Important Points Won Even as ACA Case Was Lost, Paul Clement Says

Paul Clement’s arguments did not carry the day when it came to the outcome a year ago of the historic United States Supreme Court decision on the constitutionality of the individual mandate in the federal Affordable Care Act, popularly known as Obamacare. But his arguments were supported by a majority of the justices on important points that will have an impact for years to come in Congress and in the judicial system, Clement said in delivering the Hallows Lecture 2013 in the Appellate Courtroom of Marquette University Law School’s Eckstein Hall this week.

Clement, formerly solicitor general of the United States, has argued 65 cases before the Supreme Court. He was the lead attorney in presenting arguments to the Court on behalf of 26 states that challenged the health care law. The Court heard a remarkable six hours of arguments focused on several major aspects of the challenge.

“The challenge for the challengers was to run the table to the tune of going 15 for 15” on legal points involved in the case, Clement said. “The good news is the challengers went 14 for 15. The bad news, from the perspective of my clients, is that 14 out 15 isn’t good enough. . . . Getting a really satisfying opinion from four justices still counts as a loss.”

The question at the heart of the case was whether there would continue to be a meaningful limit on the power of the federal government to impose laws such as the Affordable Care Act on the states, Clement said. He said, “I do think in some respects, the single most important takeaway from the decision was there were not five votes to say that there really is no meaningful judicial review of federalism constraints on Congress. There are constraints—again, the power is very substantial, very broad in the wake of the New Deal precedents of the Court, but it remains a limited power.”

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Second Circuit’s Ruling to Impact the Sovereign Debt Market?

Just how much power—or better yet, influence—does the American judicial system really have over sovereign nations? This is the underlying question that the Second Circuit must resolve before rendering its decision over how to handle a group of hedge funds’ dispute with the Republic of Argentina.

In 2001, amidst its worst economic turmoil in history, the Republic of Argentina defaulted on nearly $100 billion of its debt. While bondholders immediately felt an adverse effect, until recently, they were left with few options but to accept the government’s restructured—and heavily discounted—exchange bonds. This all changed, however, when Judge Thomas P. Griesa of the District Court for the Southern District of New York sided with the plaintiff hedge funds, and enjoined both the Republic of Argentina and third party banks from making payments on the exchange bonds unless the other bondholders were also paid.

As this decision comes under its review, the Second Circuit is presented with numerous considerations. Will its decision result in unrest in credit markets? If it affirms, will innocent exchange bondholders be negatively affected? Do third party U.S. banks stand to become the only victims? Rudimentary to all of these considerations, though, is what can the court threaten to do—or really do—to Argentina if it does not follow the court’s order?

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Time to Finally Pass the Equal Rights Amendment?

Equal-Rights-Amendment-imageIn 1776, as the founders were meeting to form the new government for the nation that would become the United States of America, Abigail Adams wrote to her husband John Adams and asked him “to remember the ladies” while drafting the governing documents.  She continued,

[B]e more generous and favorable to them than your ancestors [have been].  Do not put such unlimited power into the hands of husbands. . . . [I]f particular care and attention is not paid to the ladies we are determined to foment a rebellion, and will not hold ourselves bound by any laws in which we have no voice or representation.

Quoted in Susan Gluck Mezey, Elusive Equality:  Women’s Rights, Public Policy, and the Law 5 (2011) (internal citations omitted).

John Adams responded, “I cannot but laugh . . . .” Id. To Mr. Adams, this was the first he’d heard of women’s possible discontent with the status quo.  “[Y]our letter was the first intimation that another tribe, more numerous and powerful than all the rest were grown discontented.” Id. For whatever “power” that Mr. Adams suggested that women had, it clearly wasn’t enough, for the new Declaration of Independence and Constitution failed to give any express (or even implied) rights to women.

Mrs. Adams responded to her husband, “I cannot say that I think you are very generous to the ladies; for whilst you are proclaiming peace and good-will to men, emancipating all nations, you insist on retaining an absolute power over wives.” Id.

Continue ReadingTime to Finally Pass the Equal Rights Amendment?