WEBVTT - Unions Wait on Elections & $30 Million Pardon Scheme

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<v Speaker 1>This is Bloomberg Law with June Grossel from Bloomberg Radio.

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<v Speaker 2>During the elections, President Trump made his position on unions

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<v Speaker 2>cleared during a conversation with Elon Musk last August. I mean,

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<v Speaker 2>I look at what you do. You walk quit, they

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<v Speaker 2>go on strike. I won't mention the name of the company,

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<v Speaker 2>but they go on strike and use it.

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<v Speaker 3>That's okay. You're all gone.

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<v Speaker 2>You're all gone.

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<v Speaker 4>So every one of you is gone, and you are

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<v Speaker 4>the greatest. You would be very good.

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<v Speaker 2>And in the past six months, Trump has ended collective

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<v Speaker 2>bargaining for two thirds of the federal workforce, effectively paralyzed

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<v Speaker 2>the federal agency tasked with adjudicating unfair labor practices and

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<v Speaker 2>disputes over union elections, and rescinded the minimum wage that

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<v Speaker 2>federal contractors have to pay the workers, just to name

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<v Speaker 2>a few of Trump's anti union actions. So it may

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<v Speaker 2>not be so surprising that there has also been a

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<v Speaker 2>significant drop in union elections and petitions to the National

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<v Speaker 2>Labor Relations Board in the last six months. That stands

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<v Speaker 2>in contrast to the previous three years, where there were

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<v Speaker 2>a historic number of union elections, representation petitions, and unfair

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<v Speaker 2>labor practice charges filed each year. My guest is Anne Lafusso,

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<v Speaker 2>a professor at the University of Cincinnati Law School and

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<v Speaker 2>an expert in labor law. And the average number of

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<v Speaker 2>newly certified unions per month dropped twenty two point three

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<v Speaker 2>percent in the first six months of this second Trump

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<v Speaker 2>administration compared to the last six months of the Biden administration,

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<v Speaker 2>and there has been a fifteen point eight percent drop

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<v Speaker 2>in the number of representation petitions filed in that same

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<v Speaker 2>time period. How do you account for this significant drop?

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<v Speaker 4>I think you have to look at both sides of

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<v Speaker 4>the equation. First, you had historic increased under Biden, a

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<v Speaker 4>progressive general Counsels. The board was relatively progressive, but not

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<v Speaker 4>quite as progressive as Jennifer Brusso was. So Brusso was

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<v Speaker 4>aggressively progressive. She looked at the law and she interpreted

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<v Speaker 4>the law in a way that, in my view at least,

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<v Speaker 4>was reasonable. But on the progressive side, the law can

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<v Speaker 4>always be interpreted more progressively or more conservatively, more pro

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<v Speaker 4>union or more pro business. And it's not like the

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<v Speaker 4>law has a single meaning. And she was on the

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<v Speaker 4>very progressive side, and that emboldened and encouraged unions to

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<v Speaker 4>file election petitions and also defile unfair labored practice charges,

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<v Speaker 4>even where it might have been a more if the

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<v Speaker 4>theory of why they were being unfairly treated iffy because

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<v Speaker 4>in the past they may not have gotten that theory

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<v Speaker 4>validated for the board. So that's going to increase the numbers.

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<v Speaker 4>Then when Trump came in, they're remembering the first Trump Board,

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<v Speaker 4>and the first Trump board as progressive as Jennifer Brutto was,

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<v Speaker 4>it was reactionary. It was extremely to the right, much

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<v Speaker 4>more pro business and even in some instances I would

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<v Speaker 4>say not just pro business, but anti union more so

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<v Speaker 4>than any other board ever in the history of the

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<v Speaker 4>National Labor Relations Board. And they're remembering this and it

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<v Speaker 4>was very painful for them. So they're in this sort

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<v Speaker 4>of wait and see pattern, anticipating the worst. So I'm

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<v Speaker 4>at a conference right now and I'm listening to people

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<v Speaker 4>and they don't want to file petitions right now because

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<v Speaker 4>they are really afraid. Now the board doesn't have a quorum,

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<v Speaker 4>so they really don't know exactly what's going to happen.

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<v Speaker 4>I personally don't think that the Trump two board will

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<v Speaker 4>be as reactionary as the Trump one board. I could

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<v Speaker 4>be wrong.

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<v Speaker 2>What makes you say that when Trump has a pointed

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<v Speaker 2>a conservative as general counsel.

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<v Speaker 4>The reason I'm saying this, though, is because the general counsel, Cowan,

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<v Speaker 4>who is a conservative man, so he's going to interpret

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<v Speaker 4>the law in a more conservative fashion, is going to

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<v Speaker 4>be more pro business fashion. However, he's an institutionalist. He's

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<v Speaker 4>been the regional director for one of the regions out

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<v Speaker 4>in the West, I think in California for a long time.

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<v Speaker 4>He was a board member. He's loved by everyone. He

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<v Speaker 4>was at the board when I was there, Everyone loved him.

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<v Speaker 4>He was just kind, he was easy to work with.

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<v Speaker 4>He doesn't want to destroy the agency. Also, people Trump

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<v Speaker 4>put forward for the board, they're also institutionalists. He could

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<v Speaker 4>have picked people that had union busting careers and he

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<v Speaker 4>doesn't seem to be doing that. So it's possible that

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<v Speaker 4>the fear that's going on is an overreaction. But I

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<v Speaker 4>think at least they're waiting and seeing what this board

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<v Speaker 4>will do. So when you put those two things together, though,

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<v Speaker 4>the sort of record highs and then the remembering of

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<v Speaker 4>what the Trump board did in his first administration, and

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<v Speaker 4>you get this huge swing. I don't know if it's

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<v Speaker 4>gonna last. It's gonna be very interesting to see, and

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<v Speaker 4>I think it's gonna depend on what this board starts

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<v Speaker 4>doing and whether it was willing to dismantle precedents.

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<v Speaker 2>I mean, the board right now doesn't have a quorum

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<v Speaker 2>right correct, So what can they do.

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<v Speaker 4>The board itself, meaning the five board members, can't do anything.

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<v Speaker 4>The agency can do quite a bit, so the General

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<v Speaker 4>Council can issue complaints, the regions can investigate charges, the

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<v Speaker 4>region can hold elections. They just can't be board certified.

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<v Speaker 4>So there's plenty of things that can happen. So I

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<v Speaker 4>don't think these numbers are necessarily because the board doesn't acorum.

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<v Speaker 4>Maybe some of them are design Well, if they can't

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<v Speaker 4>be certified right now, then maybe we should wait. That

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<v Speaker 4>could explain some of them. But there's a lot that

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<v Speaker 4>can do, certainly on the unfair labor practice side right

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<v Speaker 4>because it takes a while for you to have an

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<v Speaker 4>ALGA hearing, there's gonna be a board within the year,

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<v Speaker 4>and you might want to get at least the hearing done.

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<v Speaker 4>I mean, I heard yesterday one of the U organizers

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<v Speaker 4>was telling me that he is something that's been six

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<v Speaker 4>years before the board, So there are some big backlogs.

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<v Speaker 4>That's an unusual case, but I've heard about longer than

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<v Speaker 4>that also. And by the way, this is not just

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<v Speaker 4>from the Biden and Trump era. When I was there

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<v Speaker 4>under Bush and Clinton, they were like long delays also,

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<v Speaker 4>And we don't know whether I think every board does

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<v Speaker 4>this to some extent. If it's a really difficult issues,

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<v Speaker 4>sometimes they just think about it and then they run

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<v Speaker 4>out of time because they no longer have a quorum

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<v Speaker 4>or something. And that's become more and more usual since

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<v Speaker 4>the early two thousands, when Congress has decided not always

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<v Speaker 4>to fill those spots. So with a more dysfunctional Congress,

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<v Speaker 4>you have these times where the government's not functioning. The

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<v Speaker 4>administrative agencies are not functioning because they don't have officials

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<v Speaker 4>who have been appointed by the president and confirmed by Congress,

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<v Speaker 4>so you get these backlogs.

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<v Speaker 2>Also, is this is this reluctance coming from the union

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<v Speaker 2>leaders or the workers who might fear the political climate,

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<v Speaker 2>especially in light of the economy and the labor market.

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<v Speaker 2>I mean, where's it coming from?

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<v Speaker 4>Oh? Both, definitely. So from the worker's point of view,

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<v Speaker 4>they're scared. There are people that are afraid to even

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<v Speaker 4>speak out against the president for fear of retaliation because

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<v Speaker 4>we saw that the president decided to fire a large

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<v Speaker 4>percentage of the federal workforce, which he has direct control over.

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<v Speaker 4>So people are afraid to speak out. Now. Whether that's

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<v Speaker 4>justified or not, the historians will tell us that, but

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<v Speaker 4>people certainly are afraid, and so they don't want to

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<v Speaker 4>stick their necks out right now. But union leaders who

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<v Speaker 4>are thinking about these things and hearing from their constituents

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<v Speaker 4>are also concerned, and they're more in the wait and

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<v Speaker 4>see pattern, like, well, let's see what's going on. But

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<v Speaker 4>the workers themselves, i think, are afraid. And they're also

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<v Speaker 4>afraid because the economy is than is good. So when

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<v Speaker 4>you had a much better economy, which despite what everyone

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<v Speaker 4>was saying, we had a pretty good economy under Biden,

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<v Speaker 4>but the economy has been going down and down, and

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<v Speaker 4>the market, the labor market is much tougher right now.

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<v Speaker 4>There's no flacks in the labor market, so it's hard

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<v Speaker 4>if you get fired from a job right now. Let's

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<v Speaker 4>say you're unjustly fired because you're a union activist, you

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<v Speaker 4>may not get another job. It's very tough. So this

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<v Speaker 4>makes people afraid to organize, and it makes the labor

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<v Speaker 4>organizer's job and the labor union leader's job that much

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<v Speaker 4>more difficult.

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<v Speaker 2>You say, wait and see, but don't the unions already

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<v Speaker 2>know where Trump stands, especially with the executive order that

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<v Speaker 2>he issued ending collective bargaining for two thirds of the

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<v Speaker 2>federal workforce. Even before Trump took office, student athletes dropped

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<v Speaker 2>organizing efforts at Dartmouth College and the Universe Stay of

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<v Speaker 2>Southern California.

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<v Speaker 4>Well, that was smart of them, because the General Council

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<v Speaker 4>has withdrawn of Brusso's memo, her General Council Memo stating

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<v Speaker 4>that student athletes are actually employees and should have the

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<v Speaker 4>protections of the board. So we do know almost certainly

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<v Speaker 4>what this board would do with that. So in that issue,

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<v Speaker 4>it's pretty clear. But there are sometimes some very easy issues.

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<v Speaker 4>For example, remember the early two thousands when Bush was

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<v Speaker 4>the president. Chamber and Wilma Leibman, two people that couldn't

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<v Speaker 4>be further apart. A progressive Leaveman and a conservative Chamber

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<v Speaker 4>and very conservative Chamber. They've agreed on six hundred cases together.

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<v Speaker 4>Now they were all found voids by the Supreme Court

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<v Speaker 4>because there was only two and they weren't a quorum,

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<v Speaker 4>but not because of what they decided. Those were all

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<v Speaker 4>easy cases. There's plenty of easy cases to go forward.

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<v Speaker 4>What they're waiting and seeing on and I think what

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<v Speaker 4>they are going to not do is we're not I'm

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<v Speaker 4>not going to see them pushing the envelope on anything

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<v Speaker 4>like I would be surprised if beingan say Okay, we're

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<v Speaker 4>going to ask for expanded remedies right now. I wouldn't

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<v Speaker 4>ask for them because I wouldn't want that precedent to

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<v Speaker 4>go before a court. First of all, I wouldn't want

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<v Speaker 4>to go before the board, and then I wouldn't want

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<v Speaker 4>to go before the court because of what could happen.

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<v Speaker 4>So they're not going to push the student athlete issue

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<v Speaker 4>right now. So if I were student athletes right now,

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<v Speaker 4>I might go for a voluntary recognition, but I wouldn't

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<v Speaker 4>go for anything else. So I understand those issues, but

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<v Speaker 4>we don't really know. Yes, I agree with you that

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<v Speaker 4>the executive order and many of these executive roles, but

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<v Speaker 4>I'm thinking one in particular, the president is trying to

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<v Speaker 4>control the administrative agencies a lot more, and the presidents

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<v Speaker 4>taking the position that he can fire board members, and

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<v Speaker 4>only the Supreme Court can tell us if that's true.

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<v Speaker 4>My guess is, even though right now the precedent at

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<v Speaker 4>the Supreme Court is that he can't fire commissioners or

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<v Speaker 4>board members, that they are likely to reverse that oly

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<v Speaker 4>a split a divided vote, and I'm talking about Humphrey's executor.

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<v Speaker 4>So if he can fire anyone at will, if he

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<v Speaker 4>doesn't like a decision that comes out of the board,

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<v Speaker 4>then he'll just fire the person. So I'm sure that

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<v Speaker 4>these board members are going to be somewhat more beholden

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<v Speaker 4>to the president than they normally were in an independent

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<v Speaker 4>agency where they really were independent of the president. I

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<v Speaker 4>think that will happen. And let's face it, he already

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<v Speaker 4>fired Wilcox, Member Wilcox, and I do want to remind

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<v Speaker 4>the audience that she was the first black female board member,

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<v Speaker 4>and so the look is very, very bad that he

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<v Speaker 4>decides to fire the first board member but not the Democrat,

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<v Speaker 4>white male, And again that could be a coincidence, I

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<v Speaker 4>don't know, but it is a very bad look and

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<v Speaker 4>so it does send a message definitely. But again, the

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<v Speaker 4>president is not going to fire a board member because

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<v Speaker 4>of an obvious, simple case of enforcing the law. I

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<v Speaker 4>think what he would do if it's something that gets

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<v Speaker 4>the chamber upset, that gets Starbucks or Amazon upset, And

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<v Speaker 4>that doesn't mean Starbucks losing a case or an election.

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<v Speaker 4>I mean where Starbucks And this is ridiculous because these

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<v Speaker 4>are expanded remedies or something like that. So yes, I

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<v Speaker 4>think it's just a more nuanced than People always have

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<v Speaker 4>sound bites and they always sort of feel when they're

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<v Speaker 4>in the moment one way or the other. And I

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<v Speaker 4>at least am taking also a wait and see and

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<v Speaker 4>I'm optimistic that it will not be as bad for

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<v Speaker 4>unions as it was other than trump one administration. Let

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<v Speaker 4>me put this way, I wouldn't bet on what I'm saying.

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<v Speaker 4>I just think it's more likely than not, like forty

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<v Speaker 4>nine to fifty one percent. That's where I'm at.

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<v Speaker 2>Coming up next on the Bloomberg Law Show, I'll continue

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<v Speaker 2>this conversation with Professor and lafosso how unions are already

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<v Speaker 2>playing defense. I'm June Grosso and you're listening to Bloomberg.

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<v Speaker 2>A significant draw in union elections and petitions to the

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<v Speaker 2>National Labor Relations Board in the first six months of

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<v Speaker 2>President Donald Trump's second term show that organized labor is

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<v Speaker 2>wary of risking disputes that could lead to unfavorable rulings

0:13:15.480 --> 0:13:20.920
<v Speaker 2>with broader implications. This year's organizing slump is a stark

0:13:20.960 --> 0:13:24.960
<v Speaker 2>contrast to the previous three years, where the NLRB saw

0:13:25.120 --> 0:13:30.400
<v Speaker 2>historic numbers of representation petitions, union elections, and unfair labor

0:13:30.480 --> 0:13:34.440
<v Speaker 2>practice charges filed each year. I've been talking to Professor

0:13:34.440 --> 0:13:39.000
<v Speaker 2>An Lafasso of the University of Cincinnati Law School. Would

0:13:39.080 --> 0:13:44.160
<v Speaker 2>you say that labor unions are playing a defensive role already?

0:13:44.600 --> 0:13:47.280
<v Speaker 2>They're sort of on the front lines of some of

0:13:47.320 --> 0:13:52.640
<v Speaker 2>the legal fights against Trump's reduction inforced plans and moves

0:13:52.679 --> 0:13:57.160
<v Speaker 2>to exclude two thirds of the workforce from collective bargaining rights,

0:13:57.200 --> 0:14:02.240
<v Speaker 2>and initiatives that shutter agents and affect universities.

0:14:03.480 --> 0:14:08.839
<v Speaker 4>Absolutely, unions are definitely on the defensive and they're concerned.

0:14:09.440 --> 0:14:12.920
<v Speaker 4>There's a lot of things means can do, but remember,

0:14:13.400 --> 0:14:16.840
<v Speaker 4>whatever they do for their members, they also can't live

0:14:16.920 --> 0:14:21.480
<v Speaker 4>without members. They need fees because organizing takes money and

0:14:21.840 --> 0:14:26.040
<v Speaker 4>getting benefits for their members takes money. So they are

0:14:26.320 --> 0:14:29.840
<v Speaker 4>on the defensive and they want to survive, and this

0:14:30.000 --> 0:14:30.960
<v Speaker 4>is in their mind.

0:14:31.360 --> 0:14:31.640
<v Speaker 2>Again.

0:14:31.680 --> 0:14:33.440
<v Speaker 4>I can't get into the mind of every union, but

0:14:33.520 --> 0:14:35.520
<v Speaker 4>I wouldn't be surprised if for them this is an

0:14:35.520 --> 0:14:39.400
<v Speaker 4>existential threat. That's how higher education feels right now. I mean,

0:14:39.480 --> 0:14:42.800
<v Speaker 4>I'm a member of a union at my university, and

0:14:42.960 --> 0:14:46.080
<v Speaker 4>we certainly feel that this is an existential threat. People

0:14:46.160 --> 0:14:50.960
<v Speaker 4>are palpably afraid. And by the way, we're a public institution.

0:14:51.520 --> 0:14:53.840
<v Speaker 4>So what's going on in public institutions is at the

0:14:53.880 --> 0:14:56.240
<v Speaker 4>state level, more at the state level, but it's the

0:14:56.280 --> 0:14:58.960
<v Speaker 4>same kind of thing that's going on at least in

0:14:59.000 --> 0:15:02.840
<v Speaker 4>the red state. And I'm in Ohio, which is even

0:15:02.840 --> 0:15:06.720
<v Speaker 4>though Cincinnati is a blue area, the University of Cincinnati

0:15:06.760 --> 0:15:09.600
<v Speaker 4>is a state institution, so we have a state legislature.

0:15:10.160 --> 0:15:12.880
<v Speaker 4>So we are part of the same thing that's going

0:15:12.880 --> 0:15:16.160
<v Speaker 4>on in West Virginia and other red states that are

0:15:16.520 --> 0:15:20.640
<v Speaker 4>part of this idea that unions are not good for

0:15:20.680 --> 0:15:26.160
<v Speaker 4>the economy and that higher education is left wing propaganda.

0:15:26.280 --> 0:15:29.120
<v Speaker 4>And I think a lot of us are afraid to

0:15:29.320 --> 0:15:31.280
<v Speaker 4>speak out. We're afraid. What are we going to do?

0:15:31.320 --> 0:15:33.640
<v Speaker 4>We want to keep our jobs even ten years on

0:15:33.680 --> 0:15:37.160
<v Speaker 4>the line. So it's going on all over the country.

0:15:38.520 --> 0:15:41.560
<v Speaker 2>Is there a sort of culture shock because you went

0:15:41.600 --> 0:15:45.119
<v Speaker 2>from a president who was walking picket lines with striking

0:15:45.240 --> 0:15:52.440
<v Speaker 2>workers to Trumpoo's signing executive orders to limit union rights.

0:15:53.440 --> 0:15:56.320
<v Speaker 4>Probably for a lot of people, it didn't surprise me

0:15:56.520 --> 0:15:59.640
<v Speaker 4>because the whiplash has been going on for so long

0:16:00.120 --> 0:16:03.480
<v Speaker 4>studied it, so it was exactly what I expected. But

0:16:03.720 --> 0:16:09.160
<v Speaker 4>I do think that for many people, especially younger people, right,

0:16:09.200 --> 0:16:12.440
<v Speaker 4>because they don't have that historical I think when you're young,

0:16:13.080 --> 0:16:16.080
<v Speaker 4>you forget there was an existence before you were born, Right,

0:16:16.200 --> 0:16:18.000
<v Speaker 4>You just are born and then this is what you

0:16:18.040 --> 0:16:19.880
<v Speaker 4>grew up. Right. I mean, I have a twenty one

0:16:19.960 --> 0:16:22.760
<v Speaker 4>year old daughter, and so what has she gone through?

0:16:22.840 --> 0:16:23.680
<v Speaker 4>What is she seeing?

0:16:23.840 --> 0:16:24.080
<v Speaker 1>Right?

0:16:24.120 --> 0:16:27.520
<v Speaker 4>And her memories are of Biden mostly a little bit

0:16:27.520 --> 0:16:30.800
<v Speaker 4>of Trump right, And so there is a whiplash for

0:16:30.920 --> 0:16:32.800
<v Speaker 4>a lot of people, and also people who don't pay

0:16:32.800 --> 0:16:35.840
<v Speaker 4>attention as much, but now they're in a union. I'm

0:16:35.840 --> 0:16:38.960
<v Speaker 4>sure there's also a cultural whiplash. For those of us

0:16:39.040 --> 0:16:42.800
<v Speaker 4>who study labor law, we knew this was going to happen.

0:16:43.000 --> 0:16:45.200
<v Speaker 4>None of us were surprised at all of any of this.

0:16:46.040 --> 0:16:49.440
<v Speaker 2>By laying back, now, is there a risk to the

0:16:49.480 --> 0:16:52.640
<v Speaker 2>momentum that the unions seem to have picked up in

0:16:52.680 --> 0:16:53.720
<v Speaker 2>the last few years.

0:16:54.920 --> 0:16:58.520
<v Speaker 4>There's a concern about that. So the concern is, Okay,

0:16:58.840 --> 0:17:01.320
<v Speaker 4>if we stop organized, I think we lose our momentum.

0:17:01.320 --> 0:17:04.160
<v Speaker 4>But if we organize, we might get bad results. This

0:17:04.200 --> 0:17:06.960
<v Speaker 4>is why you're in this paralysis this way, and see,

0:17:07.359 --> 0:17:10.679
<v Speaker 4>because there's this one push to kind of keep the

0:17:10.720 --> 0:17:13.439
<v Speaker 4>momentum up. People want unions more than ever in like

0:17:13.600 --> 0:17:15.880
<v Speaker 4>at least the last seventy five years. Well it could

0:17:15.880 --> 0:17:19.359
<v Speaker 4>be longer even, you know. So they're more popular today

0:17:19.400 --> 0:17:22.760
<v Speaker 4>than they've been certainly in my lifetime. But at the

0:17:22.760 --> 0:17:27.000
<v Speaker 4>same time, you have an administration that's more hostile to

0:17:27.200 --> 0:17:32.800
<v Speaker 4>unions definitely since before FDR, so before the New Deal,

0:17:33.200 --> 0:17:35.320
<v Speaker 4>you know, when you have the horrors of what was

0:17:35.359 --> 0:17:38.960
<v Speaker 4>going on in the Industrial Revolution and the hostility to

0:17:39.119 --> 0:17:43.280
<v Speaker 4>unions back then. So there is a paralysis right now,

0:17:43.440 --> 0:17:46.400
<v Speaker 4>and you know which way do we go. You're at

0:17:46.640 --> 0:17:50.399
<v Speaker 4>a path that's splitting right now. Now. Do you go

0:17:50.520 --> 0:17:54.600
<v Speaker 4>in this relatively aggressive way and continue the momentum or

0:17:54.640 --> 0:17:58.639
<v Speaker 4>do you stop or do you do something less aggressive

0:17:58.640 --> 0:18:00.520
<v Speaker 4>but you can keep up the momentum. What is the

0:18:00.600 --> 0:18:03.040
<v Speaker 4>right choice? And I think people don't know what the

0:18:03.080 --> 0:18:06.080
<v Speaker 4>right choice is right now, and that's that's the problem.

0:18:06.640 --> 0:18:11.280
<v Speaker 2>What role will the Supreme Court play. You talked about Wilcox.

0:18:11.560 --> 0:18:14.119
<v Speaker 2>In that case, we'll probably go up to the Supreme Court.

0:18:14.240 --> 0:18:17.359
<v Speaker 2>But what about other decisions. Is there anything likely to

0:18:17.359 --> 0:18:21.160
<v Speaker 2>come before the Supreme Court, which has ruled against unions

0:18:21.200 --> 0:18:22.960
<v Speaker 2>time and time again recently.

0:18:23.560 --> 0:18:27.399
<v Speaker 4>Yeah, I think the strategy will be for unions to

0:18:27.480 --> 0:18:30.399
<v Speaker 4>keep those cases out of the Supreme Court. If they lose,

0:18:30.440 --> 0:18:34.400
<v Speaker 4>they won't petition for sorcerai. If they win, fits out

0:18:34.400 --> 0:18:38.800
<v Speaker 4>of their hands the employer will petition. But the problem

0:18:38.960 --> 0:18:42.560
<v Speaker 4>is that the board going to be more pro employer

0:18:43.000 --> 0:18:46.320
<v Speaker 4>is going to flip positions, and so they might be

0:18:46.440 --> 0:18:48.320
<v Speaker 4>able to keep a lot of things out of the

0:18:48.359 --> 0:18:50.840
<v Speaker 4>Supreme Court. They won't be able to keep the administrative stuff,

0:18:50.840 --> 0:18:53.040
<v Speaker 4>the constitutional stuff out because the Supreme Courts can be

0:18:53.119 --> 0:18:56.000
<v Speaker 4>really interested in things like the Wilcox decision, but the

0:18:56.040 --> 0:18:59.720
<v Speaker 4>actual labor law decisions. What I think is more likely

0:18:59.840 --> 0:19:03.159
<v Speaker 4>is that they can get a decision up there about

0:19:03.200 --> 0:19:07.480
<v Speaker 4>whether or not the board was entitled defference. And so

0:19:08.359 --> 0:19:10.320
<v Speaker 4>a lot of people think that's a dead end because

0:19:10.440 --> 0:19:14.040
<v Speaker 4>of Low or Bright overrules Chevron, But there's still difference,

0:19:14.640 --> 0:19:16.600
<v Speaker 4>and there's certain types of difference, and right now the

0:19:16.640 --> 0:19:20.639
<v Speaker 4>courts are split on how to what that difference looks like.

0:19:21.200 --> 0:19:24.439
<v Speaker 4>Is it completely denovo so there's absolutely no difference. We

0:19:24.520 --> 0:19:27.560
<v Speaker 4>know there's not complete difference like there was Undershovar, which

0:19:27.600 --> 0:19:32.080
<v Speaker 4>was not complete, but it was very, very deferential. But

0:19:32.800 --> 0:19:36.400
<v Speaker 4>there's also something called skidmore difference, where you take into

0:19:36.400 --> 0:19:39.399
<v Speaker 4>consideration the history and the purpose of the act and

0:19:39.440 --> 0:19:42.600
<v Speaker 4>what the board has done in the past. So it's

0:19:42.600 --> 0:19:47.480
<v Speaker 4>interesting that some courts aren't doing that at all, like

0:19:47.560 --> 0:19:49.879
<v Speaker 4>the Fifth Circuit and to some extent of sixth Circuit,

0:19:50.200 --> 0:19:52.600
<v Speaker 4>and other courts are really struggling with that, like the

0:19:52.600 --> 0:19:55.359
<v Speaker 4>Third Circuit that's really thinking about that in a very

0:19:55.440 --> 0:19:59.280
<v Speaker 4>nuanced way. I applauded the Third Circuit for is doing so.

0:19:59.640 --> 0:20:02.320
<v Speaker 4>I think that is more likely to come up and

0:20:02.480 --> 0:20:05.439
<v Speaker 4>what the labor issue is would be more accidental and

0:20:05.480 --> 0:20:06.520
<v Speaker 4>maybe even surprising.

0:20:06.840 --> 0:20:08.240
<v Speaker 2>You talked about whiplash.

0:20:08.600 --> 0:20:09.800
<v Speaker 1>This is a big, big picture.

0:20:10.280 --> 0:20:14.760
<v Speaker 2>Are unions forever dependent on you know, which administration is

0:20:14.800 --> 0:20:15.359
<v Speaker 2>in power.

0:20:16.240 --> 0:20:20.280
<v Speaker 4>Maybe? On the other hand, maybe not. Because one of

0:20:20.280 --> 0:20:24.080
<v Speaker 4>the things that Supremecourt wants to accomplished by overturning Chevron

0:20:24.320 --> 0:20:27.200
<v Speaker 4>through its life or Bright decision was to stop this

0:20:27.320 --> 0:20:31.280
<v Speaker 4>whiplash and saying we are the final arbiters of what

0:20:31.600 --> 0:20:35.960
<v Speaker 4>the law is. And therefore I think in the long

0:20:36.040 --> 0:20:38.000
<v Speaker 4>run there's going to be more labor issues going up

0:20:38.040 --> 0:20:41.800
<v Speaker 4>to the Supreme Court again, because the court is going

0:20:41.880 --> 0:20:45.560
<v Speaker 4>to decide when there's a big whiplash like this, they're

0:20:45.560 --> 0:20:47.240
<v Speaker 4>going to say, we can't have this, we can't just

0:20:47.320 --> 0:20:49.480
<v Speaker 4>keep in going back and forth. So you can see

0:20:49.760 --> 0:20:53.040
<v Speaker 4>a lot of the old decisions that were done before Chevron.

0:20:53.680 --> 0:20:56.160
<v Speaker 4>No one's going to touch those. I would be really surprised,

0:20:56.160 --> 0:21:00.520
<v Speaker 4>like Republic Aviation and will leach Mir Republica Vias very

0:21:00.520 --> 0:21:03.320
<v Speaker 4>pro union. Leachmere is not pro unions for pro business,

0:21:03.600 --> 0:21:07.480
<v Speaker 4>but there are similar issues those cases. They were done

0:21:07.520 --> 0:21:11.040
<v Speaker 4>before Chevron, and there was there was a lot more stability,

0:21:11.400 --> 0:21:14.440
<v Speaker 4>but as you gave the board difference and as long

0:21:14.480 --> 0:21:17.960
<v Speaker 4>as they just explained their change, the courts were sort

0:21:17.960 --> 0:21:21.240
<v Speaker 4>of hamstrung unless there were individual judges that just were

0:21:21.240 --> 0:21:23.479
<v Speaker 4>not going to give them difference, which there were. There

0:21:23.480 --> 0:21:26.720
<v Speaker 4>were individual judges not paying much attention to Chevrons for

0:21:26.800 --> 0:21:31.240
<v Speaker 4>various reasons. So I think that the Supreme Court may

0:21:31.480 --> 0:21:34.119
<v Speaker 4>just decide these things now with a very conservative court,

0:21:34.400 --> 0:21:36.679
<v Speaker 4>they may decide them in a way that unions don't like,

0:21:37.359 --> 0:21:40.440
<v Speaker 4>So that would be the downside until the court becomes

0:21:40.640 --> 0:21:43.640
<v Speaker 4>once again more progressive, which will happen. I mean, there's

0:21:43.640 --> 0:21:45.280
<v Speaker 4>always going to be changed, but of course the supprove

0:21:45.320 --> 0:21:48.840
<v Speaker 4>Court changes much more slowly, so there won't be a whiplash.

0:21:49.160 --> 0:21:53.639
<v Speaker 4>With agencies, they're much more accountable to whatever the democratic

0:21:53.680 --> 0:21:57.160
<v Speaker 4>process was, So whoever's in power, it can change every

0:21:57.160 --> 0:21:59.720
<v Speaker 4>four years. It rarely goes more than eight years without

0:21:59.720 --> 0:22:01.480
<v Speaker 4>a case occasionally. I mean, the one I can think

0:22:01.520 --> 0:22:04.760
<v Speaker 4>of was Reagan. Reagan to Bush. There was twelve years

0:22:04.800 --> 0:22:09.560
<v Speaker 4>of Republican rule, and then you had eight years of Clinton,

0:22:10.280 --> 0:22:13.440
<v Speaker 4>eight years of Bush, and then eight years and then

0:22:13.680 --> 0:22:16.439
<v Speaker 4>four to four and it will be four again, and

0:22:16.480 --> 0:22:18.399
<v Speaker 4>then we'll see if it goes to a Republican or

0:22:18.440 --> 0:22:21.560
<v Speaker 4>a Democrat. And then it's the president who decides the

0:22:21.600 --> 0:22:25.720
<v Speaker 4>Supreme Court. But you have to have the openings the president,

0:22:26.000 --> 0:22:29.480
<v Speaker 4>especially if they can fire board members, they can literally

0:22:29.600 --> 0:22:34.600
<v Speaker 4>change extremely quickly, extremely quickly, and that's your whiplash. So

0:22:35.480 --> 0:22:40.240
<v Speaker 4>I think the hope is among business people, especially because

0:22:40.280 --> 0:22:43.800
<v Speaker 4>businesses can survive, but they don't like environments where the

0:22:43.880 --> 0:22:47.119
<v Speaker 4>laws are not predictable. I think that we might see

0:22:47.160 --> 0:22:50.159
<v Speaker 4>some a little bit more stability. Maybe not in the

0:22:50.200 --> 0:22:52.720
<v Speaker 4>short run, but in the long run we might see

0:22:52.760 --> 0:22:55.720
<v Speaker 4>more stability. Again, I'm taking a look and see. I'm

0:22:55.720 --> 0:23:00.840
<v Speaker 4>waiting because while that would be my logical, rational take

0:23:00.960 --> 0:23:03.760
<v Speaker 4>on this, humans are not always rational, so who knows

0:23:03.800 --> 0:23:06.160
<v Speaker 4>what's going to happen, So we'll see. I just want

0:23:06.200 --> 0:23:09.080
<v Speaker 4>to say that I'm at this wonderful conference right now

0:23:09.119 --> 0:23:12.119
<v Speaker 4>for musicians and just wanted to remind people that musicians

0:23:12.160 --> 0:23:16.000
<v Speaker 4>are workers, and they work under very difficult conditions. Hence

0:23:16.200 --> 0:23:21.480
<v Speaker 4>they are totally trying to organize, and that people should

0:23:21.480 --> 0:23:22.679
<v Speaker 4>support musicians.

0:23:22.840 --> 0:23:23.399
<v Speaker 2>Thanks so much.

0:23:23.480 --> 0:23:23.680
<v Speaker 4>An.

0:23:24.040 --> 0:23:28.080
<v Speaker 2>That's Professor An Lafasso at the University of Cincinnati Law School.

0:23:28.600 --> 0:23:33.040
<v Speaker 2>Coming up next, a thirty million dollar pardon scheme. This

0:23:33.160 --> 0:23:40.760
<v Speaker 2>is Bloomberg. The audacious plan crystallized over a lobster dinner

0:23:40.800 --> 0:23:45.080
<v Speaker 2>in Puerto Rico. That's where a self styled connector and

0:23:45.119 --> 0:23:49.480
<v Speaker 2>a child actor turned crypto enthusiast hatched an idea to

0:23:49.560 --> 0:23:54.960
<v Speaker 2>secure a presidential pardon for bitcoin booster Roger Verr, also

0:23:55.160 --> 0:23:59.760
<v Speaker 2>known as Bitcoin Jesus, and in the process make millions

0:23:59.800 --> 0:24:05.359
<v Speaker 2>for themselves, specifically thirty million. Joining me is Bloomberg. Legal

0:24:05.400 --> 0:24:09.480
<v Speaker 2>reporter Eva Benni Morrison, who wrote about this scheme, eva

0:24:09.520 --> 0:24:13.960
<v Speaker 2>they only had tenuous ties to Verr, why did they

0:24:14.000 --> 0:24:15.800
<v Speaker 2>decide to try to get him a pardon.

0:24:16.359 --> 0:24:19.160
<v Speaker 3>There has been a lot of enthusiasm around the clemency

0:24:19.200 --> 0:24:23.160
<v Speaker 3>process since President Trump took office in January. He has

0:24:23.280 --> 0:24:27.959
<v Speaker 3>certainly approached his clemency powers with more vigor than some

0:24:28.040 --> 0:24:30.040
<v Speaker 3>of his predecessors.

0:24:29.480 --> 0:24:30.600
<v Speaker 1>And that's instilled a.

0:24:30.560 --> 0:24:33.080
<v Speaker 3>Lot of hope in people who want to try and

0:24:33.160 --> 0:24:36.800
<v Speaker 3>get their case in front of the White House for relief. So,

0:24:36.880 --> 0:24:41.280
<v Speaker 3>in this situation, Roger ver who is an early investor

0:24:41.280 --> 0:24:44.520
<v Speaker 3>in bitcoin and he is currently under indictment for tax

0:24:44.520 --> 0:24:47.959
<v Speaker 3>evation in California, he was very vocal about wanting a pardon,

0:24:48.000 --> 0:24:50.360
<v Speaker 3>and he had been on social media and sitting down

0:24:50.359 --> 0:24:54.159
<v Speaker 3>for interviews with conservative commentators talking about his battle with

0:24:54.280 --> 0:24:58.320
<v Speaker 3>US authorities and making a direct appeal in some situations

0:24:58.359 --> 0:24:59.040
<v Speaker 3>to Trump to.

0:24:59.320 --> 0:24:59.960
<v Speaker 1>Give him a part.

0:25:00.080 --> 0:25:04.760
<v Speaker 3>Then Matt Argyll, a businessman from Florida, and Brock Pierce,

0:25:04.880 --> 0:25:08.440
<v Speaker 3>who is also a pretty well known figure in the cryptosphere,

0:25:08.840 --> 0:25:12.240
<v Speaker 3>knew about this and approached him and offered to lobby.

0:25:11.920 --> 0:25:12.800
<v Speaker 1>For his cause.

0:25:13.440 --> 0:25:17.040
<v Speaker 3>So Matt Argall in particular was pretty key in a

0:25:17.119 --> 0:25:20.080
<v Speaker 3>number of these conversations that took place earlier this year,

0:25:20.119 --> 0:25:23.800
<v Speaker 3>and offered to assemble a group of Washington insiders who

0:25:23.840 --> 0:25:28.080
<v Speaker 3>could Take's best case to the White House and try

0:25:28.119 --> 0:25:28.919
<v Speaker 3>and get him a pardon.

0:25:29.400 --> 0:25:33.520
<v Speaker 2>Was there a fee or any kind of monetary compensation.

0:25:34.000 --> 0:25:34.680
<v Speaker 1>Yeah.

0:25:34.720 --> 0:25:38.679
<v Speaker 3>While a number of these pardon plans have been popping

0:25:38.720 --> 0:25:41.000
<v Speaker 3>up over the past few months, this one stuck out

0:25:41.080 --> 0:25:44.040
<v Speaker 3>because of the fee that was attached to it. The

0:25:44.119 --> 0:25:49.199
<v Speaker 3>conversations were about Roger handing over thirty million dollars to

0:25:49.400 --> 0:25:51.880
<v Speaker 3>these people to try and get him a pardon, which

0:25:51.920 --> 0:25:55.679
<v Speaker 3>is astronomical. You know, I've reported on a number of

0:25:55.720 --> 0:25:59.480
<v Speaker 3>these different proposals and fees flying around to lawyers and

0:25:59.520 --> 0:26:02.359
<v Speaker 3>consulting and some lobbyists, but thirty million dollars is certainly

0:26:02.400 --> 0:26:03.520
<v Speaker 3>the highest amount i'd heard.

0:26:04.040 --> 0:26:06.159
<v Speaker 2>What kind of fees do you normally hear about?

0:26:06.400 --> 0:26:08.280
<v Speaker 1>It differs across the board.

0:26:08.640 --> 0:26:12.240
<v Speaker 3>I have heard that some lawyers have been quoting a

0:26:12.320 --> 0:26:16.400
<v Speaker 3>million dollars as a base level to prepare an application

0:26:16.760 --> 0:26:19.159
<v Speaker 3>and to speak to the right people in Washington to

0:26:19.240 --> 0:26:22.200
<v Speaker 3>try and get their client's case heard. But then someone

0:26:22.200 --> 0:26:26.680
<v Speaker 3>suggested there was a finder's fee, So someone quoting five

0:26:26.720 --> 0:26:29.200
<v Speaker 3>thousand dollars to put someone in touch with someone else

0:26:29.480 --> 0:26:33.439
<v Speaker 3>for other people. Lawyers in particular have quoted tens of

0:26:33.480 --> 0:26:36.159
<v Speaker 3>thousands of dollars to put the paperwork together. So it

0:26:36.320 --> 0:26:39.600
<v Speaker 3>really varies. But this is a real evolution of this

0:26:39.680 --> 0:26:40.640
<v Speaker 3>clemency space.

0:26:41.000 --> 0:26:44.520
<v Speaker 2>Years ago, it was mostly you know, regular lawyers or

0:26:44.880 --> 0:26:48.040
<v Speaker 2>lawyers experience in this drawing up the paperwork. And so

0:26:48.080 --> 0:26:49.280
<v Speaker 2>if it wasn't these huge.

0:26:49.160 --> 0:26:53.679
<v Speaker 3>Fees, absolutely, I think the clemency space historically has largely

0:26:53.760 --> 0:26:58.639
<v Speaker 3>been populated by pro bono advocates, so lawyers and academics

0:26:58.840 --> 0:27:03.960
<v Speaker 3>offering to lobby for people who have been in prison

0:27:04.119 --> 0:27:08.600
<v Speaker 3>for a very long time or particularly harsh sentences, maybe

0:27:08.680 --> 0:27:13.720
<v Speaker 3>during the cocaine epidemic. But only now we're really starting

0:27:13.720 --> 0:27:17.160
<v Speaker 3>to see these massive fees attached to this kind of work.

0:27:17.720 --> 0:27:20.720
<v Speaker 2>And why is Roger Vert called bitcoin Jesus.

0:27:21.560 --> 0:27:24.679
<v Speaker 3>Roger is called bitcoin Jesus because he was one of

0:27:24.720 --> 0:27:29.720
<v Speaker 3>the early investors in the cryptocurrency and kind of had

0:27:29.760 --> 0:27:34.080
<v Speaker 3>a bit of a godfather like role in those early years.

0:27:34.480 --> 0:27:37.240
<v Speaker 2>So he got their pitch and what happened after that.

0:27:37.760 --> 0:27:40.919
<v Speaker 3>Yes, there were a number of conversations held earlier this

0:27:41.040 --> 0:27:44.840
<v Speaker 3>year between Roger VERRT and Matt Argyll, Rock Pierce, and

0:27:45.280 --> 0:27:48.560
<v Speaker 3>some other characters who are quite well known in conservative

0:27:48.560 --> 0:27:52.280
<v Speaker 3>circles and have very good track records at helping people

0:27:52.359 --> 0:27:57.840
<v Speaker 3>get clemency. So those conversations went into what a path

0:27:57.920 --> 0:28:01.000
<v Speaker 3>to a White House pardon might look like, and also

0:28:01.119 --> 0:28:03.960
<v Speaker 3>reiterated this thirty million dollar fee structure again and again.

0:28:04.560 --> 0:28:07.000
<v Speaker 1>But those conversations seem to have fizzled out.

0:28:07.040 --> 0:28:10.000
<v Speaker 3>In March, I got my hands on an email that

0:28:10.119 --> 0:28:14.960
<v Speaker 3>showed that the had just stopped replying to text messages

0:28:15.000 --> 0:28:17.200
<v Speaker 3>and calls and voice notes from some of the people

0:28:17.240 --> 0:28:19.879
<v Speaker 3>that were involved in these pardon conversations.

0:28:20.240 --> 0:28:25.280
<v Speaker 2>Did Pierce and Argyll actually have connections to Trump world?

0:28:25.840 --> 0:28:29.439
<v Speaker 3>It's unclear. That was one of the challenging parts of

0:28:29.480 --> 0:28:33.760
<v Speaker 3>this exercise. There were certainly the names of senior White

0:28:33.760 --> 0:28:37.679
<v Speaker 3>House officials thrown around in some of these conversations in

0:28:37.720 --> 0:28:41.040
<v Speaker 3>the context of so and so knows this person at

0:28:41.040 --> 0:28:43.040
<v Speaker 3>the White House. So and so as best friends with

0:28:43.080 --> 0:28:47.120
<v Speaker 3>this person, But it's unclear whether anyone who was involved

0:28:47.120 --> 0:28:51.440
<v Speaker 3>in those discussions actually had those legitimate connections, let alone

0:28:51.480 --> 0:28:54.120
<v Speaker 3>the leverage to try and put this case in front

0:28:54.120 --> 0:28:57.760
<v Speaker 3>of someone that had decision making capabilities.

0:28:57.280 --> 0:29:00.800
<v Speaker 2>And the White House has responded in what were The White.

0:29:00.520 --> 0:29:02.160
<v Speaker 1>House pushed back very strongly.

0:29:02.320 --> 0:29:07.440
<v Speaker 3>They denied any knowledge of this pardon plan, any knowledge

0:29:07.480 --> 0:29:12.480
<v Speaker 3>of the conversations. They weren't very happy with the suggestion

0:29:12.680 --> 0:29:15.240
<v Speaker 3>that the names of senior White House officials were being

0:29:15.280 --> 0:29:18.640
<v Speaker 3>thrown around. The official statement we got from a White

0:29:18.640 --> 0:29:24.640
<v Speaker 3>House spokesperson referred to grifters quote unquote using the names

0:29:25.000 --> 0:29:27.880
<v Speaker 3>to drum up pardon business, and the White House completely

0:29:27.920 --> 0:29:30.160
<v Speaker 3>distanced themselves from whatever was going on here.

0:29:30.360 --> 0:29:32.200
<v Speaker 2>Did any money actually change hands?

0:29:32.320 --> 0:29:33.560
<v Speaker 1>No money changed hands?

0:29:33.880 --> 0:29:36.360
<v Speaker 2>And Argle, you spoke to him, I mean, what do

0:29:36.400 --> 0:29:37.200
<v Speaker 2>you say about this?

0:29:37.400 --> 0:29:37.800
<v Speaker 1>I did.

0:29:37.840 --> 0:29:40.880
<v Speaker 3>I spoke to a number of people as part of

0:29:40.920 --> 0:29:44.480
<v Speaker 3>this reporting, including Matt Argyll, and I found him to

0:29:44.520 --> 0:29:48.920
<v Speaker 3>be quite upfront and forthcoming about his role in these

0:29:48.920 --> 0:29:51.840
<v Speaker 3>conversations and how it all came together. He told me

0:29:51.880 --> 0:29:56.120
<v Speaker 3>that he genuinely thought Roger Vert was interested in engaging

0:29:56.160 --> 0:29:58.600
<v Speaker 3>him to lobby for his cause. He claimed that he

0:29:58.680 --> 0:30:02.600
<v Speaker 3>had traveled to Washington, He's mainly based in Miami on

0:30:02.640 --> 0:30:04.880
<v Speaker 3>a number of occasions to kind of lay the groundwork,

0:30:05.000 --> 0:30:09.040
<v Speaker 3>and you know, he introduced a well known Washington lawyer

0:30:09.120 --> 0:30:12.600
<v Speaker 3>to Roger Ver to discuss a potential pardon plan. And

0:30:12.640 --> 0:30:15.320
<v Speaker 3>I asked him about the thirty million dollar fee because

0:30:15.360 --> 0:30:17.440
<v Speaker 3>it was such a large amount. And the way that

0:30:17.520 --> 0:30:20.920
<v Speaker 3>he said that he and Brock had come up with

0:30:20.920 --> 0:30:24.400
<v Speaker 3>that fee was they estimated Roger Ver was worth ten

0:30:24.440 --> 0:30:27.280
<v Speaker 3>to twenty billion. That's not an amount that we've been

0:30:27.320 --> 0:30:31.280
<v Speaker 3>able to confirm. But in Matt's justification, twenty million dollars

0:30:31.360 --> 0:30:34.000
<v Speaker 3>seemed like a drop in the ocean for someone like that,

0:30:34.120 --> 0:30:35.720
<v Speaker 3>especially when your freedom's on the line.

0:30:35.800 --> 0:30:38.000
<v Speaker 2>But he also said, this wasn't about me trying to

0:30:38.080 --> 0:30:41.360
<v Speaker 2>make dough if I made this happen, since my guys

0:30:41.400 --> 0:30:43.240
<v Speaker 2>came through hook me up after.

0:30:43.960 --> 0:30:47.240
<v Speaker 3>Yes, my Argyll explained how they came up with the

0:30:47.400 --> 0:30:52.200
<v Speaker 3>thirty million dollar figure, but he also said the arrangement

0:30:52.320 --> 0:30:54.640
<v Speaker 3>was quite fluid as to what they were going to

0:30:54.680 --> 0:30:57.120
<v Speaker 3>do with that money. At the end, he said, you know,

0:30:57.200 --> 0:31:01.160
<v Speaker 3>maybe Roger could invest in a crypto projective his or

0:31:01.440 --> 0:31:03.120
<v Speaker 3>maybe at the end of the day he'd just end

0:31:03.200 --> 0:31:05.400
<v Speaker 3>up with good karma.

0:31:05.520 --> 0:31:07.880
<v Speaker 2>Ah, a lot of good karra. Maybe thirty million came through.

0:31:08.080 --> 0:31:11.000
<v Speaker 2>So now what about Vera's case? Where does it stand?

0:31:11.640 --> 0:31:15.520
<v Speaker 3>Rogerver seems to have called on his calls for a

0:31:15.560 --> 0:31:19.200
<v Speaker 3>presidential pardon in recent months. He is still in Spain,

0:31:19.360 --> 0:31:22.840
<v Speaker 3>where he was first arrested, and he's fighting extradition from

0:31:22.880 --> 0:31:26.360
<v Speaker 3>there back to the United States. His lawyers have asked

0:31:26.400 --> 0:31:30.840
<v Speaker 3>a judge to dismiss the indictment against him, arguing that

0:31:30.920 --> 0:31:34.560
<v Speaker 3>he was following the advice of an accountant and a

0:31:34.600 --> 0:31:38.520
<v Speaker 3>tax lawyer when he decided to renounce his US citizenship

0:31:38.600 --> 0:31:39.360
<v Speaker 3>and moved.

0:31:39.160 --> 0:31:41.040
<v Speaker 1>To sent Kids in twenty fourteen.

0:31:41.280 --> 0:31:43.520
<v Speaker 2>And what are the charges against him exactly?

0:31:43.920 --> 0:31:48.840
<v Speaker 3>Rogerver is facing charges for tax evasion. The IRS said

0:31:48.880 --> 0:31:52.240
<v Speaker 3>that he hid the gains from the sale of hundreds

0:31:52.240 --> 0:31:54.040
<v Speaker 3>of millions of dollars worth of bitcoin.

0:31:54.800 --> 0:31:57.760
<v Speaker 2>And what's the business background of the two men who

0:31:57.840 --> 0:31:58.760
<v Speaker 2>hatched this plan?

0:31:59.360 --> 0:32:02.880
<v Speaker 3>So, Matt argu and brock Piers are both good friends

0:32:03.440 --> 0:32:07.640
<v Speaker 3>but involved in their own business interests. Brock Piers is

0:32:07.680 --> 0:32:11.040
<v Speaker 3>one of the co founders of the crypto firm Teather

0:32:11.680 --> 0:32:14.440
<v Speaker 3>Fun Fact. He was also a child actor in the

0:32:14.480 --> 0:32:17.920
<v Speaker 3>Disney movie The Marty Ducks. Now he is the chairman

0:32:18.000 --> 0:32:24.320
<v Speaker 3>of the Bitcoin Foundation. Matt argyll Is He tells people

0:32:24.320 --> 0:32:28.040
<v Speaker 3>that he helps companies secure lucrative government contracts. He's also

0:32:28.120 --> 0:32:31.040
<v Speaker 3>run a number of call centers in Miami before, so

0:32:31.080 --> 0:32:32.760
<v Speaker 3>he's been involved in a lot of different things.

0:32:33.440 --> 0:32:37.240
<v Speaker 2>And Eva, did they work alone? Was anyone else involved?

0:32:38.120 --> 0:32:41.320
<v Speaker 3>Matt Argyll was certainly the lead in a lot of

0:32:41.360 --> 0:32:45.200
<v Speaker 3>these conversations earlier this year, and Brock Pierce was involved

0:32:45.240 --> 0:32:48.560
<v Speaker 3>as well, giving he knew Roger vir from their early

0:32:48.720 --> 0:32:52.360
<v Speaker 3>days as crypto investors. But at various points in these

0:32:52.360 --> 0:32:56.440
<v Speaker 3>communications you can see that other people who work in

0:32:56.440 --> 0:32:59.920
<v Speaker 3>the clevency space, lawyers and lobbyists, were also involved in

0:33:00.440 --> 0:33:02.440
<v Speaker 3>and hatching a bit of a plan for Roldja to

0:33:02.480 --> 0:33:03.720
<v Speaker 3>secure presidential pardon.

0:33:04.240 --> 0:33:07.760
<v Speaker 2>Well, it's a fascinating story, Ava, and I guess more

0:33:07.800 --> 0:33:12.480
<v Speaker 2>to come on what's now a clemency business. Thanks so much.

0:33:12.960 --> 0:33:16.920
<v Speaker 2>That's Ava, Benny Morrison, Bloomberg Legal Reporter, And that's it

0:33:16.960 --> 0:33:19.560
<v Speaker 2>for this edition of The Bloomberg Law Show. Remember you

0:33:19.560 --> 0:33:22.040
<v Speaker 2>can always get the latest legal news on our Bloomberg

0:33:22.120 --> 0:33:25.760
<v Speaker 2>Law Podcast. You can find them on Apple Podcasts, Spotify,

0:33:25.960 --> 0:33:31.000
<v Speaker 2>and at www dot Bloomberg dot com, slash podcast Slash Law,

0:33:31.400 --> 0:33:33.960
<v Speaker 2>and remember to tune into The Bloomberg Law Show every

0:33:34.040 --> 0:33:37.920
<v Speaker 2>weeknight at ten pm Wall Street Time. I'm June Grosso

0:33:38.040 --> 0:33:39.680
<v Speaker 2>and you're listening to Bloomberg