Monday, July 01, 2024

Supreme Court 'Wreaks Havoc' With Ruling, Ketanji Brown Jackson Warns

Published Jul 01, 2024 

By Anna Commander
Deputy News Editor

The U.S. Supreme Court's ruling on debit card fees Monday sparked Justice Ketanji Brown Jackson to push back, saying in her dissent that the decision "wreaks havoc" on businesses, the government and society.

In the 6-3 ruling written by Justice Amy Coney Barrett, the High Court notes that a North Dakota truck stop and convenience store, Corner Post, was challenging a previous regulation about debit card transaction fees. The store resisted the regulation, arguing "that it allows higher interchange fees than the statute permits," according to the ruling. An interchange fee, the court said, is required from debit card transactions and goes to the bank "that issued the card."

According to the Associated Press (AP), regulations can be challenged for up to six years. The debit card fee regulation that mapped out the amount businesses need to give banks was set in 2011, AP says. However, Corner Post "opened for business in 2018," the Supreme Court said. The court ultimately ruled in Corner Post's favor, saying the six-year limitations window did not start until Corner Post opened.

Newsweek has reached out to the Supreme Court via email for additional comment on Monday night.

Supreme Court Justice Ketanji Brown Jackson is pictured speaking in Birmingham, Alabama, on September 15, 2023. Jackson on Monday said that a new ruling could "wreak havoc" on small businesses.

In her dissent, Jackson argued: "The flawed reasoning and far-reaching results of the Court's ruling in this case are staggering."

She continued: "The majority refuses to accept the straightforward, common-sense, and singularly plausible reading of the limitations statute that Congress wrote. In doing so, the Court wreaks havoc on Government agencies, businesses, and society at large. I respectfully dissent."

Jackson also noted, "Thus, even before I analyze the statute of limitations arguments, one can see that this case is the poster child for the type of manipulation that the majority now invites—new groups being brought in (or created) just to do an end run around the statute of limitations. To repeat: The claims in Corner Post's lawsuit were not new or in any way distinct (even in wording) from the pre-existing and untimely claims of the trade organizations that had been around for decades."

On X, formerly Twitter, numerous users reacted to the ruling on Monday. Democratic Representative Jerry Nadler of New York said: "The decision in Corner Post is another power move by a corrupt majority on the Court to undermine Congress and give big corporations and individuals a way to avoid complying with rules that protect our air, water, land, food, medicines, and rights. Congress must act to reassert its authority under the Constitution to pass laws that protect all Americans and stop those who wish to break these laws for the sake of profit."

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Nadler also linked to a news release about the ruling, also written by Democratic Representative Lou Correa.




In an opinion piece by The Wall Street Journal's Editorial Board, the court's decision was praised: "The little guy has scored another big victory at the Supreme Court against the administrative state."

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