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Supreme Court Decisions Benefit Small Businesses in 2023-2024 Term

July 22, 2024
in Business
Supreme Court Decisions Benefit Small Businesses in 2023-2024 Term
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Published: Jul 21, 2024
by Michael Guta
In Small Business News

supreme-court-decisions-benefit-small-businesses-in-2023-2024-term

The U.S. Supreme Court’s 2023-2024 term brought key victories for small businesses, impacting the Main Street economy. The National Federation of Independent Business (NFIB) filed amicus briefs in 12 cases, with five decisions favoring small businesses, including a significant ruling overturning Chevron.

“The Supreme Court considered several high-stakes issues this term, especially for the small business community,” said Beth Milito, Executive Director of NFIB’s Small Business Legal Center. “Eliminating Chevron deference is a major step in limiting government overreach and providing small business owners with a level playing field to defend their rights. These victories will prevent the damaging effects of extraneous regulatory interference and harmful penalties and will protect the rights of current and future entrepreneurs.”

One landmark case, Loper Bright Enterprises v. Gina Raimondo, overturned a precedent allowing federal agencies to enforce burdensome regulations for 40 years. The ruling requires courts to use independent judgment when assessing agency actions rather than deferring to the agencies themselves.

In Securities and Exchange Commission v. Jarkesy, the Court ruled that the SEC’s in-house enforcement proceedings are unconstitutional. This decision upholds the Seventh Amendment right to a jury trial, preventing unjust penalties on small businesses.

The case Sheetz v. County of El Dorado, California, addressed unconstitutional conditions related to building permits. The Court agreed with NFIB’s stance that the Fifth Amendment’s Takings Clause applies to both administrative and legislative exactions.

In Corner Post, Inc. v. Board of Governors of the Federal Reserve System, the Court clarified when the statute of limitations for challenging an agency rule begins. It ruled that newly formed entities are not injured by an agency’s final rule until they are operational.

The Starbucks Corporation v. M. Kathleen McKinney case dealt with the National Labor Relations Board’s requests for injunctions. The Court ruled that the NLRB must meet a demanding preliminary injunction test before intervening in small business operations.

The NFIB Small Business Legal Center continues to defend the rights of small business owners in courts across the country, including the U.S. Supreme Court.

Image: Depositphotos

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Michael Guta
Michael Guta is the Assistant Editor at Small Business Trends and has been with the team for 9 years. He currently manages its East African editorial team. Michael brings with him many years of content experience in the digital ecosystem covering a wide range of industries. He holds a B.S. in Information Communication Technology, with an emphasis in Technology Management.

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