Ch_06_Administrative_Law

Which of the following is NOT true regarding the Dodd-Frank Wall Street Reform and Consumer Protection Act? a. Dodd-Frank brought about a multitier system of banks in which the larger banks are highly regulated but the smaller community banks are not. b. Dodd-Frank created the Financial Stability Oversight Council. c. Dodd-Frank significantly curtailed certain powers of the Federal Reserve Board. d. Dodd-Frank established the Consumer Financial Protection Bureau.

d. Dodd-Frank established the Consumer Financial Protection Bureau.

In the United States v Morgan case referenced in the text, the U.S. Supreme Court ruled it ______ for a court to allow questions regarding the ______ of the agency. a. impermissible; ripeness b. impermissible; subpoena powers c. permissible; mental processes d. impermissible; mental processes

d. impermissible; mental processes

When an administrative agency adopts a regulation, it becomes binding on the: a. agency. b. public. c. Congress. d. the agency and the public.

d. the agency and the public.

Failure to comply with regulations set in place by agencies may result in the imposition of fines as well as the revocation of licenses and permits.

True

Federal administrative rules that are not properly published in the Federal Register are void.

True

Within a formal administrative adjudication, the hearing is conducted like a trial.

True

The Fifth Amendment's protection against self-incrimination applies to all records including all those that the government requires to be kept.

False

A rule made by a federal agency is not final until approved by Congress.

False

The general rule is that agency action is ripe for judicial review when the impact of the action is sufficiently direct and immediate as to make review appropriate.

True

The legislature may probe agency officials to determine why they acted as they did.

True

Under the arbitrary and capricious standard, if the agency has a choice between several courses of action, a reviewing court will presume that the chosen course is a. invalid. b. valid. c. void. d. voidable.

b. valid.

Agencies are usually part of which branch of government? a. Judicial b. Legislative c. Executive d. They are equally split between the legislative and executive branches

c. Executive

The U.S. Supreme Court has repeatedly upheld the fundamental principle that government employees acting beyond their authority can still bind the government based upon apparent authority.

False

Courts will generally defer to an agency's construction of a statute within its area of expertise.

True

Generally, an administrative agency may only do what Congress or the state legislature has authorized it to do.

True

The Fifth Amendment's protection against self-incrimination does not apply to corporations.

True

The U.S. Constitution does not specifically provide for administrative agencies.

True

Which of the following presides over formal agency adjudications at the federal level? a. An administrative law judge b. A federal magistrate c. A federal district judge d. A judicial commissioner

a. An administrative law judge

A final agency rule is codified and added to the a. Code of Federal Regulations. b. Code of Uniform Regulations. c. Code of Legislative Regulations. d. Code of Federal Reporting.

a. Code of Federal Regulations.

Generally, federal administrative agencies are created by: a. Congress. b. the president. c. the Supreme Court. d. the U.S. Constitution.

a. Congress.

Delaney is in charge of a new federal agency set up to monitor farming operations. The agency wishes to institute a rule regarding the use of pesticides. Delaney tells associates to publish the proposed rule but to decline taking comments on the rule because Delaney does not want to deal with unhappy farmers. Assuming you are legal counsel to the agency, what would you tell Delaney regarding the plan to refuse comments on the proposed rule? a. Delaney's plan is a bad one because the Administrative Procedure Act requires that the public be given an opportunity to comment before a federal agency can promulgate a rule. b. Delaney's plan is a bad one because even though the Administrative Procedure Act does not generally require that the public be given an opportunity to comment, it does require that agencies take public comments when food safety is involved. c. Delaney's plan is a bad one because even though the Administrative Procedure Act does not generally require that the public be given an opportunity to comment, it does require that agencies take public comments in all cases other than rule involving taxation. d. Delaney's plan is a good one.

a. Delaney's plan is a bad one because the Administrative Procedure Act requires that the public be given an opportunity to comment before a federal agency can promulgate a rule.

What are the four primary ways in which an administrative agency functions? a. Making rules, conducting formal adjudications, taking informal discretionary actions, and conducting investigations b. Issuing notice, conducting formal adjudications, taking informal discretionary actions, and conducting investigations c. Issuing notice, making rules, taking informal discretionary actions, and conducting investigations d. Making rules, conducting informal adjudications, taking formal discretionary actions, and conducting investigations

a. Making rules, conducting formal adjudications, taking informal discretionary actions, and conducting investigations

Officials of the town of Sunnyville were concerned about the number of dogs running loose. They set up a new administrative agency called "Dog Control." The new agency issued a regulation that all dogs must be on leash in public. Tony, who had moved to Sunnyville in the previous month, did not own a dog and had no plans to get one. Tony, however, thought the regulation was outrageous and decided to sue on the basis that it was not validly enacted. Matisse, another resident, was also concerned about the law. Matisse rents a home with a fence in the backyard that was in public view and was concerned that the regulation would be applied to Matisse's dogs while in the fenced area. Matisse decided to bring a preemptive strike and sue the city for revocation of the regulation. Both Tony and Matisse rush to file suit before the city has a chance to take any action to enforce the new rule. Refer to Fact Pattern 6-2. Which of the following is the best defense the city has against the lawsuit brought by Tony? a. Tony lacks standing to sue. b. Courts have no authority to determine the validity of agency rules. c. Tony lacks permission of the agency to sue because authorization of the agency is required prior to a lawsuit challenging the validity of an agency regulation. d. Tony has not lived in the jurisdiction for at least a year, and residence in the jurisdiction for at least a year is required in order to challenge the validity of a local regulation.

a. Tony lacks standing to sue.

When hearing a case with regard to an agency decision, courts will generally require all of the following EXCEPT: a. an explanation of the decision maker's mental processes. b. the basis for the decision. c. that the decision maker has taken into account relevant considerations. d. an adequate explanation of why the agency acted.

a. an explanation of the decision maker's mental processes.

A court will require an agency to comply with its own procedural rules and thus conform to the a. due process clause. b. Seventh Amendment. c. both the due process clause and the Seventh Amendment. d. neither the due process clause nor the Seventh Amendment.

a. due process clause.

In CASE 6.2, National Association of Manufacturers v. Perez (2015), the U.S. Supreme Court considered: a. whether a posting rule was a valid exercise of the president's authority under the Procurement Act. b. whether small business owners must hire employees rather than subcontractors. c. whether antiunion activity is legal. d. whether all appropriate procedures of the Civil Rights Act have been followed by employers under federal labor law.

a. whether a posting rule was a valid exercise of the president's authority under the Procurement Act

To carry out legislative intent, legislatures may provide an administrative agency with the authority to carry out the task. What is the order of the steps in this process? a. (1) Evaluation of comments; (2) notice to the public; (3) adoption b. (1) Notice to the public; (2) evaluation of comments; (3) adoption c. (1) Voting; (2) evaluation of comments; (3) adoption d. (1) Adoption; (2) notice; (3) evaluation of results

b. (1) Notice to the public; (2) evaluation of comments; (3) adoption

Which of the following agencies was created following the terrorist attacks of September 11, 2001, to be responsible for civilian aspects of national security? a. Stateside Protection Commission b. Department of Homeland Security c. Department for Protection of Civilians d. Critical Civilian Defense and Protection Agency

b. Department of Homeland Security

Rules adopted by a federal agency are published in the a. Federal Reporter. b. Federal Register. c. Uniform Register. d. Legislative Reporter.

b. Federal Register.

The protection of the __________ Amendment against unreasonable searches and seizures has been largely obliterated by the courts in the area of administrative law. a. First b. Fourth c. Fifth d. Seventh

b. Fourth

The Administrative Procedure Act (APA) requires federal administrative agencies to give notice to the public of intent to promulgate a rule and to provide the public with an opportunity to submit written comments before adopting a final rule. Which of the following would be exempt from this rule? a. An amendment to a rule b. General statements of policy c. The initial issue of a rule d. There are no exemptions from the notice and comment requirements

b. General statements of policy

__________ by administrative agencies provide a practical decision-making process for repetitive, frequent actions that are inappropriate to litigate in courts. a. De novo decisions b. Informal discretionary actions c. Formal rule making d. Informal rule making

b. Informal discretionary actions

Which of the following is NOT exempt from a Freedom of Information Act request? a. Records related solely to the internal personnel rules and practice of an agency b. Results of government studies c. Trade secrets or confidential commercial and financial information d. Information compiled for law enforcement purposes

b. Results of government studies

Brett had a disagreement with a new federal agency set up to give additional funds for college to individuals with an aptitude for math. After a hearing, the agency determined that Brett had no aptitude for math and that Brett would not receive any funding. Brett, however, was not discouraged and told a friend, Lior, who just graduated from law school, that Brett would simply appeal the decision to federal court, have the judge do a fresh review, and provide additional information to the judge regarding Brett's math aptitude that the agency did not have. Brett feels confident about winning at the federal court level. Refer to Fact Pattern 6-1. What should Lior tell Brett regarding Brett's plan to provide additional evidence to the federal court judge? a. That Brett's plan is a good one and that the judge will consider the additional evidence. b. That judicial review will likely be confined to the record compiled before the agency. c. That Brett will only be allowed to present sworn affidavits for additional judicial review. d. That Brett will only be allowed to present additional test scores for additional judicial review.

b. That judicial review will likely be confined to the record compiled before the agency.

In CASE 6.1, Gutierrez-Brizuela v. Lynch (2016) before the U.S. Supreme Court, the administrative agency Board of Immigration Appeals had announced that any applicant who has entered the country illegally more than once is required to wait the ten-year period before applying for lawful residency. The question before the court was whether an administrative agency may retroactively apply a new rule that contradicts existing judicial precedent. How did the Court rule? a. The Court held that the Attorney General could grant adjusted status to people who would otherwise have to wait. b. The Court held that an agency's interpretation is not "legally effective" until a court, in deference to the agency, overrules itself. c. The Court held that an agency's interpretation of a statute it administers should prevail if the statute is ambiguous and the agency's interpretation is reasonable. d. The Court held that an agency's interpretation should prevail even when a court has adopted a contrary interpretation in the past.

b. The Court held that an agency's interpretation is not "legally effective" until a court, in deference to the agency, overrules itself.

Officials of the town of Sunnyville were concerned about the number of dogs running loose. They set up a new administrative agency called "Dog Control." The new agency issued a regulation that all dogs must be on leash in public. Tony, who had moved to Sunnyville in the previous month, did not own a dog and had no plans to get one. Tony, however, thought the regulation was outrageous and decided to sue on the basis that it was not validly enacted. Matisse, another resident, was also concerned about the law. Matisse rents a home with a fence in the backyard that was in public view and was concerned that the regulation would be applied to Matisse's dogs while in the fenced area. Matisse decided to bring a preemptive strike and sue the city for revocation of the regulation. Both Tony and Matisse rush to file suit before the city has a chance to take any action to enforce the new rule. Refer to Fact Pattern 6-2. Of the following arguments, which is the best for the city to raise in the lawsuit brought by Matisse? a. Courts have no authority to determine the validity of agency regulations. b. The issue is not ripe for determination. c. Matisse must be a property owner in the jurisdiction in order to challenge the agency regulation. d. Matisse is guilty of self-incrimination.

b. The issue is not ripe for determination.

A formal administrative adjudication includes the right to: a. a jury trial. b. an attorney. c. full protection against self-incrimination. d. full protection against unreasonable search and seizure.

b. an attorney.

Which of the following statements is true regarding review of agency procedures? a. Agency procedures are not required to conform to the requirements of the Due Process Clause. b. Federal courts set agency procedures. c. A court may require that an agency comply with its own procedural rules. d. Both that federal courts set agency procedures and that a court may require that an agency comply with its own procedural rules.

c. A court may require that an agency comply with its own procedural rules.

______ has been called the lifeblood of administrative agencies. a. Rule making b. Administrative adjudication c. Informal discretionary action d. Policy

c. Informal discretionary action

Brett had a disagreement with a new federal agency set up to give additional funds for college to individuals with an aptitude for math. After a hearing, the agency determined that Brett had no aptitude for math and that Brett would not receive any funding. Brett, however, was not discouraged and told a friend, Lior, who just graduated from law school, that Brett would simply appeal the decision to federal court, have the judge do a fresh review, and provide additional information to the judge regarding Brett's math aptitude that the agency did not have. Brett feels confident about winning at the federal court level. Refer to Fact Pattern 6-1. Assuming the decision by the administrative agency was a factual finding, what should Lior tell Brett regarding the standard of review the administrative agency will likely apply? a. The agency will likely apply a de novo, or new, review. b. The agency will likely apply an arbitrary and capricious standard in any review. c. The agency will likely apply a substantial evidence standard in any review. d. The agency will likely apply a preponderance of the evidence standard in any review.

c. The agency will likely apply a substantial evidence standard in any review.

The U.S. government has adopted __________ to facilitate seeking consensus of the most affected groups regarding the substance of new regulations, a process which arose from the Japanese style of negotiation. a. administrative review b. federal mediation c. regulatory negotiations d. rule arbitration

c. regulatory negotiations

The federal statute authorizing individuals to obtain copies of government records on any subject that is of interest is known as a. the Federal Register. b. the Code of Federal Regulations. c. the Freedom of Information Act. d. discovery.

c. the Freedom of Information Act.

Which of the following would a comment letter to an agency generally NOT contain? a. Identification of the person concerned b. An explanation of why the person making the comment is concerned c. A suggestion of a specific change to the rule along with factual information to support the position asserted d. An itemization of expected damages

d. An itemization of expected damages

Which of the following reasons best explains the creation of administrative agencies? a. Congress lacks the time to address all of the areas that it controls. b. Congress lacks the necessary expertise in all of the areas it controls. c. Congress does not have the power to regulate certain areas. d. Both that Congress lacks the time to address all of the areas that it controls and that Congress lacks the necessary expertise in all of the areas it controls.

d. Both that Congress lacks the time to address all of the areas that it controls and that Congress lacks the necessary expertise in all of the areas it controls.

Statutes and agency rules often provide that courts performing judicial review of agency action may NOT rule on which of the following issues? a. Issues raised with the agency and won b. Issues raised with the agency and lost c. Issues raised with the lower courts and lost d. Issues not raised with the agency

d. Issues not raised with the agency

Which of the following is one of the earliest administrative agencies in the United States? a. Federal Communications Commission b. National Endowment for the Humanities c. Federal Reserve System d. Patent Office

d. Patent Office

Actions of administrative agencies often affect businesses but rarely affect individuals.

False

Administrative agencies are a relatively new development in the history of the United States.

False

Administrative agencies are usually part of the legislative branch.

False

Agencies are required to hold a formal public hearing before enacting any regulation.

False

Agencies lack the authority to conduct formal adjudications.

False

As part of carrying out their responsibility for determining whether a regulated company or individual is complying with the applicable laws and regulations, administrative agencies must request that the Congressional committee responsible for that agency issue subpoenas to make mandatory requests for information.

False

Determining whether a regulated company or person is complying with laws and regulations cannot be a function of administrative agencies because of Congressional prohibitions.

False

Formal agency adjudications are typically presided over by an agency member or by an administrative law judge who rules on offers of proof and relevant evidence and decides the case at hand.

False

Administrative agencies have been referred to as the fourth branch of the U.S. government.

True

In the Ragsdale v. Wolverine World Wide case discussed in the text, the question was whether the Department of Labor could validly institute a regulation giving an employee the right to an additional 12 weeks of family or medical leave if the employer failed to notify the employee that the 12 weeks of leave provided by the Family and Medical Leave Act ran concurrently with the thirty weeks of paid disability leave provided by the employer. How did the U.S. Supreme Court rule? a. The U.S. Supreme Court invalidated the regulation because it granted entitlements not set forth in the Family and Medical Leave Act and that were inconsistent with the purpose of the statute. b. The U.S. Supreme court upheld the regulation as a valid exercise of the Department of Labor's power. c.The U.S. Supreme Court invalidated the regulation because it had not first been approved by a federal judge despite the entitlements set forth in the Family and Medical Leave Act. d. The U.S. Supreme Court invalidated the regulation because it had not first been approved by the executive branch.

a. The U.S. Supreme Court invalidated the regulation because it granted entitlements not set forth in the Family and Medical Leave Act and that were inconsistent with the purpose of the statute.