The Constitutionality of SEC Administrative Proceedings: The SEC Should Cure Its ALJ Appointment Scheme

Authors

Kaela Dahan, Benjamin N. Cardozo School of Law

Abstract

The note examines the constitutional challenges surrounding the Securities and Exchange Commission's (SEC) use of administrative law judges (ALJs), particularly under Section 929P of the Dodd-Frank Act. It argues that the SEC's ALJ appointment process violates the Appointments Clause, as current ALJs have not been properly appointed by SEC Commissioners. The note also highlights due process and Seventh Amendment concerns, as defendants in SEC administrative proceedings lack rights such as trial by jury and immediate appellate review. To maintain the integrity of its administrative processes, the SEC must adopt measures to ensure its ALJ appointments comply with constitutional requirements.

Disciplines

Administrative Law | Constitutional Law | Judges | Law | Securities Law

Recommended Citation

Kaela Dahan, The Constitutionality of SEC Administrative Proceedings: The SEC Should Cure Its ALJ Appointment Scheme, 38 Cardozo L. Rev. 1211 (2017).
Available at: https://larc.cardozo.yu.edu/clr/vol38/iss3/9