On June 29, 2026, the Supreme Court held in Trump v. Slaughter that the President may remove FTC commissioners without cause, limiting the independence historically afforded to multi-member federal agencies. The Court concluded that FTC commissioners exercise executive power through the agency’s rulemaking, enforcement, administrative adjudication, and litigation authority, and therefore must be removable by the President at will.
The Court did not treat all independent agencies the same. In Trump v. Slaughter, the Court noted that entities with distinct historical functions may raise different questions. In Trump v. Cook, decided the same day, the Court treated the Federal Reserve Board differently because of its unique role in monetary policy, leaving it as a limited exception to the broader rule applied to the FTC.
Putting It Into Practice: The implications extend beyond the FTC. The rulings may affect how agencies such as the CFPB, FTC, SEC, and other independent regulators set enforcement priorities, pursue rulemakings, and supervise regulated entities. Although the decisions do not change the substantive law itself, they may make regulatory priorities shift more quickly from one administration to the next. They also may invite additional challenges to removal protections at other agencies and prompt regulated entities to reassess pending enforcement matters based on whether agency leadership remains aligned with current administration priorities. Regulated entities should continue monitoring agency leadership changes, structural challenges, and shifts in enforcement and rulemaking activity.
For Further Reading on this case, please see our July edition of Fintech Declassified.