WEBVTT - Ghost Guns & NCAA's $2.78 Billion Settlement

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<v Speaker 1>This is Bloomberg Law with June Brusso from Bloomberg Radio.

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<v Speaker 2>These guns were being purchased and used in crime. They

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<v Speaker 2>were sold to be crime guns. There was a one

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<v Speaker 2>thousand percent increase between twenty seventeen and twenty twenty one

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<v Speaker 2>in the number of these guns that were recovered as

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<v Speaker 2>part of criminal investigations. And it makes perfect sense because

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<v Speaker 2>the whole reason why you would want to get your

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<v Speaker 2>hands on one of these unseerialized, untraceable firearms is if

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<v Speaker 2>you are a prohibited person or you want to use

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<v Speaker 2>that gun in a crime.

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<v Speaker 3>US Solicitor General Elizabeth Prelager argued that the Supreme Court

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<v Speaker 3>should uphold the Biden administration's regulation of ghost guns, nearly

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<v Speaker 3>untraceable firearms that can be assembled at home in as

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<v Speaker 3>little as twenty minutes. During oral arguments today, the justices

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<v Speaker 3>grapple with the question of whether ghost guns meet the

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<v Speaker 3>definition of firearm under the Federal Gun Case Act that

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<v Speaker 3>would allow the government to regulate ghost guns in the

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<v Speaker 3>same way it regulates other firearms. The analogies were plentiful.

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<v Speaker 3>Justice Samuel Alito, who seemed skeptical of the government's argument,

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<v Speaker 3>like in gun kits, to cooking ingredients.

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<v Speaker 1>I show you I put out on a counter some eggs,

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<v Speaker 1>some chopped up ham, some chopped up pepper, and onions.

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<v Speaker 1>Is that a Western omelet?

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<v Speaker 2>No, because again those items have well known other uses

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<v Speaker 2>to become something other than an omelet. The key difference

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<v Speaker 2>here is that these weapon parts kits are designed and

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<v Speaker 2>intended to be used as instruments of combat, and they

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<v Speaker 2>have no other conceivable use.

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<v Speaker 3>But Justice amy Cony Barrett jumped in comparing gun kits

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<v Speaker 3>to meal kits.

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<v Speaker 2>I know, preloger, I just want to follow up on

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<v Speaker 2>Justice Alito's question about the omelet. Would your answer change

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<v Speaker 2>if you ordered it from Hello Fresh and you've got

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<v Speaker 2>a kit and it was it's like turkey chili.

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<v Speaker 1>But all of the ingredient answer in the kit?

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<v Speaker 2>Yes.

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<v Speaker 3>Joining me is Kevin Tobia, a professor at Georgetown Law.

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<v Speaker 3>Many people might expect that this is a Second Amendment

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<v Speaker 3>case since it concerns guns, But tell us what the

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<v Speaker 3>question before the court.

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<v Speaker 4>Was here, right, So it's not a secondmendent case. It's

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<v Speaker 4>a statutory case. So it concerns the Gun Control Act

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<v Speaker 4>of nineteen sixty eight, And there's two questions in the case.

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<v Speaker 4>And so both of them involve the meaning of different

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<v Speaker 4>language in this statute. So the first one is about

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<v Speaker 4>a provision of the statute that defines firearm to include

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<v Speaker 4>any weapon which will or is designed to or may

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<v Speaker 4>readily be converted to expel a projectile by the action

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<v Speaker 4>and explosive And so the first question is whether that

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<v Speaker 4>definition encompasses gun parts kits. The second question is about

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<v Speaker 4>another part of the STETSUL definition, which includes firearm to

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<v Speaker 4>also include a frame or receiver of any such weapon.

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<v Speaker 4>So those are the two interpretive questions. And as you say,

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<v Speaker 4>it's second a medic case. So it's in many ways

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<v Speaker 4>it's like last terms case Garland versus Cargol, that bump

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<v Speaker 4>stock case. That was another statutory case that involved questions

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<v Speaker 4>related to firearms law.

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<v Speaker 3>So a lot of the oral argument seemed like sort

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<v Speaker 3>of mind numbing, with the justices discussing, you know, the

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<v Speaker 3>partially assembled guns and the pieces tell us what was

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<v Speaker 3>going on there? Is they you know, tried to explore

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<v Speaker 3>the parts of the gun.

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<v Speaker 4>Yeah, it's a great question, and in some ways it

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<v Speaker 4>may also be reminiscent of again that kind of Cargole

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<v Speaker 4>case about the bump stocks. The opinion in Cargol had

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<v Speaker 4>a lot of technicalities about different parts of the gun.

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<v Speaker 4>So the question that in some ways is actually kind

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<v Speaker 4>of simple, right before you get to like all the

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<v Speaker 4>kind of complexity that they were working through, which is

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<v Speaker 4>what counts as a firearm for this law, right, And

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<v Speaker 4>so these gun parts kits are kits that are sold,

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<v Speaker 4>they're marketed and sold as kits that you couldn't buy

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<v Speaker 4>and assemble and construct into a functional firearm. And so

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<v Speaker 4>you know, a lot of the conversation was drawing analogies

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<v Speaker 4>to different sorts of goods, playing you know, kind of

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<v Speaker 4>with language and trying to understand you know, what counts

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<v Speaker 4>as an omelet or what counts as a table. Right,

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<v Speaker 4>So you know, even before getting to the technicolity's guns, right,

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<v Speaker 4>some of these examples, like Justice Alito offered this example

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<v Speaker 4>kind of hostile to the government's position that if we

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<v Speaker 4>just have you know, peppers and mushrooms and eggs, that's

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<v Speaker 4>not an omelet yet. So in the same way, right,

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<v Speaker 4>like a collection of gun parts is not is not

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<v Speaker 4>a firearm yet. And just as Barrett, actually you're sort

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<v Speaker 4>of responded and said, well, what if those come in

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<v Speaker 4>a in a Hello, fresh kit. We actually might understand

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<v Speaker 4>that as an omelet even though it's not completely assembled yet.

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<v Speaker 4>And you know, the example of Nikia table came up

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<v Speaker 4>as well. So, as you say, right, some of the

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<v Speaker 4>argument got into the technicalities of like what exactly is

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<v Speaker 4>included in these parts kits? What's a frame and receiver.

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<v Speaker 4>It was also interesting that more broadly, a lot of

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<v Speaker 4>the justices were drawing these analogies to other sorts of

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<v Speaker 4>items that were pretty comfortable to call tables even though

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<v Speaker 4>they're unassembled, or omelets even though they're unassembled.

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<v Speaker 3>And it was interesting when the attorney representing the manufacturers

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<v Speaker 3>and gun rights advocates, Peter Patterson, tried to compare these

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<v Speaker 3>ghost gun kits to a hobby quote, just like some

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<v Speaker 3>individuals enjoy working on their car every weekend, some individuals

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<v Speaker 3>want to construct their own firearms. Chief Justice John Roberts said,

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<v Speaker 3>drilling a hole or two, I would think doesn't give

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<v Speaker 3>you the same reward that you get from working on

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<v Speaker 3>your car on the weekends, And then more pointedly said,

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<v Speaker 3>what is the purpose of selling a receiver without the

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<v Speaker 3>holes drilled in?

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<v Speaker 4>Yeah, so I thought that that line of questioning from

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<v Speaker 4>Justice Roberts was really interesting, I think, especially if you're

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<v Speaker 4>trying to read the tea leaves and sort of think

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<v Speaker 4>about where some of these justices will vote. And I

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<v Speaker 4>think Roberts is a kind of important one in this case.

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<v Speaker 4>He asked, if you say, straight up right, like, what's

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<v Speaker 4>the purpose of selling a receiver without the holes drilled

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<v Speaker 4>in it? Interesting question also because it refers to that

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<v Speaker 4>thing as a receiver, right, which arguably it is. And

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<v Speaker 4>you know, one answer from Patterson, representing Vendorstock is you

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<v Speaker 4>know people buy this as a hobbyist, right, in the

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<v Speaker 4>same way you might buy like a collection of unassembled

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<v Speaker 4>parts to make a ship or like a little toy

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<v Speaker 4>ship or model or something, or working on a car

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<v Speaker 4>and you enjoy it. And Justice Roberts really did not

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<v Speaker 4>seem to be buying that answer, right. He said, you know,

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<v Speaker 4>drilling a hole or two like doesn't really give you

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<v Speaker 4>the kind of reward you get from working on your

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<v Speaker 4>car over the weekend. And I think he's exactly right there, right, So,

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<v Speaker 4>like when you look at how these guns are marketed

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<v Speaker 4>as well, these parts kits are not marketed for hobbyists,

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<v Speaker 4>like they're not described by language like this is a

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<v Speaker 4>really leisurely, enjoyable, difficult build.

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<v Speaker 2>Right.

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<v Speaker 4>They're marketed in terms like this is extremely fast and easy,

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<v Speaker 4>this is ridiculously easy, like this is dummy proof, like

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<v Speaker 4>you can do this really fast with no expertise. And

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<v Speaker 4>so I think that analogy that Patterson was trying to

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<v Speaker 4>draw between buyers of these kits and buyers like hobbyists

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<v Speaker 4>just really fell apart. And I think there's a great

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<v Speaker 4>question from Justice Roberts and also give some insight into

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<v Speaker 4>where he might stand on this case.

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<v Speaker 3>Even the justices that you might consider as sort of

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<v Speaker 3>antagonistic to the government's argument, some of the more conservative justices,

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<v Speaker 3>does anyone believe that this is not a kit to

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<v Speaker 3>assemble a gun? I mean, it just seems so op

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<v Speaker 3>VI is what's going on here? Are they just trying

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<v Speaker 3>to look for a loophole to get out of it?

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<v Speaker 4>Yeah, so I think everyone agrees that these are kids

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<v Speaker 4>to be assembled into a gun. You know what kind

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<v Speaker 4>of Vanderstock's argument is that just because of the kid

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<v Speaker 4>that you could assemble into a gun does not in

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<v Speaker 4>fact make it a firearm within the meaning of the statute.

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<v Speaker 4>And so the sort of question, you know is, and

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<v Speaker 4>the government sees the statutory meeting a firearm to include

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<v Speaker 4>these kits, and so you know, one of the kind

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<v Speaker 4>of like interesting thing that kind of came out today

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<v Speaker 4>to your question is like there was some discussion. There

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<v Speaker 4>was a lot of discussion actually about kind of like

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<v Speaker 4>where to draw the line. And I think even Patterson

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<v Speaker 4>conceded that a firearm that's disassembled as a firearm, and

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<v Speaker 4>so the sort of question about like how close does

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<v Speaker 4>it have to be. And so you know, the government's

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<v Speaker 4>argument the ats and with a general plugger, their argument is,

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<v Speaker 4>you know, once it's readily convertible, which these kids they

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<v Speaker 4>think are, or more precisely the sort of APS standard,

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<v Speaker 4>you know, that's good enough. And so the term firearms

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<v Speaker 4>shooting compass these kids which could be readily converted to

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<v Speaker 4>function as firearms very quickly.

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<v Speaker 3>Justice Gorsuch asked questions of a textualist nature. Where do

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<v Speaker 3>you think the textualist analysis gets you here?

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<v Speaker 4>So there's two questions in the case, right, So the

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<v Speaker 4>first one is about whether a parts kit falls under

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<v Speaker 4>the Part.

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<v Speaker 1>A of this statute.

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<v Speaker 4>So any weapon which will is designed to or may

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<v Speaker 4>readily be perverted to expel a projectile by the action explosive.

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<v Speaker 4>As a matter of textualism, I think that question in

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<v Speaker 4>this case is extremely straightforward, that these parts kits fall

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<v Speaker 4>under that language just as part of the ordinary meaning

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<v Speaker 4>of firearm. And then you underscored by the statutory language.

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<v Speaker 4>The statue explicitly contemplates things that could be readily converted

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<v Speaker 4>to expel a projectile, which just seems to be explicitly

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<v Speaker 4>describing things like these parts kits. And in question, the

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<v Speaker 4>sort of second question in the case is about the

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<v Speaker 4>meaning of the frame or receiver of any such weapons

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<v Speaker 4>the statue, and many of Justice Gorsug's questions had to

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<v Speaker 4>do with that second question. So there the question is,

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<v Speaker 4>if these companies sell an eighty percent receiver, which, as

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<v Speaker 4>the government says, you have to drill a few holes

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<v Speaker 4>in to convert this to a one hundred percent functional receiver,

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<v Speaker 4>does that count as a frame or receiver within the

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<v Speaker 4>meaning of the statute? And so, you know, one kind

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<v Speaker 4>of notable fact about the statute is it does not

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<v Speaker 4>have the same sort of readily convertible language when it

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<v Speaker 4>describes frame or receiver. And so Justice Gorsuch was asking

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<v Speaker 4>a number of interesting questions about that, and you know,

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<v Speaker 4>it's kind of going in I think, especially kind of

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<v Speaker 4>post Garland versus Cargill. I would not have kind of

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<v Speaker 4>as a matter of politics, expected Justice Gorsage to be

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<v Speaker 4>favorable to the government in this case, but his questions

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<v Speaker 4>sort of suggested some openness to following the text in

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<v Speaker 4>this case to a place that might not lead to

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<v Speaker 4>the sort of conservative politics. So he was asking, you know,

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<v Speaker 4>when you look at this statue and look at the context,

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<v Speaker 4>every other part of the statute is contemplating convertible parts

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<v Speaker 4>in addition to fully functional parts, and so in that context,

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<v Speaker 4>might we understand frame and receiver kind of just giving

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<v Speaker 4>them the ordinary meaning in that context to also include

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<v Speaker 4>things that are extremely close to functional and frame and receivers.

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<v Speaker 4>I thought it was a really interesting kind of exchange

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<v Speaker 4>between Gorsuch and this was the general from that point.

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<v Speaker 3>So you think that Gorsich might come out on the

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<v Speaker 3>government side here.

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<v Speaker 4>You know, these predictions are always kind of tricky.

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<v Speaker 3>I know I'll make some though, too, So.

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<v Speaker 4>I would say, going into the case, you know, I

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<v Speaker 4>think kind of politics tells you a lot about how

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<v Speaker 4>these cases are going to come out. But after the

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<v Speaker 4>oral argument, I think Justices Robert Barrett Kavanaugh, and Gorsich

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<v Speaker 4>all asked questions that I think were indicating that they

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<v Speaker 4>were taking the text really seriously, and we're I think

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<v Speaker 4>seriously contemplating the persuasive arguments from the government about the

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<v Speaker 4>straightforward textual meaning of the statue. So yes, I think

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<v Speaker 4>all four of them are sort of conceivably votes for

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<v Speaker 4>the government here, as are the.

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<v Speaker 3>Three liberal justices. Of course, before the oral argument, the

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<v Speaker 3>Court intervened twice to allow the regulation to remain in

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<v Speaker 3>place until it issues a decision here, and one time

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<v Speaker 3>it was over the descents of Justices Clarence Thomas, Samuel Alito,

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<v Speaker 3>Neil Gorsich, and Brett Kavanaugh. So a lot of people

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<v Speaker 3>were looking at this and sort of predicting that the

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<v Speaker 3>Chief Justice and Justice Barrett might be the ones to

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<v Speaker 3>side with the liberals here, and that certainly seemed to

0:11:01.240 --> 0:11:03.000
<v Speaker 3>be the case from the oral arguments.

0:11:03.280 --> 0:11:05.480
<v Speaker 4>I think that's right. So I think Justice Barrett as

0:11:05.520 --> 0:11:08.800
<v Speaker 4>always asked them really kind of insightful questions. So when

0:11:08.880 --> 0:11:11.240
<v Speaker 4>Justice Alito was giving these examples about you know, well,

0:11:11.280 --> 0:11:13.400
<v Speaker 4>like if you have like eggs and ham and pepper,

0:11:13.440 --> 0:11:15.560
<v Speaker 4>like is that an omelet, right, Barrett says, well, you know,

0:11:15.720 --> 0:11:17.840
<v Speaker 4>she essentially says, is that the right analogy, right, like

0:11:17.840 --> 0:11:19.800
<v Speaker 4>to a gun parts kit, like if these things are

0:11:19.800 --> 0:11:21.600
<v Speaker 4>all sold together in a Hello Fresh kit, like that

0:11:21.600 --> 0:11:23.679
<v Speaker 4>actually is more like an omelet. And so it's sort

0:11:23.679 --> 0:11:26.640
<v Speaker 4>of an interesting response that seems, you know, again kind

0:11:26.640 --> 0:11:28.880
<v Speaker 4>of as a textual matter, favorable to the government's reading.

0:11:29.040 --> 0:11:31.400
<v Speaker 4>In response to the first question presented Roberts, who I

0:11:31.480 --> 0:11:33.960
<v Speaker 4>mentioned before, right, you know, ask this kind of pointed

0:11:34.040 --> 0:11:36.200
<v Speaker 4>question about what's the purpose of even selling these eighty

0:11:36.240 --> 0:11:38.560
<v Speaker 4>percent receivers, And he did not seem to be buying

0:11:38.600 --> 0:11:40.720
<v Speaker 4>the idea that they were sold for hobbyists, but rather

0:11:41.280 --> 0:11:44.240
<v Speaker 4>the arguments that these are sold, you know, basically for

0:11:44.360 --> 0:11:47.199
<v Speaker 4>teenagers or other people who cannot purchase a normal firearm

0:11:47.600 --> 0:11:50.080
<v Speaker 4>to you know, also potentially commit crimes. So I think

0:11:50.080 --> 0:11:53.640
<v Speaker 4>both Roberts and Barrett their questioning suggests sort of favorability

0:11:53.640 --> 0:11:56.240
<v Speaker 4>with the government's reading. And then surprisingly, I think, you know,

0:11:56.280 --> 0:11:58.920
<v Speaker 4>in light of the stay decision, Justice Kavanaugh right said

0:11:58.960 --> 0:12:02.040
<v Speaker 4>today to the government, your statutory interpretation has forced So

0:12:02.120 --> 0:12:05.800
<v Speaker 4>Justice Kavanaugh seemed also pretty persuaded by a lot of

0:12:05.800 --> 0:12:07.520
<v Speaker 4>what the government had to say. And as I was

0:12:07.520 --> 0:12:10.319
<v Speaker 4>discussing previously, Justice Gorsich was asking a number of questions

0:12:10.360 --> 0:12:12.679
<v Speaker 4>that suggested that his reading of the text seemed to

0:12:12.720 --> 0:12:15.080
<v Speaker 4>overlap quite a bit with the government. So I was

0:12:15.080 --> 0:12:17.240
<v Speaker 4>surprised by those latter two given the vote.

0:12:17.040 --> 0:12:17.480
<v Speaker 1>On this day.

0:12:17.679 --> 0:12:19.560
<v Speaker 4>But it was interesting to see all four of those

0:12:19.640 --> 0:12:22.320
<v Speaker 4>justices asking questions at least kind of suggested that they're

0:12:22.320 --> 0:12:23.600
<v Speaker 4>reading the text in that way as well.

0:12:23.679 --> 0:12:26.720
<v Speaker 3>Coming up, but what about the Supreme Court's recent decision

0:12:26.920 --> 0:12:29.760
<v Speaker 3>tossing out a ban on bump stock. This is bloomberg.

0:12:32.040 --> 0:12:35.719
<v Speaker 3>The Supreme Court seems likely to uphold a Biden administration

0:12:36.000 --> 0:12:40.520
<v Speaker 3>regulation on ghost guns, the difficult to trace weapons found

0:12:40.559 --> 0:12:44.160
<v Speaker 3>in increasing numbers at crime scenes. I've been talking to

0:12:44.200 --> 0:12:48.800
<v Speaker 3>Professor Kevin Tobia of Georgetown Law. So the Solicitor General

0:12:48.920 --> 0:12:54.160
<v Speaker 3>mentioned several times the explosion in crimes committed using ghost

0:12:54.280 --> 0:12:58.360
<v Speaker 3>guns and that the new regulations are crucial for solving

0:12:58.400 --> 0:13:01.400
<v Speaker 3>gun crimes. And also you had a group of twenty

0:13:01.480 --> 0:13:05.120
<v Speaker 3>major cities filing with the Supreme Court saying that the

0:13:05.160 --> 0:13:08.880
<v Speaker 3>regulation appears to have been effective at reducing the use

0:13:08.920 --> 0:13:12.240
<v Speaker 3>of ghost guns. Where does that fit into the Supreme

0:13:12.280 --> 0:13:16.800
<v Speaker 3>Court's analysis, especially if it's a textualist analysis.

0:13:17.200 --> 0:13:19.320
<v Speaker 4>So that's interesting so right. So, you know, if you

0:13:19.360 --> 0:13:23.120
<v Speaker 4>think about textualism sort of as stated, with the idea

0:13:23.160 --> 0:13:25.480
<v Speaker 4>that the court will resolve this question just by looking

0:13:25.520 --> 0:13:28.640
<v Speaker 4>at the statutory text and giving that language the meaning

0:13:28.679 --> 0:13:31.000
<v Speaker 4>it would have in the eyes of an ordinary reader,

0:13:31.640 --> 0:13:35.079
<v Speaker 4>you might think those conserations about the practical consequences are irrelevant.

0:13:35.120 --> 0:13:37.920
<v Speaker 4>Like that's exactly the sort of political, you know, consequential

0:13:37.960 --> 0:13:40.720
<v Speaker 4>decisions that they're trying to screen off with textualism. So

0:13:40.920 --> 0:13:43.520
<v Speaker 4>what's interesting is if that's right after today, it looks

0:13:43.559 --> 0:13:45.760
<v Speaker 4>like actually a majority of the justices are inclined to

0:13:45.760 --> 0:13:48.040
<v Speaker 4>read the text in line with the government. That would

0:13:48.040 --> 0:13:51.520
<v Speaker 4>be the three Democratic appointees and then potentially Roberts, Kavanaugh,

0:13:51.800 --> 0:13:57.200
<v Speaker 4>Barrett Gorsich. I think Roberts in particular was responsive to

0:13:57.360 --> 0:14:00.840
<v Speaker 4>some of the government's arguments about the practical consequences kind

0:14:00.840 --> 0:14:02.920
<v Speaker 4>of over and above the text, right to this idea

0:14:02.960 --> 0:14:05.240
<v Speaker 4>that and there's a kind of relationship between the consequences

0:14:05.280 --> 0:14:05.600
<v Speaker 4>and the text.

0:14:05.679 --> 0:14:05.800
<v Speaker 2>Right.

0:14:05.840 --> 0:14:08.679
<v Speaker 4>So, currently, federal law prohibits selling firearms to twenty one

0:14:08.720 --> 0:14:11.840
<v Speaker 4>year olds. It requires backgrounds, text serialization, all these requirements,

0:14:12.280 --> 0:14:16.280
<v Speaker 4>and if the court decides that these kits are not firearms, right,

0:14:16.280 --> 0:14:18.680
<v Speaker 4>those requirements will not apply at the federal level. And

0:14:18.760 --> 0:14:21.080
<v Speaker 4>so there's a real concern right that, again, if people

0:14:21.120 --> 0:14:23.080
<v Speaker 4>who are buying these kits are not hobbyists but rather

0:14:23.120 --> 0:14:26.080
<v Speaker 4>people who just want a firearm, there's a real circumvention

0:14:26.200 --> 0:14:28.880
<v Speaker 4>concern that, you know, basically all of the law that

0:14:29.360 --> 0:14:33.440
<v Speaker 4>would apply to firearm regulation, you know, effectively is meaningless

0:14:33.880 --> 0:14:35.960
<v Speaker 4>because someone could just get a ghost gun and build

0:14:35.960 --> 0:14:38.360
<v Speaker 4>their own kit in twenty minutes or however long it takes.

0:14:38.560 --> 0:14:40.320
<v Speaker 4>And so, you know, some of Robert's questions, I think

0:14:40.520 --> 0:14:43.120
<v Speaker 4>we're very much kind of responsive to that set of

0:14:43.480 --> 0:14:46.840
<v Speaker 4>concerns and the principle that if you read the statute

0:14:46.880 --> 0:14:48.400
<v Speaker 4>and in sort of that way the way van Astock

0:14:48.440 --> 0:14:51.560
<v Speaker 4>wants it to, you'll render you a big chunk of

0:14:51.760 --> 0:14:54.680
<v Speaker 4>federal law meaningless. And so I think that that was

0:14:54.720 --> 0:14:56.440
<v Speaker 4>also a point that was un besides but both of

0:14:56.480 --> 0:14:59.200
<v Speaker 4>us those are general but then also by Justice Roberts

0:14:59.240 --> 0:15:01.680
<v Speaker 4>in some of his his questions, was.

0:15:01.640 --> 0:15:06.280
<v Speaker 3>There any argument about agency power and whether Congress gave

0:15:06.320 --> 0:15:10.560
<v Speaker 3>the ATF the power to change the definition of firearms

0:15:10.600 --> 0:15:11.760
<v Speaker 3>to cover these kits?

0:15:12.120 --> 0:15:14.680
<v Speaker 4>There was like sort of scattered discussion of that question

0:15:14.760 --> 0:15:18.120
<v Speaker 4>throughout the oral argument. You know, just just as Jackson

0:15:18.160 --> 0:15:21.960
<v Speaker 4>and I think in particular with asking an intriguing series

0:15:21.960 --> 0:15:24.360
<v Speaker 4>of questions that are you sort of think of as

0:15:24.360 --> 0:15:26.640
<v Speaker 4>like in a Postloper Bright world. She was asking questions

0:15:26.680 --> 0:15:29.440
<v Speaker 4>about like what's the court's role, what's Congress role, what's

0:15:29.480 --> 0:15:32.359
<v Speaker 4>agency's role. I'm not really sure how much those considerations

0:15:32.400 --> 0:15:35.000
<v Speaker 4>are going to sort of ultimately make a difference here.

0:15:35.000 --> 0:15:36.680
<v Speaker 4>I have a feeling that, you know, the court is

0:15:36.720 --> 0:15:38.400
<v Speaker 4>just going to kind of proceed and treat this as

0:15:38.400 --> 0:15:41.120
<v Speaker 4>a sort of stastal interpretation case. There's no invocation of

0:15:41.520 --> 0:15:44.000
<v Speaker 4>major questions, doctrine and those sorts of concerns at least

0:15:44.000 --> 0:15:46.600
<v Speaker 4>explicitly with all those questions, right, I'm sort of waiting,

0:15:46.640 --> 0:15:49.480
<v Speaker 4>as with everyone else, kind of what interpretation and what

0:15:49.520 --> 0:15:51.200
<v Speaker 4>will look like in a post Looper world. I mean,

0:15:51.200 --> 0:15:53.840
<v Speaker 4>there's some emphasis from the vander Stock side as well.

0:15:53.880 --> 0:15:56.800
<v Speaker 4>There's some dispute about like did the ATF change their

0:15:56.840 --> 0:15:59.960
<v Speaker 4>interpretation over time? So solicars and our player Leger describe

0:16:00.200 --> 0:16:03.600
<v Speaker 4>the ATFS approach as very much consistent. Right, So there's

0:16:03.600 --> 0:16:07.920
<v Speaker 4>actually nothing dramatically new about the ATF. They've always been

0:16:08.440 --> 0:16:12.400
<v Speaker 4>attempting to categorize as firearms weapons that are extremely close

0:16:12.440 --> 0:16:14.360
<v Speaker 4>and what's changed is just the state of the world. Right,

0:16:14.360 --> 0:16:16.960
<v Speaker 4>there's now these parts kits that are readily convertible to

0:16:17.040 --> 0:16:20.520
<v Speaker 4>functional firearms that didn't exist, you know, at that scale

0:16:20.520 --> 0:16:22.600
<v Speaker 4>in nineteen sixty eight. So there's a little bit of

0:16:22.600 --> 0:16:24.200
<v Speaker 4>back and forth about that question. Some of the most

0:16:24.240 --> 0:16:26.720
<v Speaker 4>interesting discussions was Justice Jacksonville, though I'm not sure we

0:16:26.800 --> 0:16:28.520
<v Speaker 4>got a kind of complete answer and certainly not that a

0:16:28.520 --> 0:16:31.640
<v Speaker 4>complete answer from the CORD about yet, what interpretation is

0:16:31.640 --> 0:16:34.240
<v Speaker 4>going to look like in the in the post Sloper world.

0:16:34.640 --> 0:16:37.360
<v Speaker 3>So tell me, I know you wrote a brief in

0:16:37.360 --> 0:16:38.880
<v Speaker 3>the case in Amicus priest.

0:16:38.920 --> 0:16:40.560
<v Speaker 4>In this case and some others. I've been working with

0:16:40.680 --> 0:16:43.520
<v Speaker 4>linguists to you know, one way Ton't kind of think

0:16:43.520 --> 0:16:46.200
<v Speaker 4>about what we're doing is, you know, mirroring what historians

0:16:46.200 --> 0:16:51.320
<v Speaker 4>are doing for originalism with linguistics intextualism. Right, So the

0:16:51.360 --> 0:16:53.560
<v Speaker 4>CORD is going to approach this case. I think today's

0:16:53.600 --> 0:16:55.520
<v Speaker 4>oral argument clarifies they're going to purchase the case as

0:16:55.520 --> 0:16:58.920
<v Speaker 4>textualists trying to give the language its ordinary meaning. And

0:16:59.480 --> 0:17:02.600
<v Speaker 4>there's you know, decades of work in linguistics that would

0:17:02.640 --> 0:17:05.000
<v Speaker 4>be relevant to that sort of linguistic question. Right, like,

0:17:05.240 --> 0:17:07.440
<v Speaker 4>what does the mean? What's the ordinary meaning of firearm?

0:17:07.520 --> 0:17:09.359
<v Speaker 4>You know, how do we use that and understand that

0:17:09.400 --> 0:17:12.200
<v Speaker 4>in ordinary context? And so in this case, I worked

0:17:12.240 --> 0:17:14.560
<v Speaker 4>with a group of linguists to do a couple of things.

0:17:14.760 --> 0:17:17.679
<v Speaker 4>I'll just kind of mention two. One is, you know,

0:17:17.680 --> 0:17:19.920
<v Speaker 4>we just looked at just in kind of in context,

0:17:19.920 --> 0:17:22.199
<v Speaker 4>like how do people use the term firearm and especially

0:17:22.280 --> 0:17:25.840
<v Speaker 4>how do the buyers and sellers of these terms describe them?

0:17:26.280 --> 0:17:27.720
<v Speaker 4>And one thing that's you know, might be sort of

0:17:27.720 --> 0:17:30.000
<v Speaker 4>surprising is that at least some of the marketers and

0:17:30.040 --> 0:17:33.840
<v Speaker 4>sellers of these gun parts kids just explicitly describes on

0:17:33.880 --> 0:17:36.199
<v Speaker 4>this firearms. They don't say like these these are just

0:17:36.240 --> 0:17:38.040
<v Speaker 4>these are mere parts that could be a firearm. They

0:17:38.080 --> 0:17:39.679
<v Speaker 4>say this, you know, this is a firearm. This is

0:17:39.680 --> 0:17:41.879
<v Speaker 4>a gun, This is a rifle. And so, you know,

0:17:41.960 --> 0:17:43.399
<v Speaker 4>part of the point that we make in the brief

0:17:43.480 --> 0:17:47.080
<v Speaker 4>is it just seems like even the sellers and also

0:17:47.080 --> 0:17:50.720
<v Speaker 4>buyers of these kids in their customer reviews, understand these

0:17:50.800 --> 0:17:53.680
<v Speaker 4>to be firearms, even though they're like technically not assembled

0:17:53.960 --> 0:17:56.240
<v Speaker 4>or technically not finish. You got an eighty percent receiver

0:17:56.359 --> 0:17:58.439
<v Speaker 4>that's you know, requires a little bit of drilling. The

0:17:58.440 --> 0:18:00.719
<v Speaker 4>second thing we did is we ran a survey of

0:18:00.800 --> 0:18:03.960
<v Speaker 4>ordinary Americans. So we presented participants in a survey study

0:18:04.000 --> 0:18:06.360
<v Speaker 4>with a description of gun parts kits and ask them

0:18:06.359 --> 0:18:08.399
<v Speaker 4>whether they thought it's a firearm, and we found them

0:18:08.440 --> 0:18:11.040
<v Speaker 4>that the majority of participants said yes. And so you know,

0:18:11.119 --> 0:18:13.119
<v Speaker 4>this and some other kind of work in linguistics, I

0:18:13.119 --> 0:18:14.760
<v Speaker 4>think just kind of like fills in I think the

0:18:14.760 --> 0:18:17.119
<v Speaker 4>background for the quarter. That's what we're hoping to do

0:18:17.200 --> 0:18:19.600
<v Speaker 4>anyway with our brief that you know, to interpret the

0:18:19.640 --> 0:18:22.000
<v Speaker 4>statue here, the term firearm to include these parts kit

0:18:22.480 --> 0:18:25.520
<v Speaker 4>is completely consistent with how we ordinarily understand terms like that,

0:18:25.840 --> 0:18:28.600
<v Speaker 4>and it's also nothing special about firearms. So in lots

0:18:28.600 --> 0:18:32.480
<v Speaker 4>of different contexts we understand categories like these artifact nouns

0:18:32.520 --> 0:18:36.280
<v Speaker 4>like firearm, table, bicycle to include members that are like

0:18:36.400 --> 0:18:39.359
<v Speaker 4>not perfectly complete. And so you know, if you buy

0:18:39.920 --> 0:18:42.160
<v Speaker 4>a table from Ikia, as an example, the government has

0:18:42.520 --> 0:18:44.359
<v Speaker 4>kind of invoked, I think effectively, if you buy a

0:18:44.359 --> 0:18:46.760
<v Speaker 4>table from Ikia that's not assembled, but it's still a

0:18:46.760 --> 0:18:48.920
<v Speaker 4>table even though you have to put it together. If

0:18:48.920 --> 0:18:51.920
<v Speaker 4>you buy a customizable belt and you have to punch

0:18:51.920 --> 0:18:54.040
<v Speaker 4>holes in it, you got to buy the extra tool

0:18:54.080 --> 0:18:56.000
<v Speaker 4>and actually like drill kind of punch the hole in

0:18:56.040 --> 0:18:58.520
<v Speaker 4>the belt yourself. We still understand that you bought a belt,

0:18:59.080 --> 0:19:00.760
<v Speaker 4>and so you know, that's all part of the point

0:19:00.760 --> 0:19:02.560
<v Speaker 4>that for the Court to give this the such of

0:19:02.600 --> 0:19:05.200
<v Speaker 4>this interpretation, it's not like there's something sort of special

0:19:05.280 --> 0:19:09.880
<v Speaker 4>or dispointive about firearm, although there are also clear signs

0:19:09.920 --> 0:19:12.520
<v Speaker 4>in this statute that that's the meaning that Congress was

0:19:12.560 --> 0:19:13.399
<v Speaker 4>really underscoring.

0:19:13.960 --> 0:19:18.040
<v Speaker 3>You mentioned the Cargol case, where just a few months ago,

0:19:18.800 --> 0:19:22.800
<v Speaker 3>the Supreme Court, in a six to three decision, tossed

0:19:22.800 --> 0:19:26.720
<v Speaker 3>out a ban on bump stocks, the device that lets

0:19:26.720 --> 0:19:31.080
<v Speaker 3>semi automatic weapons fire as rapidly as a machine gun.

0:19:31.840 --> 0:19:37.800
<v Speaker 3>Does that case have implications for this ghost guns case?

0:19:38.359 --> 0:19:41.800
<v Speaker 4>So, going into the oral argument, I think, especially if

0:19:41.840 --> 0:19:45.199
<v Speaker 4>you think that the Court's decision is primarily driven by

0:19:45.200 --> 0:19:47.800
<v Speaker 4>politics and not actually by textualism, which is a view

0:19:47.840 --> 0:19:50.679
<v Speaker 4>that many people have, then it's very plausible that this

0:19:50.760 --> 0:19:53.200
<v Speaker 4>case comes out in this six to three way Garland

0:19:53.240 --> 0:19:56.359
<v Speaker 4>versus Cargol did with the six conservative justices together in

0:19:56.359 --> 0:19:59.600
<v Speaker 4>the three liberals dissent, And so that case it actually

0:19:59.640 --> 0:20:03.320
<v Speaker 4>considered different firearm statue. So it concerns the definition of

0:20:03.359 --> 0:20:06.919
<v Speaker 4>machine gun and these bumpstock devices. So that's the device

0:20:06.960 --> 0:20:09.320
<v Speaker 4>that was used in the twenty seventeen Laus Veig is shooting,

0:20:09.720 --> 0:20:12.359
<v Speaker 4>most deadly shooting in the US history. And so the

0:20:12.640 --> 0:20:15.320
<v Speaker 4>kind of technical definition of machine gun is any weapon

0:20:15.520 --> 0:20:18.239
<v Speaker 4>in the statue, any weapon which shoots automatically more than

0:20:18.280 --> 0:20:21.399
<v Speaker 4>one shot without manually reloading by a single function of

0:20:21.400 --> 0:20:23.399
<v Speaker 4>the trigger. And so basically the bump stock is a

0:20:23.400 --> 0:20:25.880
<v Speaker 4>device that you could attach to semi automatic that will

0:20:25.960 --> 0:20:28.080
<v Speaker 4>basically make the gun fire at the rate of a

0:20:28.119 --> 0:20:30.640
<v Speaker 4>machine gun. And so the whole debate in that case,

0:20:30.680 --> 0:20:32.120
<v Speaker 4>and this is kind of getting back to your first

0:20:32.160 --> 0:20:34.639
<v Speaker 4>question about like all the technicalities of a gun, Like

0:20:34.760 --> 0:20:37.879
<v Speaker 4>that opinion actually included diagrams of guns and the trigger

0:20:37.920 --> 0:20:40.159
<v Speaker 4>and like how it functions, and so basically the conservatives

0:20:40.240 --> 0:20:42.960
<v Speaker 4>read that definition single function of the trigger to mean

0:20:42.960 --> 0:20:45.439
<v Speaker 4>that the trigger kind of presses and depress, and the

0:20:45.440 --> 0:20:47.440
<v Speaker 4>way the bump stock works, like the trigger actually presses

0:20:47.480 --> 0:20:50.800
<v Speaker 4>and depresses every single time. The liberals read single function

0:20:50.880 --> 0:20:53.320
<v Speaker 4>of the trigger to mean, you know, one initial pull,

0:20:53.320 --> 0:20:55.399
<v Speaker 4>like what's the function of the trigger, Someone the user

0:20:55.400 --> 0:20:57.960
<v Speaker 4>of the gun pulls the trigger, and then everything you know,

0:20:58.000 --> 0:21:01.399
<v Speaker 4>and then it fires essentially automatic. You know, it's an

0:21:01.400 --> 0:21:03.760
<v Speaker 4>interesting and kind of complicated case. I mean, I think

0:21:04.080 --> 0:21:06.199
<v Speaker 4>the simplest thing to say about it is, wherever you

0:21:06.240 --> 0:21:08.399
<v Speaker 4>come out on Garland versus Cargo, whether it's sort of

0:21:08.400 --> 0:21:11.520
<v Speaker 4>easy or difficult case. Textually, the case that they heard today,

0:21:11.600 --> 0:21:14.200
<v Speaker 4>Vanderstock as a matter of language is like just much

0:21:14.240 --> 0:21:17.800
<v Speaker 4>more straightforward, And you know, I think it's reassuring actually

0:21:17.880 --> 0:21:20.800
<v Speaker 4>that the court's oral argument, many of the questions, especially

0:21:20.840 --> 0:21:23.760
<v Speaker 4>from Barrett and Roberts and Corsach in Kavandah, really seem

0:21:23.800 --> 0:21:26.240
<v Speaker 4>to recognize that fact, right, you know, especially the first

0:21:26.320 --> 0:21:29.160
<v Speaker 4>question and also the second. These gun part kits are

0:21:29.200 --> 0:21:32.440
<v Speaker 4>firearms in ordinary English, and then the statute explicitly talks

0:21:32.480 --> 0:21:35.919
<v Speaker 4>about weapons that could be readily converted to expel a projectile,

0:21:36.119 --> 0:21:38.520
<v Speaker 4>which you know also really underscores that these sort of

0:21:38.600 --> 0:21:41.280
<v Speaker 4>kits are included. And the context indicates the same with

0:21:41.320 --> 0:21:43.840
<v Speaker 4>the frame of receivers. And so, you know, sorry, long answer,

0:21:43.840 --> 0:21:45.800
<v Speaker 4>but I guess just to say for this oral argument,

0:21:45.840 --> 0:21:47.520
<v Speaker 4>I think if you think the core is a primarily

0:21:47.520 --> 0:21:50.600
<v Speaker 4>a political actor, you see the Bumpstock case, you think

0:21:50.600 --> 0:21:51.840
<v Speaker 4>this is going to come out the same way. Six

0:21:51.920 --> 0:21:54.160
<v Speaker 4>y three after the oral argument, I've got a little

0:21:54.200 --> 0:21:56.080
<v Speaker 4>more hope that the Court's going to follow the text,

0:21:56.160 --> 0:21:58.840
<v Speaker 4>although time will tell. We'll find out sometime next year.

0:21:59.000 --> 0:22:02.520
<v Speaker 3>It'll be an interesting decision to read. Thank you so much, Kevin.

0:22:02.800 --> 0:22:07.080
<v Speaker 3>That's Kevin Tobia of Georgetown Law. A note. Michael Bloomberg,

0:22:07.200 --> 0:22:10.639
<v Speaker 3>the founder and majority owner of Bloomberg LP, the parent

0:22:10.720 --> 0:22:13.959
<v Speaker 3>company of Bloomberg Radio, is a donor to groups that

0:22:14.040 --> 0:22:19.160
<v Speaker 3>support gun control, including Every Town for Gun Safety. Coming

0:22:19.240 --> 0:22:23.359
<v Speaker 3>up next on the Bloomberg Law Show. The NCAA's two

0:22:23.400 --> 0:22:28.080
<v Speaker 3>point seventy eight billion dollar settlement with colleges over student

0:22:28.160 --> 0:22:34.080
<v Speaker 3>athletes gets a judge's preliminary approval. A judge has granted

0:22:34.160 --> 0:22:37.960
<v Speaker 3>preliminary approval to the two point seventy eight billion dollar

0:22:38.080 --> 0:22:42.879
<v Speaker 3>legal settlement that would transform college sports by allowing schools

0:22:42.920 --> 0:22:48.040
<v Speaker 3>to pay players. For decades, student athletes played for scholarships,

0:22:48.080 --> 0:22:51.880
<v Speaker 3>a few expenses, and little else, while coaches and athletic

0:22:51.920 --> 0:22:55.439
<v Speaker 3>departments brought in millions. This settlement would set up a

0:22:55.520 --> 0:22:59.840
<v Speaker 3>revenue sharing arrangement between schools and athletes, putting millions of

0:23:00.200 --> 0:23:04.480
<v Speaker 3>dollars into the pockets of college athletes. Joining me is

0:23:04.560 --> 0:23:08.600
<v Speaker 3>James Nusbaum a partner at Church Church Hill and Antrim

0:23:08.600 --> 0:23:12.320
<v Speaker 3>with a practice in sports and higher education law. He's

0:23:12.480 --> 0:23:16.720
<v Speaker 3>also a former college athlete who played football at Northwestern.

0:23:17.200 --> 0:23:21.080
<v Speaker 3>James explain how this settlement will work, and perhaps you

0:23:21.119 --> 0:23:26.800
<v Speaker 3>should start with an explanation of name, image and likeness

0:23:27.400 --> 0:23:30.760
<v Speaker 3>just in case someone hasn't been paying attention closely to

0:23:30.800 --> 0:23:31.359
<v Speaker 3>this area.

0:23:31.960 --> 0:23:34.879
<v Speaker 1>Name, image and likeness is a unique term that was

0:23:34.960 --> 0:23:39.440
<v Speaker 1>crafted by the NCAA. I think what it's normally known

0:23:39.480 --> 0:23:43.840
<v Speaker 1>as for attorneys, particularly those that work with intellectual property

0:23:43.920 --> 0:23:48.000
<v Speaker 1>as rights of publicity. So the idea that any person

0:23:48.240 --> 0:23:52.840
<v Speaker 1>has the right to control how their name, how their image,

0:23:52.840 --> 0:23:56.399
<v Speaker 1>how their likeness is used to endorse products or in

0:23:56.400 --> 0:24:00.320
<v Speaker 1>this case, endorse athletic departments and promote the team teams

0:24:00.320 --> 0:24:04.120
<v Speaker 1>and the schedules and the games, which leads to revenue

0:24:04.160 --> 0:24:10.160
<v Speaker 1>that the schools and even the NCAAA through its championships receive.

0:24:10.800 --> 0:24:13.560
<v Speaker 1>The schools and the NCAA were able to profit off

0:24:13.600 --> 0:24:16.560
<v Speaker 1>of the students rights of publicity, but the students weren't,

0:24:16.680 --> 0:24:19.520
<v Speaker 1>and so a couple of years ago, the NCAA changed

0:24:19.560 --> 0:24:23.200
<v Speaker 1>their rules regarding whether or not students could profit off

0:24:23.200 --> 0:24:25.119
<v Speaker 1>their name images like that, So you might hear it

0:24:25.160 --> 0:24:28.720
<v Speaker 1>called their nil. So now these lawsuits, many of them,

0:24:28.760 --> 0:24:32.440
<v Speaker 1>have popped up alleging that students before the rule change

0:24:32.440 --> 0:24:35.080
<v Speaker 1>should have also been able to profit from their name,

0:24:35.119 --> 0:24:39.040
<v Speaker 1>image and likeness. And so this lawsuit ultimately tries to

0:24:39.080 --> 0:24:43.560
<v Speaker 1>resolve three different lawsuits. One of them is related to

0:24:43.640 --> 0:24:46.400
<v Speaker 1>those name, image, and likeness payments, and the other two

0:24:46.400 --> 0:24:49.680
<v Speaker 1>are related to student athletes alleging that they should have

0:24:49.720 --> 0:24:53.480
<v Speaker 1>been compensated generally for their participation in athletics, and the

0:24:53.520 --> 0:24:57.359
<v Speaker 1>other one for Alston back payments. So that's the case

0:24:57.400 --> 0:24:59.879
<v Speaker 1>that went to the Supreme Court and said that student

0:25:00.000 --> 0:25:04.840
<v Speaker 1>athletes could receive up to approximately six thousand dollars for

0:25:05.119 --> 0:25:07.760
<v Speaker 1>other educational related expenses.

0:25:08.520 --> 0:25:12.720
<v Speaker 3>So let's say a school as a star football team.

0:25:13.480 --> 0:25:18.080
<v Speaker 3>Which athletes on the football team get to partake in this?

0:25:18.160 --> 0:25:21.199
<v Speaker 3>I mean, suppose you have some who are famous and

0:25:21.280 --> 0:25:22.880
<v Speaker 3>some who are sitting on the bench.

0:25:23.440 --> 0:25:27.119
<v Speaker 1>It's a great question. So there's three primary components of

0:25:27.200 --> 0:25:30.280
<v Speaker 1>the settlement. The first ones the BACKPAI damages to former

0:25:30.320 --> 0:25:34.760
<v Speaker 1>student athletes for their lost name, image, and likeness opportunities

0:25:34.800 --> 0:25:38.359
<v Speaker 1>that student athletes weren't able to be compensated for during

0:25:38.359 --> 0:25:42.160
<v Speaker 1>their time as student athletes. The other two or forward looking.

0:25:42.800 --> 0:25:46.600
<v Speaker 1>One of those is an expansion of benefits that can

0:25:46.640 --> 0:25:51.040
<v Speaker 1>be paid to student athletes. So there's an increased benefits

0:25:51.080 --> 0:25:55.600
<v Speaker 1>pool where colleges that choose to opt into the settlement.

0:25:55.640 --> 0:25:57.959
<v Speaker 1>They don't have to opt in, but those that choose

0:25:58.000 --> 0:26:01.320
<v Speaker 1>to participate in the provisions of the settlement are able

0:26:01.400 --> 0:26:06.080
<v Speaker 1>to give expanded financial and other benefits to their student athletes.

0:26:06.119 --> 0:26:11.080
<v Speaker 1>So those amounts are capped at twenty two percent of

0:26:11.240 --> 0:26:17.120
<v Speaker 1>the average revenue of the autonomy five conferences and Notre Dame.

0:26:17.640 --> 0:26:22.280
<v Speaker 1>Your question was which students are given those benefits. Really,

0:26:22.320 --> 0:26:25.960
<v Speaker 1>there's no rules in the settlement. There's no guidance in

0:26:26.000 --> 0:26:30.240
<v Speaker 1>the settlement about which student athletes receive those benefits. As

0:26:30.240 --> 0:26:34.240
<v Speaker 1>you can imagine, the sports that generate the most revenue

0:26:34.520 --> 0:26:37.800
<v Speaker 1>tend to be the sports where the vast majority of

0:26:37.840 --> 0:26:41.720
<v Speaker 1>the quote, name, image and likeness money is currently going,

0:26:42.040 --> 0:26:46.960
<v Speaker 1>so football, men's basketball, some women's basketball. There are definitely

0:26:47.000 --> 0:26:51.760
<v Speaker 1>student athletes that are influencers on social media or otherwise

0:26:51.800 --> 0:26:56.479
<v Speaker 1>cultivated a brand that has monetary value associated with it

0:26:56.560 --> 0:27:00.080
<v Speaker 1>that are not necessarily in those three primary sports. The

0:27:00.160 --> 0:27:04.240
<v Speaker 1>vast majority of nil money has been going to football,

0:27:04.280 --> 0:27:07.480
<v Speaker 1>players and men's basketball players, so those are likely to

0:27:07.560 --> 0:27:11.399
<v Speaker 1>be the students that received the highest proportion of the

0:27:11.480 --> 0:27:14.200
<v Speaker 1>increased benefits that schools were able to give their athletes

0:27:14.240 --> 0:27:17.480
<v Speaker 1>as they opted, but it's definitely not required. So what

0:27:17.560 --> 0:27:22.000
<v Speaker 1>has happened is after the NCAA loosened their name, image

0:27:22.000 --> 0:27:26.200
<v Speaker 1>and likeness rules, these entities that were kind of colloquially

0:27:26.400 --> 0:27:32.600
<v Speaker 1>called collectives started popping up businesses that were sometimes not

0:27:32.640 --> 0:27:37.960
<v Speaker 1>for profits, sometimes for profit that would accept payments from boosters,

0:27:38.000 --> 0:27:41.359
<v Speaker 1>payments from fans, and then turn around and pay the

0:27:41.400 --> 0:27:44.639
<v Speaker 1>student athletes in exchange for their name, image and likeness rights.

0:27:44.680 --> 0:27:47.560
<v Speaker 1>And the reason these collectives were doing this was because

0:27:47.560 --> 0:27:51.960
<v Speaker 1>there was still a prohibition on schools directly paying their

0:27:52.000 --> 0:27:54.560
<v Speaker 1>student athletes for their name, image and likeness right. So

0:27:54.600 --> 0:27:58.160
<v Speaker 1>you have these collectives that for all intents and purposes,

0:27:58.480 --> 0:28:03.439
<v Speaker 1>were affiliated with very specific schools, using these payments to

0:28:03.560 --> 0:28:07.800
<v Speaker 1>induce student athletes to attend those schools, which is expressly

0:28:07.880 --> 0:28:11.800
<v Speaker 1>against NCAA rules. But there is an injunction in a

0:28:11.840 --> 0:28:15.840
<v Speaker 1>case in Tennessee preventing the NCAA from enforcing its rules

0:28:15.880 --> 0:28:18.960
<v Speaker 1>against these collectives. So all of these pieces are coming

0:28:19.000 --> 0:28:22.399
<v Speaker 1>together in this settlement, and now the settlement allows that

0:28:22.520 --> 0:28:26.800
<v Speaker 1>the schools can enter directly into payments with these student

0:28:26.800 --> 0:28:29.359
<v Speaker 1>athletes in exchange for their name, image, and likeness, and

0:28:29.400 --> 0:28:32.560
<v Speaker 1>they wouldn't have to do that through these collectives. Again,

0:28:32.840 --> 0:28:36.600
<v Speaker 1>back to your previous question of who who gets the payments.

0:28:36.640 --> 0:28:38.720
<v Speaker 1>One of the things I think schools are grappling with

0:28:38.960 --> 0:28:42.280
<v Speaker 1>right now is they're trying to remain competitive in football,

0:28:42.400 --> 0:28:45.200
<v Speaker 1>and they're trying to remain competitive and men's basketball because

0:28:45.320 --> 0:28:48.840
<v Speaker 1>those sports generate television revenue and they generate ticket revenue.

0:28:49.120 --> 0:28:51.760
<v Speaker 1>But at the same time, they have other legal requirements

0:28:51.800 --> 0:28:54.080
<v Speaker 1>like Title nine, and they're trying to figure out one,

0:28:54.160 --> 0:28:58.280
<v Speaker 1>how does Title nine apply to this expanded benefits pool?

0:28:58.480 --> 0:29:00.800
<v Speaker 1>And once we know how it does apply, how are

0:29:00.840 --> 0:29:03.880
<v Speaker 1>we going to allocate our money for these new benefits?

0:29:04.080 --> 0:29:08.760
<v Speaker 3>Accordingly, speaking about Title nine, plaintiff's lawyers have estimated, as

0:29:08.800 --> 0:29:11.480
<v Speaker 3>you refer to, that around ninety percent of the money

0:29:11.560 --> 0:29:15.000
<v Speaker 3>is going to go to football and men's basketball players.

0:29:15.360 --> 0:29:19.160
<v Speaker 3>Those sports bring in the lion's share of the revenue. Now,

0:29:19.320 --> 0:29:22.040
<v Speaker 3>many groups have told the judge that that's going to

0:29:22.080 --> 0:29:26.040
<v Speaker 3>be unfair to women athletes and be a violation of

0:29:26.160 --> 0:29:29.040
<v Speaker 3>Title nine. Explain the Title nine argument.

0:29:29.600 --> 0:29:32.080
<v Speaker 1>Yeah, so the argument that it's a violation of Title

0:29:32.200 --> 0:29:36.400
<v Speaker 1>nine will depend on how Title nine ultimately applies to

0:29:36.400 --> 0:29:39.520
<v Speaker 1>the Department of Education's Office of Civil Rights has already

0:29:39.560 --> 0:29:43.760
<v Speaker 1>indicated Title nine will apply to new payments under these benefits,

0:29:43.880 --> 0:29:46.320
<v Speaker 1>but they haven't given guidance on how they will apply.

0:29:46.480 --> 0:29:49.760
<v Speaker 1>And so there's two primary ways that they could apply.

0:29:49.920 --> 0:29:53.520
<v Speaker 1>The first is through the financial assistance analysis, and depending

0:29:53.560 --> 0:29:57.760
<v Speaker 1>on whether or not the expanded benefits are included in

0:29:57.800 --> 0:30:03.880
<v Speaker 1>the scholarship analysis, to require that the dollars be assigned

0:30:03.920 --> 0:30:08.360
<v Speaker 1>proportionally between the sexes based on the proportion of student

0:30:08.400 --> 0:30:10.480
<v Speaker 1>athletes that are mail and the proportion that there are

0:30:10.520 --> 0:30:13.560
<v Speaker 1>student athletes that are female, or if it's determined that

0:30:13.640 --> 0:30:17.520
<v Speaker 1>it's non scholarship financial assistance in a way that it

0:30:17.560 --> 0:30:21.400
<v Speaker 1>needs to be equitably available to the two sexes. I

0:30:21.400 --> 0:30:24.360
<v Speaker 1>think that's one way Title nine could apply. The second

0:30:24.400 --> 0:30:28.840
<v Speaker 1>way is through what's called the laundry list of treatment areas.

0:30:28.920 --> 0:30:34.600
<v Speaker 1>So essentially Title nine requires that athletic experiences student athletes

0:30:34.600 --> 0:30:38.040
<v Speaker 1>are receiving is equitable, and they have a list of

0:30:38.080 --> 0:30:42.760
<v Speaker 1>treatment areas that they use to determine qualitatively are these

0:30:43.040 --> 0:30:48.040
<v Speaker 1>experiences equal in effect. Two of those are recruiting services

0:30:48.360 --> 0:30:52.640
<v Speaker 1>and publicity. And so since student athletes are being given

0:30:52.720 --> 0:30:58.280
<v Speaker 1>this money or they're negotiating these NIL agreements in part

0:30:58.520 --> 0:31:01.200
<v Speaker 1>as they determine which to go to, I mean that's

0:31:01.240 --> 0:31:04.840
<v Speaker 1>been part of Judge Wilkins analysis. So the students need

0:31:04.920 --> 0:31:09.200
<v Speaker 1>to know what their options are as they're making these determinations.

0:31:09.240 --> 0:31:11.520
<v Speaker 1>I think there's a chance that OCR says, well, that's

0:31:11.600 --> 0:31:15.640
<v Speaker 1>part of recruiting services. How much you're budgeting in NIL

0:31:15.760 --> 0:31:18.000
<v Speaker 1>payments is going to affect recruiting, and that's going to

0:31:18.040 --> 0:31:21.680
<v Speaker 1>affect what kind of student athletes you're attracting to your schools,

0:31:21.720 --> 0:31:24.760
<v Speaker 1>and how you're treating your male and female student athletes differently.

0:31:24.800 --> 0:31:27.400
<v Speaker 1>The second treatment area that I think could be considered

0:31:27.440 --> 0:31:32.640
<v Speaker 1>as publicity. This area talks about how you're publicizing your

0:31:33.000 --> 0:31:36.360
<v Speaker 1>men's and women's sports. And so if your school gives

0:31:36.520 --> 0:31:40.200
<v Speaker 1>a lot more resources or many more publicity opportunities to

0:31:40.240 --> 0:31:43.120
<v Speaker 1>your male student athletes over your female student athletes, I

0:31:43.120 --> 0:31:46.800
<v Speaker 1>think that would potentially implicate that treatment area as well. Generally,

0:31:46.840 --> 0:31:50.880
<v Speaker 1>that's the framework I think the arguments. If you do

0:31:51.040 --> 0:31:55.600
<v Speaker 1>pay ninety percent of your expanded benefits to your football

0:31:55.600 --> 0:31:58.800
<v Speaker 1>players and your men's basketball players. I think it's very

0:31:59.000 --> 0:32:02.040
<v Speaker 1>likely that you will receive Title nine challenges. I think

0:32:02.080 --> 0:32:06.360
<v Speaker 1>those are very strong arguments. The ration now, or where

0:32:06.400 --> 0:32:10.000
<v Speaker 1>the ninety percent number comes from, is from an expert's

0:32:10.040 --> 0:32:14.080
<v Speaker 1>opinion in the proposed settlement, where they've a portion of

0:32:14.120 --> 0:32:17.040
<v Speaker 1>the back pay damages are going to be paid seventy

0:32:17.080 --> 0:32:21.080
<v Speaker 1>five percent to football student athletes in fifteen percent to

0:32:21.200 --> 0:32:24.640
<v Speaker 1>men's basketball student athletes. And you might hear people say,

0:32:24.800 --> 0:32:27.680
<v Speaker 1>if we're able to pay back pay damages according to

0:32:27.760 --> 0:32:31.600
<v Speaker 1>their proportions, why can't we pay the forward looking benefits

0:32:31.640 --> 0:32:35.000
<v Speaker 1>according to those same proportions. And the answer is essentially

0:32:35.040 --> 0:32:38.520
<v Speaker 1>that Title nine isn't in front of Judge Wilkins. She

0:32:38.640 --> 0:32:42.320
<v Speaker 1>isn't considering that as she approves these settlements. She's been

0:32:42.400 --> 0:32:45.160
<v Speaker 1>very clear that she hasn't been considering that. So I

0:32:45.160 --> 0:32:48.680
<v Speaker 1>don't think it's a strong argument that you can use

0:32:49.080 --> 0:32:54.040
<v Speaker 1>this experts analysis to justify the discrepancy going forward. If

0:32:54.080 --> 0:32:58.360
<v Speaker 1>there is a discrepancy and any of the Title nine analysis,

0:32:58.360 --> 0:33:02.680
<v Speaker 1>schools do have the ability to give a non discriminatory

0:33:02.800 --> 0:33:08.280
<v Speaker 1>justification for that discrepancy. The revenue generation of fair market value,

0:33:08.360 --> 0:33:12.320
<v Speaker 1>those sort of business type arguments haven't been found to

0:33:12.360 --> 0:33:15.480
<v Speaker 1>be non discriminatory in the past, so I think schools

0:33:15.480 --> 0:33:18.760
<v Speaker 1>that intend to rely on that could could be taking

0:33:18.800 --> 0:33:19.440
<v Speaker 1>on some risk.

0:33:20.320 --> 0:33:23.840
<v Speaker 3>You played football at Northwestern. Do you think that this

0:33:24.000 --> 0:33:27.840
<v Speaker 3>kind of deal where some athletes will be paid and

0:33:28.000 --> 0:33:32.600
<v Speaker 3>others will not, will have a negative effect on sort

0:33:32.640 --> 0:33:35.680
<v Speaker 3>of the environment for other students at the university.

0:33:36.200 --> 0:33:38.480
<v Speaker 1>It's a good question that I'll give a couple of

0:33:38.520 --> 0:33:41.480
<v Speaker 1>different answers that I don't think it would have changed

0:33:41.600 --> 0:33:45.400
<v Speaker 1>my athletics experience all that much. I was a walk

0:33:45.440 --> 0:33:48.120
<v Speaker 1>on student athlete. It was very clear that some of

0:33:48.160 --> 0:33:51.880
<v Speaker 1>the student athletes were more likely to play, they were

0:33:51.880 --> 0:33:55.520
<v Speaker 1>more likely to go on to professional careers. I was

0:33:55.520 --> 0:33:57.520
<v Speaker 1>there because I really liked playing football, but I also

0:33:57.720 --> 0:34:01.280
<v Speaker 1>was excited about the academics, and I wasn't expecting to

0:34:01.320 --> 0:34:05.280
<v Speaker 1>get paid even through scholarship. It was fortunate enough to

0:34:05.360 --> 0:34:07.000
<v Speaker 1>earn one at the end of my career, but that

0:34:07.120 --> 0:34:09.879
<v Speaker 1>was sort of a bonus, and even at that time.

0:34:09.960 --> 0:34:11.799
<v Speaker 1>It's longer than I want to admit, but it wasn't

0:34:11.800 --> 0:34:14.120
<v Speaker 1>that long ago. Like you could tell the sports that

0:34:14.160 --> 0:34:17.880
<v Speaker 1>were favored on campus, and football and basketball were popular,

0:34:17.960 --> 0:34:21.480
<v Speaker 1>So I think there was already some divide between those

0:34:21.520 --> 0:34:24.799
<v Speaker 1>sports and the other sports on the campus. I think

0:34:24.800 --> 0:34:29.040
<v Speaker 1>this will likely make that divide much wider. I don't

0:34:29.080 --> 0:34:32.439
<v Speaker 1>think that's necessarily great for the athletic department at the whole,

0:34:32.520 --> 0:34:34.719
<v Speaker 1>but I do think there are arguments that this is

0:34:34.760 --> 0:34:39.880
<v Speaker 1>a money making operation and if we can generate more money,

0:34:40.160 --> 0:34:42.440
<v Speaker 1>high tide raises all ship. I don't think that's a

0:34:42.440 --> 0:34:45.160
<v Speaker 1>strong argument, but you'll hear it a lot. You'll see

0:34:45.239 --> 0:34:48.160
<v Speaker 1>schools that are trying to figure out how to come

0:34:48.239 --> 0:34:51.440
<v Speaker 1>up with this additional revenue. I think there were news

0:34:51.520 --> 0:34:54.839
<v Speaker 1>reports today and yesterday that Ohio State is going to

0:34:55.160 --> 0:34:59.759
<v Speaker 1>restrict or eliminate scholarships for men's gymnastics. Ohio State's a

0:34:59.840 --> 0:35:03.360
<v Speaker 1>huge athletic department. Their football program makes a lot of money.

0:35:03.480 --> 0:35:05.960
<v Speaker 1>But these schools are going to face tough decisions on

0:35:06.000 --> 0:35:08.440
<v Speaker 1>how do we find money for these additional benefits that

0:35:08.480 --> 0:35:10.839
<v Speaker 1>we want to provide to our student athletes. And I

0:35:10.880 --> 0:35:14.160
<v Speaker 1>don't think it's a coincidence that an announcement regarding men's

0:35:14.440 --> 0:35:18.319
<v Speaker 1>gymnastics scholarships being cut happens around the same time that

0:35:18.360 --> 0:35:21.399
<v Speaker 1>the settlement was preliminary approved. I don't think you should

0:35:21.440 --> 0:35:24.200
<v Speaker 1>be surprised if that continues to happen. So I have

0:35:24.200 --> 0:35:26.799
<v Speaker 1>to answer your question more directly. I think it's unfortunate

0:35:26.840 --> 0:35:28.719
<v Speaker 1>that that will happen. I think that's a trend that

0:35:28.760 --> 0:35:33.439
<v Speaker 1>will probably increase for Olympic sports. I think it's more

0:35:33.640 --> 0:35:37.720
<v Speaker 1>likely to affect male Olympic sports than female Olympic sports

0:35:37.719 --> 0:35:40.840
<v Speaker 1>for some of the title nine reasons we discussed earlier.

0:35:41.000 --> 0:35:44.200
<v Speaker 1>But I think this is the end of a long process,

0:35:44.280 --> 0:35:47.080
<v Speaker 1>Like there's been a lot of momentum leading towards this,

0:35:47.239 --> 0:35:49.359
<v Speaker 1>and I think we're finally getting to the point where

0:35:49.360 --> 0:35:51.920
<v Speaker 1>a lot of schools are going to make these tough decisions.

0:35:51.920 --> 0:35:54.440
<v Speaker 3>Certainly a lot more to come. Thanks so much, James.

0:35:54.960 --> 0:35:58.799
<v Speaker 3>That's James Nusbaum of Church, Church, Hittle and Antrim. And

0:35:58.840 --> 0:36:01.319
<v Speaker 3>that's it for this edition of the Bloomberg Law Podcast.

0:36:01.680 --> 0:36:04.040
<v Speaker 3>Remember you can always get the latest legal news by

0:36:04.080 --> 0:36:07.920
<v Speaker 3>subscribing and listening to the show on Apple Podcasts, Spotify,

0:36:08.200 --> 0:36:12.040
<v Speaker 3>and at Bloomberg dot com, Slash podcast, Slash Law. I'm

0:36:12.120 --> 0:36:14.560
<v Speaker 3>June Grosso, and this is Bloomberg