judicial deference to an agency's interpretation. Agency interpretations may receive weight only to the extent they have the power to persuade (Skidmore v. Swift & Co.), and courts must respect actual delegations of discretionary policymaking authority that Congress confers. Chevron and its progeny, including any principle allowing agencies to displace prior judicial constructions of statutes (Brand X), are overruled. Prior judicial decisions resolving statutory questions remain precedents on the meaning of those statutes.
The Supreme Court overruled Chevron and held that the APA requires courts to exercise independent judgment in interpreting statutes; agency interpretations are entitled only to Skidmore's persuasive weight, not binding deference based on ambiguity. The judgments below were vacated and the cases remanded for further proceedings consistent with this standard, including consideration of the MSA issue without Chevron deference.
Loper Bright resets the baseline of judicial review in administrative cases. Going forward, courts will interpret statutes de novo and will not treat ambiguity as a license for agency control over legal meaning. Agencies retain room to make policy within the bounds of actual statutory delegations and to persuade courts with expertise, but they cannot command deference simply by identifying ambiguity. For law students, the case re-centers the APA's text, revives Skidmore as the primary framework for weighing agency interpretations, narrows Brand X, and reinforces separation-of-powers themes that will animate future litigation across regulatory domains. The decision also signals increased importance of legislative clarity, record development of agency reasoning, and careful doctrinal framing in judicial review.