WEBVTT - Live from the Supreme Court: Week One

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<v Speaker 1>This is Bloomberg Law with June Grosso. Monday was a

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<v Speaker 1>historic day at the Supreme Court. For the first time,

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<v Speaker 1>the country could hear Supreme Court oral arguments live, and

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<v Speaker 1>another first, the arguments were done by telephone. The issue

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<v Speaker 1>in the case was whether businesses can get federal trademark

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<v Speaker 1>protection for website names such as booking dot Com that

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<v Speaker 1>center on a commonly used word. Will hear argument this

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<v Speaker 1>morning in case the United States Patent and Trademark Office

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<v Speaker 1>versus Booking dot Com. Chief Justice John Roberts started the

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<v Speaker 1>session as usual by announcing the case, but then rolled

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<v Speaker 1>out a new format, calling on the jostices by Seniority

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<v Speaker 1>in an orderly fashion, unlike the usual free for all.

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<v Speaker 1>Justice Brier the same question of Justice Thomas's question, good

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<v Speaker 1>morning anyway, There are just a few glitches. Justice Stephen

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<v Speaker 1>Brier's audio at one point was garbled, and Justice Sonia

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<v Speaker 1>Sotomayor seemed to to get her mute button was on.

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<v Speaker 1>Justice Soda Mayor, Yese Soda Mayor, I'm sorry, Chief ms

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<v Speaker 1>Ross picking up on where you were right now. The

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<v Speaker 1>one surprise, Justice Clarence Thomas asked a question for the

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<v Speaker 1>first time in more than a year, Justice Thomas, Yes,

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<v Speaker 1>Ms Ross. The couple of questions, Um, the could booking

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<v Speaker 1>uh acquire an eight hundred number? For that's a vanity number,

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<v Speaker 1>one eight hundred booking for example. Uh, that is similar

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<v Speaker 1>to for one eight hundred plumbing, which is a registered mark.

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<v Speaker 1>Even though the Chief trying to keep the questioning on time,

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<v Speaker 1>Thank you, thank you, Miss Black. Justice Ginsburg, the argument

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<v Speaker 1>ran fifteen minutes past the normal hour long session. Joining

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<v Speaker 1>now is Bloomberg, Supreme Court Reporter Greg Store, how would

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<v Speaker 1>you rate the first live oral arguments? Well, it went

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<v Speaker 1>pretty smoothly. Wasn't like the usual oral arguments in the courtroom.

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<v Speaker 1>But for what it was, there weren't any major glitches.

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<v Speaker 1>Justices were all able to be heard, They could hear

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<v Speaker 1>the lawyers. And you know, we had a couple of

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<v Speaker 1>moments where, for example, Justice and you said, of myr

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<v Speaker 1>seemed to have the new button on. So when Chief

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<v Speaker 1>just As Roberts turned to her for her turn to

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<v Speaker 1>ask questions, she wasn't there. And that happened with one

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<v Speaker 1>of the lawyers as well. And then there were a

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<v Speaker 1>couple of minutes where very hard to hear Justice Brier.

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<v Speaker 1>The audio was just bad. But that only lasted a

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<v Speaker 1>few seconds, and then he must have walked to another

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<v Speaker 1>part of the room or something and we were able

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<v Speaker 1>to hear him. But for the most part it went

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<v Speaker 1>relatively smoothly. And when Chief Justice Roberts said, Justice Thomas,

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<v Speaker 1>we heard a question from Justice Thomas, we did. That

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<v Speaker 1>was the first time we've heard Justice Thomas in an

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<v Speaker 1>argument in more than a year. In fact, that one

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<v Speaker 1>point went ten years without asking a question. He has

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<v Speaker 1>said that he said various things, but among the things

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<v Speaker 1>he has it is I don't like the way the

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<v Speaker 1>arguments go. We asked too many questions. We don't let

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<v Speaker 1>the lawyer get an answer out. He really doesn't seem

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<v Speaker 1>to like the free for all nature of most Supreme

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<v Speaker 1>Court arguments. Well, this was not a free for all argument.

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<v Speaker 1>It was much more structured, and perhaps he felt much

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<v Speaker 1>more comfortable with the format. I think it's also the case, though,

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<v Speaker 1>that it would have been striking for him not to

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<v Speaker 1>ask a question. This was a very structured affair where

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<v Speaker 1>John Roberts went from the most senior justice down to

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<v Speaker 1>the most junior justice. Everybody had their turn, everybody had

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<v Speaker 1>their three or four minutes, and it would have been

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<v Speaker 1>very notable if the one and only justice who didn't

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<v Speaker 1>take advantage of that opportunity was Clarence Thomas. And so

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<v Speaker 1>in some ways maybe this was actually the path of

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<v Speaker 1>least resistance form a person who hasn't heard or seen

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<v Speaker 1>oral arguments before. Was this a fair representation for them

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<v Speaker 1>or are they missing a lot? In some ways, it

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<v Speaker 1>was because it highlighted how some Supreme Court arguments are

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<v Speaker 1>actually pretty dry and technical, and the justices actually do

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<v Speaker 1>get into the weeds about federal statutes and a hundred

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<v Speaker 1>year old precedent, and they're not all the attention grabbing

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<v Speaker 1>abortion and gun rights cases. On the other hand, you

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<v Speaker 1>didn't have the kind of running narrative that you usually

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<v Speaker 1>have in a Supreme Court argument. He did to some degree,

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<v Speaker 1>but you really didn't have justices jumping in and saying, hey,

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<v Speaker 1>you didn't do a very good job of answering that

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<v Speaker 1>other justices question, or say, jumping in and trying to

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<v Speaker 1>help out a lawyer who was floundering a little bit.

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<v Speaker 1>You didn't have that, And because each justice got two

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<v Speaker 1>minutes to ask questions, it meant that chief had more

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<v Speaker 1>of a role of cutting off the lawyers and moving

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<v Speaker 1>them along which he doesn't usually do. Yeah, he usually

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<v Speaker 1>has to do that only maybe at the end of

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<v Speaker 1>the argument when a lawyer is running out of time.

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<v Speaker 1>But even then, when they're in the courtroom, there's a

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<v Speaker 1>like system, a visual system that the lawyers have where

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<v Speaker 1>they see a yellow light when they're running out of

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<v Speaker 1>time and a red light when they're out of time.

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<v Speaker 1>He or it was up to Chief Justice Roberts not

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<v Speaker 1>only to tell the lawyer at the end, your time

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<v Speaker 1>is expiring. You need to wrap up, but also to

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<v Speaker 1>make sure that none of the answers went so long

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<v Speaker 1>that other justices would lose their questioning time. As it was,

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<v Speaker 1>the argument went longer than it was supposed to supposed

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<v Speaker 1>to be sixty minutes, it win seventy five minutes. And

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<v Speaker 1>part of that was it was actually difficult for John

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<v Speaker 1>Roberts to have to cut in over and over and

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<v Speaker 1>over again to interrupt the lawyers so that another justice

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<v Speaker 1>could ask questions and the argument could move alone. Gregg

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<v Speaker 1>looking forward when the justices returned to the bench, will

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<v Speaker 1>they be pressure to continue the live streaming. I'm sure

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<v Speaker 1>there will be public pressure, But part of the question

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<v Speaker 1>is when is this going to happen? There's no guarantee

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<v Speaker 1>that when new term starts in October, that these many

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<v Speaker 1>of them elderly justices are going to be able to

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<v Speaker 1>go back into a courtroom and here arguments like usual.

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<v Speaker 1>So this may last for a while. From the court standpoint,

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<v Speaker 1>no doubt. Part of it will depend on what happens

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<v Speaker 1>with these arguments and the line long ago. Thanks Gregg,

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<v Speaker 1>that's Bloomberg New Supreme Court reporter Greg Store coming up

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<v Speaker 1>next on Bloomberg law that justices appeared divided over religious exemptions.

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<v Speaker 1>The fractious debate over the contraceptive mandate in Obamacare returned

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<v Speaker 1>to the Supreme Court on Wednesday, and the Justices seemed

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<v Speaker 1>as divided as ever. The issue was the Trump administration's

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<v Speaker 1>broad expansion of the types of employers who can opt

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<v Speaker 1>out of the Obamacare requirement that they offer free birth

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<v Speaker 1>control coverage in their healthcare plans. Chief Justice John Roberts,

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<v Speaker 1>the possible pivotal vote, suggested that the Trump exemption might

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<v Speaker 1>sweep too broadly and seemed frustrated that neither side wanted

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<v Speaker 1>to work the problem out well. The problem is that

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<v Speaker 1>neither side in this debate wants the accommodation to work

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<v Speaker 1>the one side doesn't want it to work because they

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<v Speaker 1>want to say the mandate is required, and the other

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<v Speaker 1>side doesn't want it to work because they want to

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<v Speaker 1>uh impose the mandate? Uh? Is it really the case

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<v Speaker 1>that there is no way to resolve those differences? Justice

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<v Speaker 1>Ruth Vader Ginsburg, who called in from Johns Hopkins Hospital,

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<v Speaker 1>where she was being treated for a gallbladder condition, said

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<v Speaker 1>the exemption would come at a cost to women. At

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<v Speaker 1>the end of the day, the government is throwing into

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<v Speaker 1>the wind the women's entitlement to seamless no cost to them.

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<v Speaker 1>It is requiring those women to pay for contraceptive services.

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<v Speaker 1>But Justice Brett Kavanaugh seemed to suggest the exemption was

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<v Speaker 1>an appropriate balance. Why isn't that the way to look

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<v Speaker 1>at the case? And if we get down to the

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<v Speaker 1>bottom line of is this reasonable? Not maybe everyone's preferred choice,

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<v Speaker 1>but at least within the bounds of reasonable, why isn't

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<v Speaker 1>this a reasonable way to balance it? Joining me? Is

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<v Speaker 1>Richard Garnett, a professor at Notre Dame Law School, explain

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<v Speaker 1>the issue here? The real issue, the real issue in

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<v Speaker 1>this case is probably not what a lot of people

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<v Speaker 1>think it is. It's got a bunch of layer. So

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<v Speaker 1>the issue here is whether the administrative agency in question,

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<v Speaker 1>HHS has the authority to create the accommodation that it created.

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<v Speaker 1>So that tells us what the issue is not. The

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<v Speaker 1>issue is not whether the Constitution requires this accommodation. It's

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<v Speaker 1>not whether the Religious Freedom Restoration Act requires this accommodation.

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<v Speaker 1>It's really a question of administrative law. Did the agency

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<v Speaker 1>create this accommodation in the correct way? And was it

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<v Speaker 1>acting within its authority when it did. During the oral arguments,

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<v Speaker 1>I thought that some of the justices seemed to be

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<v Speaker 1>talking about or trying to relitigate questions that I don't

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<v Speaker 1>really think are the ones that are presented. So you know,

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<v Speaker 1>this case isn't supposed to be about whether the contraception

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<v Speaker 1>coverage mandate is a good idea or whether the hobby

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<v Speaker 1>Lobby case was correctly decided. What happened here is that

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<v Speaker 1>a federal agency determined to change its own rules, and

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<v Speaker 1>then some states decided that because I didn't like that

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<v Speaker 1>change in the rules, they were going to say that

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<v Speaker 1>the agencies lacks the power to change them. And I

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<v Speaker 1>suspect that the Court is not going to agree with

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<v Speaker 1>that claim. And then you have some other additional fun

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<v Speaker 1>kind of law geek technical questions like does a federal

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<v Speaker 1>district court have the power to issue a nationwide injunction

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<v Speaker 1>on a policy or does it have the power only

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<v Speaker 1>to issue an injunction within its jurisdiction? And do states

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<v Speaker 1>have what's called standing to challenge changes to federal regulations

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<v Speaker 1>simply because they predict that those changes will result in

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<v Speaker 1>some cost to them. So from a law professor or

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<v Speaker 1>you know, law geeks perspective, is all kinds of things

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<v Speaker 1>swirling around in this case, But it's not really about

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<v Speaker 1>whether or not one believes that the contraception coverage mandate

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<v Speaker 1>is a good idea. Some of the justices seem to

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<v Speaker 1>be talking to a broader audience perhaps, and to Justice

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<v Speaker 1>Ruth Bader Ginsburg kept coming back to the costs of

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<v Speaker 1>exams gens to women, saying that this would be tossing

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<v Speaker 1>to the winds. Congress is intent that women have seamless

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<v Speaker 1>and no cost coverage. Yes, she used the tossing to

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<v Speaker 1>the wind image I think three different times, so that

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<v Speaker 1>might be a good example of what I'm talking about.

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<v Speaker 1>I mean, it's clear that Justice Kinsburgh thinks that the

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<v Speaker 1>change in regulations that the HHS adopted are are bad policy.

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<v Speaker 1>But you know, the question of what Congress's intent was

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<v Speaker 1>is I think a little more complicated. I mean, after all,

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<v Speaker 1>the Affordable Care Act itself didn't contain a contraception coverage

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<v Speaker 1>mandate that was created by the administrative agencies that have

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<v Speaker 1>now decided to recraft the accommodation insense. The agency is

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<v Speaker 1>changing it's its own rules. That's not going against what

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<v Speaker 1>Congress actually said. And there have been exemptions from the

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<v Speaker 1>coverage mandate from the very beginning that it's it's never

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<v Speaker 1>been a blanket requirement. There have always been employers who

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<v Speaker 1>are exempted. It's been a balancing act. So I think

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<v Speaker 1>the claim that these latest regulations are a dramatic departure

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<v Speaker 1>from what Congress did is difficult to maintain. The better complaint,

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<v Speaker 1>it seems to me, is this kind of administrative law

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<v Speaker 1>complaint that the agency crafted these new accommodations in a

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<v Speaker 1>way that sort of might not have followed the strict

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<v Speaker 1>requirements for notice and comment and outside consultation and so on.

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<v Speaker 1>But at the same time, there's plenty of precedent which

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<v Speaker 1>states that so long as the agency does get that

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<v Speaker 1>input at some point it's permissible. I think you're exactly

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<v Speaker 1>right to pick up on the fact that Justice Ginsberg

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<v Speaker 1>was speaking to a larger audience about the broader policy question.

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<v Speaker 1>But I don't really think that broader policy question is

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<v Speaker 1>the legal question that's before the Court in this particular case.

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<v Speaker 1>Let me ask you something that's a broader policy question,

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<v Speaker 1>because according to the States, the Trump exemption allows more

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<v Speaker 1>publicly traded companies and large universities to get the exemption,

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<v Speaker 1>and also expands it to include not just religious but

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<v Speaker 1>moral reasons. You know, the Court had already ruled in

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<v Speaker 1>the Hobby Lobby case several years ago that the Religious

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<v Speaker 1>Freedom Restoration Act required an exemption for a publicly traded corporation,

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<v Speaker 1>so it is theoretically possible, although as the lawyers pointed

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<v Speaker 1>out in this case, it's not particularly likely that a

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<v Speaker 1>large publicly traded corporations could try to invoke this exemption.

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<v Speaker 1>That is, they're not categorically ruled out, but they would

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<v Speaker 1>have to assert a sincere religious or moral objection to

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<v Speaker 1>providing the coverage in question. And I don't think we

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<v Speaker 1>have much evidence that there's a whole lot of publicly traded,

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<v Speaker 1>large corporations that are lining up to do that. On

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<v Speaker 1>the opposite side of Justice Ruth Bader Ginsburg, we had

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<v Speaker 1>Justice Alito, who wrote the Hobby Lobby case. What were

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<v Speaker 1>some of the points that he was trying to make well.

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<v Speaker 1>I think Justice Alito's main point to be that the

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<v Speaker 1>Religious Freedom Restoration Act, as the Court had already held,

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<v Speaker 1>requires religious accommodations in some cases, and that what had

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<v Speaker 1>been here with this accommodation was not that the agency

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<v Speaker 1>had decided that it was required, but that it's permissible.

0:13:06.160 --> 0:13:09.560
<v Speaker 1>And I think in Justice Alito's view, it's consistent with

0:13:09.640 --> 0:13:14.360
<v Speaker 1>longstanding American traditions to try to accommodate religious objections when

0:13:14.440 --> 0:13:17.480
<v Speaker 1>one can, and the Religious Freedom Restoration Act kind of

0:13:17.520 --> 0:13:19.720
<v Speaker 1>an expression of that policy. And I think he believes

0:13:19.760 --> 0:13:22.440
<v Speaker 1>that this rule is as well, and that, you know,

0:13:22.480 --> 0:13:26.960
<v Speaker 1>since it complies with the relevant administrative law principles that

0:13:27.120 --> 0:13:29.960
<v Speaker 1>the States are on. Pretty I think he would say

0:13:30.280 --> 0:13:34.319
<v Speaker 1>weak ground in trying to insist that somehow the accommodation

0:13:34.440 --> 0:13:38.200
<v Speaker 1>is impermissible. It might well be bad policy, but the

0:13:38.240 --> 0:13:41.680
<v Speaker 1>issue here is whether the agency is authorized to make

0:13:41.800 --> 0:13:44.440
<v Speaker 1>this change. I took Justice Aldo's point to be that

0:13:44.640 --> 0:13:47.120
<v Speaker 1>not only is the agency authorized to make this change,

0:13:47.160 --> 0:13:50.200
<v Speaker 1>but that the change, in his view, is consistent with

0:13:50.360 --> 0:13:54.000
<v Speaker 1>the policy of accommodation. That's the Religious Rate Restoration Actents.

0:13:54.640 --> 0:13:58.880
<v Speaker 1>Next on Bloomberg Lawford Decide, I've been talking to Professor

0:13:58.960 --> 0:14:01.880
<v Speaker 1>Richard Garnett, have noted Dame Law School about the Supreme

0:14:01.920 --> 0:14:05.840
<v Speaker 1>Court's arguments over the Trump administration's expansion of the religious

0:14:05.840 --> 0:14:10.319
<v Speaker 1>exemption to the Obamacare contraceptive mandate. Several of the justices

0:14:10.400 --> 0:14:14.439
<v Speaker 1>seemed dismayed that the parties couldn't work the problem out themselves.

0:14:14.480 --> 0:14:18.800
<v Speaker 1>Here's Justice Stephen Bryer. The point of the religious clauses

0:14:19.440 --> 0:14:23.120
<v Speaker 1>is to try to work out accommodations because they can

0:14:23.160 --> 0:14:26.000
<v Speaker 1>be some of the most difficult to resolve disputes, and

0:14:26.040 --> 0:14:29.960
<v Speaker 1>they can substitute a kind of hostility for harmony. So

0:14:30.040 --> 0:14:33.280
<v Speaker 1>from that point of view, I really repeat, there's anything

0:14:33.280 --> 0:14:37.080
<v Speaker 1>you want to add the Chief Justice's question, I don't

0:14:37.200 --> 0:14:40.840
<v Speaker 1>understand why this can't be worked out. So we have

0:14:41.000 --> 0:14:44.320
<v Speaker 1>the Chief who some people will look at as a

0:14:44.360 --> 0:14:47.960
<v Speaker 1>middle ground here, perhaps a deciding vote in these kinds

0:14:48.000 --> 0:14:52.080
<v Speaker 1>of cases. And right off the bat he questioned whether

0:14:52.480 --> 0:14:56.800
<v Speaker 1>the Trump exemption might sweep too broadly, and then later

0:14:56.800 --> 0:15:01.800
<v Speaker 1>on in the argument, Justice Elena Kagan re asked that question. Yeah,

0:15:01.840 --> 0:15:04.640
<v Speaker 1>I think both of them wanted to have that issue

0:15:04.720 --> 0:15:06.960
<v Speaker 1>kind of out in the conversation. That is, had the

0:15:07.240 --> 0:15:10.200
<v Speaker 1>you know, in its effort to accommodate, had the agency

0:15:10.320 --> 0:15:12.600
<v Speaker 1>kind of gone bigger than it needed to. But I

0:15:12.600 --> 0:15:15.040
<v Speaker 1>guess my own read, which certainly could be wrong, is

0:15:15.040 --> 0:15:19.200
<v Speaker 1>that once that's the discussion, then the accommodation is going

0:15:19.240 --> 0:15:22.280
<v Speaker 1>to be upheld, because you're still talking about the broad

0:15:22.520 --> 0:15:26.520
<v Speaker 1>range of discretion that agencies have within which to move. So,

0:15:26.720 --> 0:15:29.080
<v Speaker 1>you know, whether or not has a policy matter. A

0:15:29.120 --> 0:15:32.600
<v Speaker 1>particular justice might think that this accommodation is broader than

0:15:32.680 --> 0:15:36.600
<v Speaker 1>the Religious Freedom Act would require. That's perfectly consistent with saying,

0:15:36.640 --> 0:15:39.040
<v Speaker 1>but the agency has the authority to do it if

0:15:39.080 --> 0:15:41.360
<v Speaker 1>it wants. That was kind of how I read it.

0:15:41.400 --> 0:15:45.000
<v Speaker 1>And you know, even Justices Kagan and Brier and I'm

0:15:45.000 --> 0:15:47.920
<v Speaker 1>not suggesting that they're gonna side with the Little Sisters.

0:15:47.960 --> 0:15:50.640
<v Speaker 1>I wouldn't predict that so much, but I took them

0:15:50.960 --> 0:15:53.920
<v Speaker 1>in a similar way to be acknowledging that this is

0:15:53.960 --> 0:15:58.000
<v Speaker 1>a case really about the power of administrative agencies to

0:15:58.040 --> 0:16:01.400
<v Speaker 1>act within the broad describe shi that Congress has given them.

0:16:01.400 --> 0:16:03.280
<v Speaker 1>And it seems to me that once that's the terrain

0:16:03.960 --> 0:16:07.120
<v Speaker 1>that the justices are arguing about, that that points in

0:16:07.120 --> 0:16:09.480
<v Speaker 1>the direction of of a win for the Little Sisters

0:16:09.480 --> 0:16:12.440
<v Speaker 1>in this particular case. Well, Justice Brier said, can't you

0:16:12.480 --> 0:16:15.440
<v Speaker 1>work it out? And isn't that what the Supreme Court

0:16:15.520 --> 0:16:18.480
<v Speaker 1>asked them to do? The Yeah, in the zoo Bic case.

0:16:18.640 --> 0:16:20.440
<v Speaker 1>You know, if you remember, it was right after Justice

0:16:20.400 --> 0:16:23.320
<v Speaker 1>Scalia passed away and the Court was down to eight people,

0:16:23.800 --> 0:16:27.200
<v Speaker 1>and rather than issue a four four opinion that kind

0:16:27.200 --> 0:16:29.680
<v Speaker 1>of really cut to the heart of the matter, they

0:16:29.720 --> 0:16:32.160
<v Speaker 1>put together a kind of an to nothing ruling that

0:16:32.280 --> 0:16:35.600
<v Speaker 1>didn't really do much but basically said, go fix this.

0:16:36.040 --> 0:16:39.640
<v Speaker 1>And I think the litigation position of the government, the

0:16:39.680 --> 0:16:42.000
<v Speaker 1>federal government and of the Little Sisters is that, well,

0:16:42.280 --> 0:16:44.840
<v Speaker 1>that's what we did after the zoo Bic case, said

0:16:44.840 --> 0:16:46.720
<v Speaker 1>go work it out. We did, and the way we

0:16:46.720 --> 0:16:49.920
<v Speaker 1>worked it out was with these new regulations which provide

0:16:50.480 --> 0:16:54.480
<v Speaker 1>a pretty generous accommodation for those companies, those employers who

0:16:54.600 --> 0:16:57.440
<v Speaker 1>have objections to this. And this litigation has been going

0:16:57.480 --> 0:16:59.720
<v Speaker 1>on now for close to a decade and this is

0:16:59.760 --> 0:17:02.480
<v Speaker 1>an for on our part too to kind of put

0:17:02.520 --> 0:17:05.760
<v Speaker 1>this litigation to a to a halt and to move on,

0:17:06.080 --> 0:17:10.800
<v Speaker 1>recognizing that very few employers have actually tried to invoke it,

0:17:11.280 --> 0:17:13.719
<v Speaker 1>and that you know, for the vast majority of employers

0:17:13.760 --> 0:17:16.320
<v Speaker 1>the contception coverage mandates not a problem. But that's a

0:17:16.359 --> 0:17:19.560
<v Speaker 1>new broad accommodation means that a lot of the litigation,

0:17:19.600 --> 0:17:22.000
<v Speaker 1>which has occupied so much time of court, can kind

0:17:22.000 --> 0:17:24.000
<v Speaker 1>of be put to rest. So I guess that's that's

0:17:24.040 --> 0:17:26.159
<v Speaker 1>what the federal government would say in this case. We

0:17:26.160 --> 0:17:27.639
<v Speaker 1>we did what the court told us to do. In

0:17:27.680 --> 0:17:31.520
<v Speaker 1>the Zoobic opinion. Obviously, there's always a range of options.

0:17:31.640 --> 0:17:35.240
<v Speaker 1>The decision can even either be very narrow or very broad.

0:17:35.720 --> 0:17:38.000
<v Speaker 1>Tell us what some of the options are. I don't

0:17:38.040 --> 0:17:41.600
<v Speaker 1>think there really are any sort of sweeping broad outcomes

0:17:41.640 --> 0:17:43.760
<v Speaker 1>that are on the table. This isn't a case where

0:17:43.760 --> 0:17:47.280
<v Speaker 1>the courts being asked to create a new constitutional right

0:17:47.520 --> 0:17:50.560
<v Speaker 1>or to reverse the precedent having to do with religious

0:17:50.600 --> 0:17:52.399
<v Speaker 1>freedom and so on. I think from the perspective of

0:17:52.440 --> 0:17:54.880
<v Speaker 1>the Little Sisters and of the national government, really all

0:17:54.920 --> 0:17:58.320
<v Speaker 1>they're asking is for the Court to reaffirm that agencies,

0:17:58.320 --> 0:18:01.879
<v Speaker 1>when they're acting within the scope of the authority that

0:18:01.920 --> 0:18:05.840
<v Speaker 1>Congress has given them, have a wide range of discretion. Again,

0:18:05.880 --> 0:18:08.360
<v Speaker 1>the issue here is not whether the religious freedom restoration

0:18:08.359 --> 0:18:11.719
<v Speaker 1>that requires this particular accommodation, but whether it permits it.

0:18:11.800 --> 0:18:14.280
<v Speaker 1>And I think it's likely that it does. Some of

0:18:14.320 --> 0:18:18.760
<v Speaker 1>the arguments against the accommodation, if they were accepted, would

0:18:18.840 --> 0:18:21.560
<v Speaker 1>be a pretty big deal. So there's the arguments that

0:18:21.720 --> 0:18:24.399
<v Speaker 1>made that the First Amendments established from clause does not

0:18:24.600 --> 0:18:29.240
<v Speaker 1>permit governments to accommodate religion if those accommodations would impose

0:18:29.280 --> 0:18:32.280
<v Speaker 1>any substantial costs on third parties, and law professors like

0:18:32.320 --> 0:18:34.920
<v Speaker 1>me and others argue about that position, but I don't

0:18:34.920 --> 0:18:37.080
<v Speaker 1>believe that's the laws that stands, And I think if

0:18:37.280 --> 0:18:39.160
<v Speaker 1>if a majority of the Court were to adopt that,

0:18:39.160 --> 0:18:41.600
<v Speaker 1>that would pretty interesting change. But I don't think that's

0:18:41.640 --> 0:18:43.640
<v Speaker 1>going to happen. So my own view is that there's

0:18:43.720 --> 0:18:46.440
<v Speaker 1>certainly a lot of interest in this case. It's been

0:18:46.560 --> 0:18:48.840
<v Speaker 1>bouncing up and down a long time in the Supreme

0:18:48.840 --> 0:18:50.840
<v Speaker 1>Court and has kind of culture war dimensions and so

0:18:50.960 --> 0:18:55.360
<v Speaker 1>on that as a legal matter, regardless of which side wins,

0:18:55.720 --> 0:19:01.920
<v Speaker 1>it's likely to be on relatively narrow, relatively technical grounds. Now,

0:19:01.960 --> 0:19:05.359
<v Speaker 1>there are some really intriguing possibilities the Court could change

0:19:05.400 --> 0:19:08.800
<v Speaker 1>the rules about standing, for example, whether state governments have

0:19:08.960 --> 0:19:12.159
<v Speaker 1>standing to sue for reasons like the ones the states

0:19:12.160 --> 0:19:15.159
<v Speaker 1>have invoked here. There's an interesting question, like I said earlier,

0:19:15.160 --> 0:19:18.600
<v Speaker 1>about the power of federal courts to issue injunctions that

0:19:18.680 --> 0:19:21.600
<v Speaker 1>cover the whole country. Get A lot of academics and

0:19:21.640 --> 0:19:23.919
<v Speaker 1>others have been thinking a lot about this, But in

0:19:24.040 --> 0:19:27.320
<v Speaker 1>terms of the religious freedom dimension, this case doesn't really

0:19:27.440 --> 0:19:31.280
<v Speaker 1>hold out the prospect of any sweeping changes or innovation.

0:19:31.520 --> 0:19:34.800
<v Speaker 1>Thanks rich That's Richard Garnett of Notre Dame Law School

0:19:35.119 --> 0:19:39.240
<v Speaker 1>coming up next on Bloomberg Law, robot calls and toilet flushes.

0:19:39.359 --> 0:19:44.560
<v Speaker 1>At the Supreme Court arguments, everyone seems to agree that

0:19:44.720 --> 0:19:49.000
<v Speaker 1>no one likes robocalls. Chief Justice John Roberts expressed that

0:19:49.119 --> 0:19:52.919
<v Speaker 1>sentiment during a case on Wednesday in which political groups

0:19:52.960 --> 0:19:56.240
<v Speaker 1>are challenging the exemption to the ban on robo calls

0:19:56.359 --> 0:19:59.400
<v Speaker 1>that allows the collection of government debt. And it's an

0:19:59.400 --> 0:20:03.520
<v Speaker 1>extremely popular law. Nobody wants to get robocalls on their

0:20:03.560 --> 0:20:07.680
<v Speaker 1>cell phone. The idea that Congress would embrace that result

0:20:08.119 --> 0:20:13.000
<v Speaker 1>simply to save this government debt collection, Uh, they'd have

0:20:13.080 --> 0:20:17.840
<v Speaker 1>to be very anxious to be more unpopular, uh than

0:20:18.000 --> 0:20:21.400
<v Speaker 1>they otherwise would be. The court almost made it through

0:20:21.520 --> 0:20:25.560
<v Speaker 1>four live oral arguments by phone without a major mishap,

0:20:25.800 --> 0:20:28.359
<v Speaker 1>but towards the end of these arguments there was the

0:20:28.520 --> 0:20:33.000
<v Speaker 1>unmistakable sound of a toilet flushing live. But the FEC

0:20:33.160 --> 0:20:35.840
<v Speaker 1>has said is that when the subject matter of the

0:20:35.840 --> 0:20:40.119
<v Speaker 1>fault ranges the topic, then the call is transformed. But

0:20:40.240 --> 0:20:43.240
<v Speaker 1>the justices completely ignored the distraction and went on with

0:20:43.280 --> 0:20:46.240
<v Speaker 1>the arguments. Joining me to talk about the substance of

0:20:46.320 --> 0:20:49.440
<v Speaker 1>this case under the Telephone Consumer Protection Act or t

0:20:49.600 --> 0:20:53.160
<v Speaker 1>c p A is Christine Riley, a partner Manette, Phelps

0:20:53.160 --> 0:20:56.320
<v Speaker 1>and Phillips. So Christine tell us about the main issue

0:20:56.320 --> 0:20:59.920
<v Speaker 1>in the case. And the interesting issue about this particular

0:21:00.119 --> 0:21:02.520
<v Speaker 1>argument is it is about the t c p A

0:21:02.880 --> 0:21:06.200
<v Speaker 1>and it is about a specific exemption, but there are

0:21:06.200 --> 0:21:10.480
<v Speaker 1>far broader implications of this particular case. So going back

0:21:10.520 --> 0:21:13.640
<v Speaker 1>to the first question, we're really looking at a very

0:21:13.720 --> 0:21:18.640
<v Speaker 1>specific exemption that was created by Congress in two thousand fifteen,

0:21:19.000 --> 0:21:22.240
<v Speaker 1>and specifically, there was an exemption put into the t

0:21:22.400 --> 0:21:25.440
<v Speaker 1>c p A that would allow calls made to cell

0:21:25.560 --> 0:21:30.800
<v Speaker 1>phones if they concerned federal debt collection, and that was

0:21:30.880 --> 0:21:34.560
<v Speaker 1>carved right into the automated calling the restrictions. The question

0:21:34.600 --> 0:21:37.840
<v Speaker 1>that came up from a political group a a PC

0:21:38.440 --> 0:21:41.760
<v Speaker 1>was basically asking why is that fair? Why is it

0:21:41.960 --> 0:21:46.040
<v Speaker 1>fair to have this exemption that is in favor of

0:21:46.080 --> 0:21:50.119
<v Speaker 1>the federal government debt collection, and that's the exclusion of

0:21:50.240 --> 0:21:53.760
<v Speaker 1>other types of call such as, for example, political calls.

0:21:54.160 --> 0:21:58.040
<v Speaker 1>If political agencies or organizations want to make calls, they

0:21:58.080 --> 0:22:01.080
<v Speaker 1>need special consent under the u c p A if

0:22:01.080 --> 0:22:04.399
<v Speaker 1>they're using some type of automated system. So the question

0:22:04.440 --> 0:22:08.560
<v Speaker 1>in front of the Supremes was is that government debt

0:22:08.600 --> 0:22:13.240
<v Speaker 1>collection exemption constitutional? Is it a violation of the First

0:22:13.280 --> 0:22:16.840
<v Speaker 1>Amendment free speech? And if the answer to that question

0:22:17.080 --> 0:22:21.399
<v Speaker 1>is yes, it is unconstitutional, is the remedy then to

0:22:21.600 --> 0:22:24.919
<v Speaker 1>basically just cut that piece out of the statute and

0:22:25.000 --> 0:22:28.840
<v Speaker 1>go back to the status quo. The broadom implication, of course,

0:22:29.119 --> 0:22:33.080
<v Speaker 1>is an argument being made by the political consultant here

0:22:33.520 --> 0:22:37.560
<v Speaker 1>who say that even if you find this particular exemption

0:22:37.720 --> 0:22:42.119
<v Speaker 1>is unconstitutional, the remedy that they're asking for is that

0:22:42.160 --> 0:22:46.200
<v Speaker 1>the Supreme Court get rid of the entire provision on

0:22:46.359 --> 0:22:51.240
<v Speaker 1>automated calling, rather than just cutting out the part that's bad.

0:22:51.680 --> 0:22:54.159
<v Speaker 1>And that's really where the fight is. Give us a

0:22:54.200 --> 0:22:57.800
<v Speaker 1>feel of what the justices seem to be concerned about.

0:22:58.240 --> 0:23:03.160
<v Speaker 1>There definitely seems to be a pretty prominent concern on

0:23:03.240 --> 0:23:07.160
<v Speaker 1>this particular exemption and whether or not it's what we'd

0:23:07.200 --> 0:23:10.560
<v Speaker 1>consider to be content based, meaning are you making some

0:23:10.600 --> 0:23:15.240
<v Speaker 1>restriction on free speech based on the content of that message?

0:23:15.359 --> 0:23:17.639
<v Speaker 1>And there are lots of questions that get to that

0:23:17.760 --> 0:23:20.879
<v Speaker 1>particular issue, and that's going to be a problem for

0:23:20.960 --> 0:23:24.000
<v Speaker 1>the government because they're going to get in this situation

0:23:24.119 --> 0:23:26.919
<v Speaker 1>where if the Supreme Court is going to say that

0:23:26.960 --> 0:23:30.520
<v Speaker 1>the standards going to be one about strict scrutiny and content,

0:23:30.920 --> 0:23:33.560
<v Speaker 1>there is a good chance of the Supreme Court is

0:23:33.600 --> 0:23:37.880
<v Speaker 1>going to hold that that is fun constitutional, and that's

0:23:37.960 --> 0:23:41.439
<v Speaker 1>really going to be something that then leads itself to

0:23:41.480 --> 0:23:44.719
<v Speaker 1>the second and bigger question on sever ability. Well, this

0:23:44.800 --> 0:23:48.359
<v Speaker 1>Court is known for broad views of the First Amendment.

0:23:48.840 --> 0:23:52.400
<v Speaker 1>So did any of the justices talk about sever ability?

0:23:53.000 --> 0:23:56.440
<v Speaker 1>I think almost every single judge, if not every judge,

0:23:56.920 --> 0:24:00.560
<v Speaker 1>did ask about that particular question. You know. I think

0:24:00.640 --> 0:24:03.680
<v Speaker 1>Justice Alito really put a nice spin on it when

0:24:03.720 --> 0:24:08.040
<v Speaker 1>he came out and said I find the severability question fascinating,

0:24:08.440 --> 0:24:11.399
<v Speaker 1>and Justice Kavanaugh came and said, this case, you know,

0:24:11.440 --> 0:24:14.800
<v Speaker 1>really is about severability. It's about leveling up or leveling

0:24:14.880 --> 0:24:18.520
<v Speaker 1>down on speech. Justice gor Vitch that said, well, why

0:24:18.520 --> 0:24:21.240
<v Speaker 1>can't we just go back to the status quo? Lots

0:24:21.280 --> 0:24:24.159
<v Speaker 1>of justices were noting that the t c p A

0:24:24.280 --> 0:24:28.920
<v Speaker 1>is an extremely popular statute, and Chief Justice Roberts noted

0:24:29.000 --> 0:24:33.200
<v Speaker 1>that in particular, extremely popular statute, and they wondered why

0:24:33.200 --> 0:24:36.240
<v Speaker 1>a statute that's been on the book for over twenty

0:24:36.320 --> 0:24:39.440
<v Speaker 1>years where there has not been this challenge that goes

0:24:39.480 --> 0:24:41.440
<v Speaker 1>to the heart of the t c p A. And

0:24:41.640 --> 0:24:45.439
<v Speaker 1>the question they're asking and grappling with is why not

0:24:45.560 --> 0:24:48.399
<v Speaker 1>just cut it? If there really is a problem on

0:24:48.640 --> 0:24:52.520
<v Speaker 1>it being a content based distinction and that it's not

0:24:52.720 --> 0:24:56.440
<v Speaker 1>in conformity with the Constitution, why is the remedy not

0:24:56.560 --> 0:24:59.359
<v Speaker 1>to just cut it out? And I think that's really

0:24:59.400 --> 0:25:02.240
<v Speaker 1>where the the biggest fight seems to be leaning from

0:25:02.240 --> 0:25:05.400
<v Speaker 1>the justices. Well, there are a lot of controversial cases

0:25:05.440 --> 0:25:08.200
<v Speaker 1>before the court, and this case isn't that well known.

0:25:08.359 --> 0:25:12.959
<v Speaker 1>But you can bet that if the justices allowed robo calls, now,

0:25:13.320 --> 0:25:15.960
<v Speaker 1>that would be one thing that consumers across the country

0:25:15.960 --> 0:25:19.880
<v Speaker 1>would be really upset about. Absolutely. And you know, I've

0:25:19.880 --> 0:25:23.360
<v Speaker 1>always said that this case no matter who you are,

0:25:23.760 --> 0:25:26.800
<v Speaker 1>what work you do, and as a lawyers say, whatever

0:25:26.840 --> 0:25:31.040
<v Speaker 1>side of the vur on, there is a general distaste

0:25:31.160 --> 0:25:36.080
<v Speaker 1>for having unwanted, unexpected calls to your cell phones. And

0:25:36.119 --> 0:25:40.679
<v Speaker 1>I think that theme really resonated with the justices. Many

0:25:40.720 --> 0:25:43.439
<v Speaker 1>of them were making comments like, no one wants to

0:25:43.480 --> 0:25:46.000
<v Speaker 1>get robo calls on their cell phones, and that's from

0:25:46.000 --> 0:25:49.680
<v Speaker 1>the Chief Justice, so don't. Mayor made a whole number

0:25:49.720 --> 0:25:52.920
<v Speaker 1>of comments about how she doesn't like scam robo calls.

0:25:53.400 --> 0:25:57.199
<v Speaker 1>These are issues that everyone can relate to, and I

0:25:57.240 --> 0:26:01.120
<v Speaker 1>think that's really going to pose an issue with this

0:26:01.200 --> 0:26:05.040
<v Speaker 1>particular Supreme Court and deciding whether they take the nuclear

0:26:05.080 --> 0:26:08.600
<v Speaker 1>option of just cutting the guts and the heart out

0:26:08.640 --> 0:26:10.639
<v Speaker 1>of the t c p A. Because you have a

0:26:10.640 --> 0:26:14.199
<v Speaker 1>statue on the book that is extremely popular. It is

0:26:14.480 --> 0:26:18.680
<v Speaker 1>the source of many private class action litigations across the country.

0:26:19.200 --> 0:26:23.120
<v Speaker 1>Consumers rely on it, and the really big debate here

0:26:23.240 --> 0:26:26.480
<v Speaker 1>is are you going to get rid of a statute that,

0:26:26.760 --> 0:26:30.120
<v Speaker 1>for many people in the country is something that they

0:26:30.160 --> 0:26:34.359
<v Speaker 1>feel is very important to their privacy considerations. And that's

0:26:34.440 --> 0:26:36.640
<v Speaker 1>really going to be a tough pill for the Supreme

0:26:36.640 --> 0:26:40.840
<v Speaker 1>Court to swallow the idea of just undoing this portion

0:26:40.880 --> 0:26:42.960
<v Speaker 1>of the t c p A that has been in

0:26:43.000 --> 0:26:47.199
<v Speaker 1>existence for decades now. So how do you think the

0:26:47.320 --> 0:26:50.840
<v Speaker 1>court would be able to get around the obvious First

0:26:50.840 --> 0:26:55.600
<v Speaker 1>Amendment concerns with the A. I think that it's going

0:26:55.640 --> 0:26:58.600
<v Speaker 1>to be difficult for this court to get out of

0:26:58.880 --> 0:27:02.240
<v Speaker 1>the First Amendment is us. There is certainly an appeal

0:27:02.440 --> 0:27:06.080
<v Speaker 1>to the idea that by making a special exception for

0:27:06.160 --> 0:27:10.680
<v Speaker 1>the federal government and debt collection, that you are somehow

0:27:10.840 --> 0:27:14.239
<v Speaker 1>judging the content of those calls. And there is an

0:27:14.240 --> 0:27:17.200
<v Speaker 1>appeal to the idea of why should that be, Why

0:27:17.200 --> 0:27:21.160
<v Speaker 1>should the federal government get a special exception for their

0:27:21.200 --> 0:27:24.840
<v Speaker 1>own debt? What about other commercial actors or even state

0:27:24.920 --> 0:27:28.520
<v Speaker 1>governments that have collection of debt concerns and want to

0:27:28.560 --> 0:27:31.919
<v Speaker 1>make outreach. I think it's going to be difficult for

0:27:31.960 --> 0:27:36.080
<v Speaker 1>them to look at that question and find that that

0:27:36.200 --> 0:27:39.000
<v Speaker 1>it's not on constitutional or another way of saying it is.

0:27:39.280 --> 0:27:41.639
<v Speaker 1>I think it's going to be difficult for them to

0:27:41.760 --> 0:27:44.760
<v Speaker 1>not rule that it is in its violation of First

0:27:44.760 --> 0:27:48.359
<v Speaker 1>Amendment unless they come up with a different way of

0:27:48.480 --> 0:27:51.480
<v Speaker 1>addressing the issue, either or not signing a different standard,

0:27:52.000 --> 0:27:55.560
<v Speaker 1>or as justice of a mayor noted there was also

0:27:55.640 --> 0:27:58.520
<v Speaker 1>this idea of maybe we should remand it back to

0:27:58.560 --> 0:28:02.080
<v Speaker 1>the Fourth Circuit as looking at some alternatives that the

0:28:02.119 --> 0:28:04.840
<v Speaker 1>Fourth Circuit didn't look at. So if they want to

0:28:04.920 --> 0:28:08.920
<v Speaker 1>punt on the constitutional issue, there are ways to do that,

0:28:09.080 --> 0:28:11.520
<v Speaker 1>and one is to throw it back to the Fourth

0:28:11.520 --> 0:28:14.399
<v Speaker 1>Circuit and say, look at another issue and try again,

0:28:14.680 --> 0:28:16.639
<v Speaker 1>tell us a little bit more about what the Fourth

0:28:16.640 --> 0:28:20.399
<v Speaker 1>Circuit decided here. So the Fourth Circuit, just like the

0:28:20.480 --> 0:28:25.920
<v Speaker 1>Ninth Circuit, has decided that this particular exception for federal

0:28:26.080 --> 0:28:30.760
<v Speaker 1>debt collection is unconstitutions it's content based. There's no reason

0:28:30.800 --> 0:28:33.760
<v Speaker 1>why the federal government should be able to get a

0:28:33.800 --> 0:28:37.720
<v Speaker 1>special exemption that other parties don't get to have. That's

0:28:37.720 --> 0:28:40.760
<v Speaker 1>it a violation of free speech. But both of these

0:28:40.760 --> 0:28:43.760
<v Speaker 1>circuits have looked at the same question of what the

0:28:43.840 --> 0:28:47.000
<v Speaker 1>remedies and they both have said the same thing. Just

0:28:47.240 --> 0:28:50.680
<v Speaker 1>sever out the bad part and leave the rest. And

0:28:50.720 --> 0:28:54.080
<v Speaker 1>that's really, I think what the Supreme Court justices are

0:28:54.160 --> 0:28:57.800
<v Speaker 1>looking at. Chief Justice noted that not only is it

0:28:57.800 --> 0:29:01.520
<v Speaker 1>a popular statute, but isn't the the obvious solution here

0:29:01.600 --> 0:29:03.719
<v Speaker 1>just to cut it? But why can't we just go

0:29:03.800 --> 0:29:06.840
<v Speaker 1>back to the status quo? That's really where I think

0:29:07.080 --> 0:29:09.960
<v Speaker 1>we likely end up coming to and where this case

0:29:10.080 --> 0:29:14.240
<v Speaker 1>really gets decided. The political consultants say that they want

0:29:14.280 --> 0:29:17.360
<v Speaker 1>to take surveys and things, how would you do that

0:29:17.440 --> 0:29:21.240
<v Speaker 1>by robocall? So where this question becomes an issue for

0:29:21.320 --> 0:29:25.160
<v Speaker 1>the political consultants is they want the ability to make

0:29:25.200 --> 0:29:29.320
<v Speaker 1>political calls, surveys, or even just delivery of messages to

0:29:29.400 --> 0:29:33.920
<v Speaker 1>your cell phones by using certain automated means, including prerecorded

0:29:34.000 --> 0:29:37.520
<v Speaker 1>voice messages and what we call autodials messages. And the

0:29:37.560 --> 0:29:40.000
<v Speaker 1>reason they want to do that is because it's far

0:29:40.080 --> 0:29:42.880
<v Speaker 1>more efficient to be able to reach a larger number

0:29:42.880 --> 0:29:47.040
<v Speaker 1>of people by using some automation. The problem that they're

0:29:47.080 --> 0:29:51.280
<v Speaker 1>running into is the ccp A has certain restrictions on

0:29:51.560 --> 0:29:55.600
<v Speaker 1>when you can contact folks by phone, And unlike popular beliefs,

0:29:55.600 --> 0:29:59.160
<v Speaker 1>it is not the case that it's just about marketing calls.

0:29:59.160 --> 0:30:03.880
<v Speaker 1>That's actually in correct. There are restrictions on informational or

0:30:04.000 --> 0:30:07.160
<v Speaker 1>political calls made to cellphone. If you want to use

0:30:07.280 --> 0:30:10.680
<v Speaker 1>an autodialer to make a political message to a cell phone,

0:30:11.080 --> 0:30:14.240
<v Speaker 1>you need to have what we call prior express consent.

0:30:14.560 --> 0:30:16.640
<v Speaker 1>In other words, you need to have gotten that phone

0:30:16.680 --> 0:30:20.120
<v Speaker 1>number from someone and they need to have voluntarily provided

0:30:20.160 --> 0:30:22.760
<v Speaker 1>it to you within the scope of why you're calling.

0:30:23.160 --> 0:30:25.560
<v Speaker 1>That's what they're upset about. They don't want to have

0:30:25.680 --> 0:30:27.920
<v Speaker 1>to comply with that. They just want to be able

0:30:27.960 --> 0:30:31.520
<v Speaker 1>to make calls anyway they want without having to worry

0:30:31.520 --> 0:30:35.080
<v Speaker 1>about the ccp A. Thanks Christine, that's Christine Riley, a

0:30:35.200 --> 0:30:38.600
<v Speaker 1>partner Manette Phelps and Phillips. Thanks for listening to the

0:30:38.600 --> 0:30:42.000
<v Speaker 1>Bloomberg Law Podcast. You can subscribe and listen to the

0:30:42.000 --> 0:30:45.920
<v Speaker 1>show on Apple Podcasts, SoundCloud, and on Bloomberg dot com

0:30:46.000 --> 0:30:50.160
<v Speaker 1>slash podcast. I'm June Brasso. This is Bloomberg