SEC

Federal Appeals Court Rules that SEC’s “In-House” Court System is Unconstitutional

Federal Appeals Court Rules that SEC’s “In-House” Court System is Unconstitutional

The U.S. Court of Appeals for the Tenth Circuit ended 2016 with a bang last week when it ruled that the SEC’s long-standing practice of using “non-appointed” Administrative Law Judges (“ALJs”) to preside over agency enforcement hearings violates the Appointment Clause of the U.S. Constitution. The decision in Bandimere v SEC was accompanied by a…