WEBVTT - History Is Made as Ketanji Brown Jackson Is Confirmed

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<v Speaker 1>This is Bloombird Law with June Brussel from Bloomberg Radio.

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<v Speaker 1>This is a wonderful day, a joyous day, and inspiring

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<v Speaker 1>day for the Senate, for the Supreme Court, and for

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<v Speaker 1>the United States of America. Today we are here to

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<v Speaker 1>to vote to confirm Katangi Brown Jackson as the one

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<v Speaker 1>hundred sixteenth Justice of the United States Supreme Court. History

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<v Speaker 1>was made this afternoon as Katanji Brown Jackson was confirmed

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<v Speaker 1>to become the first black woman in two hundred thirty

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<v Speaker 1>two years to sit on the Supreme Court. Three Republican

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<v Speaker 1>senators joined the Democrats in voting for Jackson. On this vote,

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<v Speaker 1>the a's A fifty three the names, and this nomination

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<v Speaker 1>is confirmed. Joining me is Alatoon Day Johnson, a professor

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<v Speaker 1>at Columbia Law School. What does this historic confirmation signify?

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<v Speaker 1>This is a historic confirmation, and in a number of ways.

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<v Speaker 1>Clearly it's important to have the first black woman on

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<v Speaker 1>the Supreme Court, both for how we think about the

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<v Speaker 1>Court as an institution, the legitimacy of the institution, and

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<v Speaker 1>just as a sign that this is a pathway that's

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<v Speaker 1>available to everyone in America, even a young African American

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<v Speaker 1>girl who's just a generation removed from formal segregation. That

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<v Speaker 1>we could have a democracy in which the pathway to

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<v Speaker 1>the Supreme Court is open to people like Katangi Brown

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<v Speaker 1>Jackson and others like her is really important. In some respect,

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<v Speaker 1>she has a background and experience typical of Supreme Court justices.

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<v Speaker 1>In other respects different, Yeah, I think it's really important

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<v Speaker 1>to focus on her as an individual and what she

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<v Speaker 1>brings to the Court. And one of the things I

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<v Speaker 1>was struck by from the moment she was nominated was

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<v Speaker 1>a range of experience. Um So she has some of

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<v Speaker 1>those aspects that are typical of a lot of nominees,

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<v Speaker 1>and she went to what is considered a very top

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<v Speaker 1>law school and elite law school. She herself clerked on

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<v Speaker 1>the Supreme Court. She clerked for Justice Bryer, and we

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<v Speaker 1>see a lot of the justices who have that kind

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<v Speaker 1>of background. She also has appellate court experience. I mean,

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<v Speaker 1>she's coming from the DC circuit. But in other ways

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<v Speaker 1>you see a breadth of experience that really is uncommon

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<v Speaker 1>for a Supreme Court justice. And the things that really

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<v Speaker 1>stand out for me are her experience as a trial judge,

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<v Speaker 1>which she has been for most of her judicial career.

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<v Speaker 1>She's only spent a short time actually as an appellate judge,

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<v Speaker 1>so for nine years she was a trial judge. And

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<v Speaker 1>then also her experience in trial practice, So a lot

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<v Speaker 1>of judges and justices have experience with a pellet practice,

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<v Speaker 1>but actually representing clients in trial settings that he stands out,

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<v Speaker 1>so that breadth of experience. And then she also has

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<v Speaker 1>experience in criminal law and specifically as a public defender.

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<v Speaker 1>And there was much discussion as this of course in

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<v Speaker 1>her confirmation hearings, and you saw a real division as

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<v Speaker 1>to whether or not this was a strength or not.

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<v Speaker 1>I really saw it going in. And then also and

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<v Speaker 1>how she explained it as a key strength. So she

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<v Speaker 1>will bring that knowledge of criminal law and criminal procedure,

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<v Speaker 1>but not just sort of an abstract I taught this knowledge,

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<v Speaker 1>but how does this actually play out in our criminal

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<v Speaker 1>justice institutions. Her experience on the Sentencing Commission means that

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<v Speaker 1>she's really grappled with how the laws around sentencing effect

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<v Speaker 1>ordinary people and some of the trade offs in sort

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<v Speaker 1>of designing sentences. She's going to have that understanding. Another

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<v Speaker 1>thing that really struck out for me, and this is

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<v Speaker 1>related to m Sentencing Commission work is just the extent

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<v Speaker 1>to which she had worked in settings that were bipartisan,

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<v Speaker 1>and that's something that really came across the Sentencing Commission work.

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<v Speaker 1>And there are people who testify to this in the

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<v Speaker 1>confirmation hearings where they talked about and the fact that

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<v Speaker 1>she is seen as someone who believes in bridging differences

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<v Speaker 1>and she's a consensus builder. So hopefully those skills will

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<v Speaker 1>help her on the Supreme Court to explained because people say, well,

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<v Speaker 1>she brings this experience, but will she really be explaining

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<v Speaker 1>to the other justices what criminal defense laws like or

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<v Speaker 1>or sentencing someone. Yeah, I mean it definitely um happens.

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<v Speaker 1>I mean, you see how the kinds of questions that

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<v Speaker 1>someone asks that oral argument can really shape the information

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<v Speaker 1>um that justices are exposed to and their understanding of

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<v Speaker 1>the implications of different legals. So um, maybe that they

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<v Speaker 1>she pursues a line of questioning UM. A lot of

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<v Speaker 1>times you may notice that when Supreme Court justices ask questions,

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<v Speaker 1>in part their audience is the person who they're asking

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<v Speaker 1>the question of right the litigant um in front of

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<v Speaker 1>the lawyer who's making the argument. But in part they're

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<v Speaker 1>talking to each other through those questions, and so I

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<v Speaker 1>think justices often learn UM a lot through that questioning Yeah,

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<v Speaker 1>you're right. They don't always UM go and then chat

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<v Speaker 1>with each other afterwards. UM. And so there isn't that

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<v Speaker 1>type of dialogue typically, but in the history of the

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<v Speaker 1>Supreme Court that has happened. I mean, Justice Senator day

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<v Speaker 1>O'Connor always talks about what she learned about criminal justice

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<v Speaker 1>and about death penalty issues from Thurgood Marshall, that she

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<v Speaker 1>learned about the effect of these laws in real life.

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<v Speaker 1>He by the way of the last justice who had

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<v Speaker 1>a real public defense background. UM. And so that kind

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<v Speaker 1>of learning can happen. I'm a little skeptical that that's

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<v Speaker 1>going to happen on the Court in the foreseeable future

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<v Speaker 1>because UM, all that we've heard suggests that most of

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<v Speaker 1>the way in which they communicate is through or argument

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<v Speaker 1>and then a little bit UM in the UM a

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<v Speaker 1>conference that they have UM when they are deciding the cases.

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<v Speaker 1>So they're not engaging that back and forth UM. Justices

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<v Speaker 1>also read each other's opinions and sometimes they change their mind.

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<v Speaker 1>There are opinions that sometimes could be assigned to someone

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<v Speaker 1>that are originally in dissent that can turn into a majority. UM.

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<v Speaker 1>So justices can change their mind. Now most of of

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<v Speaker 1>us think, well, how could this ever happen when we

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<v Speaker 1>know that their views are so set on a range

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<v Speaker 1>of issues. And that's because I think we as the public,

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<v Speaker 1>we pay attention to many of the high profile issues UM.

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<v Speaker 1>The most high profile issues UM, abortion, UM, affirmative action, UM.

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<v Speaker 1>Maybe I put voting rights on that, some questions around UM,

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<v Speaker 1>the administrative state, you know, the power of regulation in

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<v Speaker 1>the area of environment. I mean, those are maybe high

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<v Speaker 1>salience issues where the justices um their opinions. We might

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<v Speaker 1>already know their approach, and so maybe she shift people

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<v Speaker 1>on that. But there are many other issues that the

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<v Speaker 1>court decides UM, that affect the rules and trial cord,

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<v Speaker 1>that affect UM, criminal defendants UM, and some of those UM,

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<v Speaker 1>there is the opportunity to have alignments UM that are

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<v Speaker 1>unexpected or even for the justices all to agree. She

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<v Speaker 1>went through two days of aggressive bruising questioning, where the

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<v Speaker 1>Republicans attacked her for being soft on crime, a proponent

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<v Speaker 1>of critical race theory representing terrorists. Now, no one ever

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<v Speaker 1>questioned her qualifications to sit on the court. But do

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<v Speaker 1>you think the hearings in any way taint this historic confirmation,

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<v Speaker 1>So I think that it taints the Senate most of all,

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<v Speaker 1>So backing up for a second, going in, this is

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<v Speaker 1>unfortunate because she was confirmed in a bipartisan way for

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<v Speaker 1>the Trial court um she was confirmed, as it has

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<v Speaker 1>been pointed out, for the Sentencing Commission. She was elevated

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<v Speaker 1>after being a trial court judge to the DC Circuit,

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<v Speaker 1>and it wasn't as overwhelmingly bipartisan, but there were Republicans

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<v Speaker 1>who voted for her, so coming in that really there

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<v Speaker 1>was nothing in her record, nothing in her record that

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<v Speaker 1>should have drawn particular opposition. Now, I think that Senators

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<v Speaker 1>should really sharply question potential justices. It's really important. We

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<v Speaker 1>call it, in the constitutional context advice and consent, and

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<v Speaker 1>you want the Senate to play a very vigorous role

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<v Speaker 1>when you're talking about lifetime appointments. That said, going in,

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<v Speaker 1>I'm not sure there's much she could have done to

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<v Speaker 1>win over certain Republicans. And really some of the things

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<v Speaker 1>she was asked about had nothing to do with her.

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<v Speaker 1>They had to do with the idea of a kind

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<v Speaker 1>of liberal constitutionalism that seemed very outdated and didn't have

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<v Speaker 1>anything to do with her record, which is really is

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<v Speaker 1>a very kind of careful, incremental trial court judge. And

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<v Speaker 1>then they asked a series of questions that I put

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<v Speaker 1>on the side of quite inappropriate about things like critical

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<v Speaker 1>race theory, and it felt that just because she was

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<v Speaker 1>a black woman sitting there, she should be able to

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<v Speaker 1>opine on and those were quite offensive. They were shocking

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<v Speaker 1>set of questions about her religion. I felt she was

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<v Speaker 1>incredibly poised through it all. So the short answer is,

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<v Speaker 1>I think it made the Senate look bad. I teach

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<v Speaker 1>my students that advice and consent matters, that the Senate

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<v Speaker 1>is this great, deliberated institution, and it's hard for them

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<v Speaker 1>to take me seriously after seeing some of that. But

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<v Speaker 1>on the flip side, what I heard was she was

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<v Speaker 1>incredibly poised. My respect for her increased through that. And

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<v Speaker 1>so I'm sure the American people will have a mix

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<v Speaker 1>of views on that, because we are a deeply divided country.

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<v Speaker 1>But even some of the polling suggests that there's more

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<v Speaker 1>support for her and more favorable view of her for

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<v Speaker 1>having gone through that process. You know, despite that process,

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<v Speaker 1>Thanks so much for your in sights. That's Professor Alatun

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<v Speaker 1>Day Johnson of Columbia Law School. A judge has denied

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<v Speaker 1>the Lane Maxwell a new trial on sex trafficking charges

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<v Speaker 1>over a juror's failure to disclose during jury selection that

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<v Speaker 1>he was a victim of childhood sex abuse. Judge Allison

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<v Speaker 1>Nathan's ruling ends for now a drama that called into

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<v Speaker 1>question a verdict widely hailed as bringing long delayed justice

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<v Speaker 1>to Epstein's victims. Joining me as former federal prosecutor Robert

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<v Speaker 1>Mentz a partner mcarter in English, Judge Allison Nathan said

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<v Speaker 1>Maxwell's lawyers had failed to satisfy the requirements for granting

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<v Speaker 1>a new trial in a criminal case. What are those

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<v Speaker 1>requirements and why did you think they failed to satisfy them.

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<v Speaker 1>Hearing of the potential jur misconduct after a conviction are rare,

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<v Speaker 1>but they're not unheard of, and it really turns on

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<v Speaker 1>the question of whether the jur misconduct denied and defended

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<v Speaker 1>a completely unbiased jury. So in this case, the sense

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<v Speaker 1>did not need to show that the information was held

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<v Speaker 1>by the juror would have altered the outcome of the verdict,

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<v Speaker 1>only that the juror knowingly lied to enhance their chances

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<v Speaker 1>of getting onto the jury, and so the question before

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<v Speaker 1>the judge at the hearing was whether or not this

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<v Speaker 1>juror had intentionally lied in order to get on the jury,

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<v Speaker 1>and most importantly, whether or not that juror could be

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<v Speaker 1>unbiased and could listen to the evidence and could render

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<v Speaker 1>ultimately a fair and impartial verdict. Nathan disagreed with the

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<v Speaker 1>idea that past victims would not be fair jurors. But

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<v Speaker 1>isn't it obvious that this juror's passed abuse made a

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<v Speaker 1>difference in the case because he said it did. He

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<v Speaker 1>told several media outlets that he raised his childhood abused

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<v Speaker 1>during deliberations to sway other jurors. Yeah, that's a very

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<v Speaker 1>interesting question. And the real issue here is whether or

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<v Speaker 1>not the past history of this juror gave this jur

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<v Speaker 1>an impermissible stake in the outcome of the trial. In

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<v Speaker 1>other words, was a jur an unbiased fact finder or

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<v Speaker 1>was a youur an advocate for a particular cause with

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<v Speaker 1>their own agenda. And that's what the defense argued here.

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<v Speaker 1>But the judge ultimately found that despite the history of

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<v Speaker 1>child sexual abuse that was not disclosed during the jury questionnaire,

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<v Speaker 1>despite the fact that it was clearly asked on that questionnaire,

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<v Speaker 1>that that did not result in an unfair trial for

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<v Speaker 1>miss Maxwell, and the verdict was therefore upheld. Nathan wrote

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<v Speaker 1>that the juror was not biased and would not have

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<v Speaker 1>been stricken for cause even if he's answered every question

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<v Speaker 1>on the questionnaire accurately. She said that whether the defendant

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<v Speaker 1>would have exercised the peremptory strike against this juror had

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<v Speaker 1>he actually disclosed his prior sexual abuse is not an issue.

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<v Speaker 1>Why isn't that an issue. Doesn't the defense have a

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<v Speaker 1>right to exercise peremptory challenges to get a jury they

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<v Speaker 1>believe will be fair. Yeah, I think that really goes

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<v Speaker 1>to the heart of this question. And the judge made

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<v Speaker 1>the point, as you say, simply because a juror is

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<v Speaker 1>themselves a victim of sexual abuse does not preclude them

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<v Speaker 1>from sitting as a juror on the trial about sexual abuse.

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<v Speaker 1>In other words, it is not correct to conclude that

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<v Speaker 1>an individual with a history of sexual abuse can never

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<v Speaker 1>serve as a fair and impartial juror. But in this case,

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<v Speaker 1>what the defense was arguing was not that this juror

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<v Speaker 1>should have immediately been disqualified had he disclosed a history

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<v Speaker 1>of sexual abuse, but that they were denied the opportunity

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<v Speaker 1>to question him about that experience and to determine whether

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<v Speaker 1>or not he really could have been fair and impartial,

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<v Speaker 1>and they could have ultimately decided, as you say, to

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<v Speaker 1>strike him with a peremptory challenge as opposed to a

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<v Speaker 1>challenge for cause, and they were denied that opportunity because

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<v Speaker 1>the juror did not disclose the past history of sexual abuse.

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<v Speaker 1>A retrial would have meant the victims testifying again, the

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<v Speaker 1>state being put to great ex ends with another long trial.

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<v Speaker 1>Were those factors the judge considered in denying a new trial, Well,

0:14:07.400 --> 0:14:10.040
<v Speaker 1>though it's our factors the judge should not have considered.

0:14:10.280 --> 0:14:14.080
<v Speaker 1>The judge really cannot deny the defendant a fair trial here,

0:14:14.200 --> 0:14:17.640
<v Speaker 1>and the issue really simply came down to the question

0:14:17.720 --> 0:14:21.680
<v Speaker 1>of whether or not. After this subsequent post verdict hearing,

0:14:22.000 --> 0:14:25.920
<v Speaker 1>the judge concluded that this juror harbored no bias towards

0:14:25.920 --> 0:14:28.520
<v Speaker 1>the defendant and could have served as a fair and

0:14:28.560 --> 0:14:32.400
<v Speaker 1>impartial juror. That was refinding, and despite the fact that

0:14:32.520 --> 0:14:36.600
<v Speaker 1>the juror did not disclose his past history of sexual abuse,

0:14:36.920 --> 0:14:40.240
<v Speaker 1>the judge concluded that it did not preclude him from

0:14:40.240 --> 0:14:43.440
<v Speaker 1>being fair and impartial and therefore did not change the

0:14:43.520 --> 0:14:46.520
<v Speaker 1>outcome of the verdict. And it's especially interesting in this

0:14:46.600 --> 0:14:50.760
<v Speaker 1>case because this jury gave multiple media interviews saying that

0:14:50.800 --> 0:14:53.320
<v Speaker 1>he was a victim of childhood sexual abuse. That's how

0:14:53.360 --> 0:14:56.200
<v Speaker 1>this whole issue came to light, and he told various

0:14:56.240 --> 0:14:59.960
<v Speaker 1>media outlets that he discussed this experience with fellow juror,

0:15:00.320 --> 0:15:05.520
<v Speaker 1>particularly his difficulty remembering specific details of abuse, just like

0:15:05.600 --> 0:15:09.160
<v Speaker 1>two of the women who testified against Maxwell, he believed,

0:15:09.240 --> 0:15:12.480
<v Speaker 1>He said that his input may have helped other jurors

0:15:12.480 --> 0:15:16.200
<v Speaker 1>believe their testimonies were credible, even if they couldn't recall

0:15:16.360 --> 0:15:20.840
<v Speaker 1>or misremember aspects of the abuse. So the juror acknowledged

0:15:20.880 --> 0:15:25.680
<v Speaker 1>in these post trial interviews that his history of childhood

0:15:25.720 --> 0:15:29.320
<v Speaker 1>sexual abuse was actually discussed during deliberations and may have

0:15:29.440 --> 0:15:32.920
<v Speaker 1>swayed other jurors in reaching their verdict. But that is

0:15:32.960 --> 0:15:36.000
<v Speaker 1>not something that the judge asked the juror about during

0:15:36.000 --> 0:15:39.320
<v Speaker 1>this post trial hearing, and that's because judges are not

0:15:39.400 --> 0:15:42.240
<v Speaker 1>permitted to ask jurors about anything that goes on in

0:15:42.240 --> 0:15:45.800
<v Speaker 1>the jury room about those deliberations, So that area of

0:15:45.800 --> 0:15:49.680
<v Speaker 1>inquiry was not something that came up during the hearing. Instead,

0:15:49.760 --> 0:15:52.640
<v Speaker 1>the judge focused on how it was that this juror

0:15:52.680 --> 0:15:55.080
<v Speaker 1>failed to disclose the fact that he had been a

0:15:55.160 --> 0:15:57.640
<v Speaker 1>victim of childhood sexual abuse, and his answer to that

0:15:57.720 --> 0:16:00.000
<v Speaker 1>was simply that he rushed to answer the jury question

0:16:00.000 --> 0:16:02.000
<v Speaker 1>and there did not pay close attention to it, and

0:16:02.120 --> 0:16:04.760
<v Speaker 1>that it was an honest mistake. The key to that

0:16:04.880 --> 0:16:08.440
<v Speaker 1>finding was the judge believing the juror that it was

0:16:08.480 --> 0:16:11.240
<v Speaker 1>an honest mistake and that it was not an attempt

0:16:11.280 --> 0:16:14.560
<v Speaker 1>by this juror to try to get on the jury

0:16:14.600 --> 0:16:17.360
<v Speaker 1>in order to be an advocate for the victims. This

0:16:17.440 --> 0:16:20.760
<v Speaker 1>is most likely going to be appealed to the second Circuit.

0:16:21.360 --> 0:16:24.640
<v Speaker 1>What are the chances of the second circuit reversing what

0:16:24.720 --> 0:16:29.160
<v Speaker 1>a trial judge decided at the hearing? The judge made

0:16:29.160 --> 0:16:32.640
<v Speaker 1>a credibility finding as to whether or not this curor

0:16:32.760 --> 0:16:36.240
<v Speaker 1>intentionally withheld that information and whether or not that juror

0:16:36.320 --> 0:16:39.040
<v Speaker 1>could have been fair and impartial. And it's difficult for

0:16:39.080 --> 0:16:42.360
<v Speaker 1>the Court of Appeals to turn around and reverse that

0:16:42.520 --> 0:16:45.560
<v Speaker 1>ruling because it is one of credibility and it was

0:16:45.600 --> 0:16:48.920
<v Speaker 1>a trial judge who was there during that testimony. And

0:16:48.960 --> 0:16:50.960
<v Speaker 1>you add on top of that the fact that it

0:16:51.080 --> 0:16:53.960
<v Speaker 1>is rare for judges to order new trials in the

0:16:53.960 --> 0:16:57.000
<v Speaker 1>event of juror misconduct. They're really loath to have to

0:16:57.040 --> 0:17:00.280
<v Speaker 1>do that because it does require trying the case all

0:17:00.280 --> 0:17:03.960
<v Speaker 1>over again, and in this particular case, subjecting the victims

0:17:04.000 --> 0:17:07.679
<v Speaker 1>of sexual abuse to yet another trial, yet another ordeal,

0:17:07.760 --> 0:17:11.440
<v Speaker 1>yet another cross examination by the defense, so that undoubtedly

0:17:11.800 --> 0:17:14.040
<v Speaker 1>somewhere was in the back of the judge's mind in

0:17:14.119 --> 0:17:18.840
<v Speaker 1>making this decision. During misconduct after a conviction is always rare.

0:17:18.880 --> 0:17:21.359
<v Speaker 1>It's not unheard of, but it doesn't happen all the time,

0:17:21.680 --> 0:17:23.960
<v Speaker 1>and the defense likes to jump on these because it's

0:17:24.000 --> 0:17:27.439
<v Speaker 1>an opportunity really to overturn the conviction even before an

0:17:27.440 --> 0:17:30.080
<v Speaker 1>appeal is filed, based on their claim that the ger

0:17:30.160 --> 0:17:34.520
<v Speaker 1>misconduct denied their client a completely unbiased jury. From the

0:17:34.600 --> 0:17:38.840
<v Speaker 1>prosecution standpoint, it is their absolute worst nightmare because it

0:17:38.880 --> 0:17:43.240
<v Speaker 1>has the potential to unravel the conviction almost immediately after

0:17:43.280 --> 0:17:47.280
<v Speaker 1>a lengthy, high stakes trial, which is exactly what happened here.

0:17:47.480 --> 0:17:53.520
<v Speaker 1>Thanks Bob. That's Robert McCarter and English US antitrust chiefs

0:17:53.640 --> 0:17:58.040
<v Speaker 1>voice support for an American crackdown on gatekeeper tech giants.

0:17:58.080 --> 0:18:01.760
<v Speaker 1>Promising stricter deal reviews. This just a week after the

0:18:01.800 --> 0:18:04.679
<v Speaker 1>European Union reached a deal reigning in the likes of

0:18:04.720 --> 0:18:08.400
<v Speaker 1>Google and meta platforms. Joining me is Jennifer Rey Bloomberger

0:18:08.440 --> 0:18:12.879
<v Speaker 1>Intelligence senior litigation analyst. Jen tell us what Jonathan Cantor,

0:18:13.040 --> 0:18:16.520
<v Speaker 1>the head of the Justice Department's antitrust Division, has been

0:18:16.560 --> 0:18:20.200
<v Speaker 1>saying lately about mrger enforcement. So recently, he's been talking

0:18:20.240 --> 0:18:23.520
<v Speaker 1>a lot about how to bolster merger enforcement, you know,

0:18:23.560 --> 0:18:26.399
<v Speaker 1>before these deals are even done, to try to stem

0:18:26.400 --> 0:18:28.760
<v Speaker 1>the tide that some belief has occurred over the last

0:18:28.760 --> 0:18:31.600
<v Speaker 1>ten to twenty years of allowing too many murgers to

0:18:31.640 --> 0:18:35.000
<v Speaker 1>go forward, and many industries that are overly concentrated. And

0:18:35.040 --> 0:18:37.160
<v Speaker 1>he's focused on a lot of different areas, but one

0:18:37.200 --> 0:18:40.040
<v Speaker 1>in particular he talks about a lot is preventing the

0:18:40.080 --> 0:18:42.760
<v Speaker 1>acquisition of a nascent competitor that's kind of a new

0:18:42.800 --> 0:18:45.160
<v Speaker 1>small company that's sort of up and coming and has

0:18:45.240 --> 0:18:47.920
<v Speaker 1>yet to develop, that is bought by a potential rival,

0:18:48.040 --> 0:18:50.320
<v Speaker 1>a company that weigh down the road. If this nascent

0:18:50.320 --> 0:18:54.240
<v Speaker 1>competitor developed, became more vibrant, became you know, a bigger

0:18:54.359 --> 0:18:56.960
<v Speaker 1>rival would be able to challenge the incumbent, and so

0:18:57.240 --> 0:19:01.200
<v Speaker 1>particularly in the big tech platform we're old. What has

0:19:01.280 --> 0:19:03.840
<v Speaker 1>been observed is that over the years, these big tech

0:19:03.880 --> 0:19:06.520
<v Speaker 1>platforms have been able to sort of watch the market

0:19:06.600 --> 0:19:09.399
<v Speaker 1>and watch for these potential threats and still buy them

0:19:09.440 --> 0:19:12.320
<v Speaker 1>up when they're really small, you know, not making great

0:19:12.359 --> 0:19:15.600
<v Speaker 1>revenues or profits, and then gobble them up before they

0:19:15.600 --> 0:19:17.600
<v Speaker 1>can get big and compete with them, or you know,

0:19:17.720 --> 0:19:20.240
<v Speaker 1>take them under their wing and develop them, but still

0:19:20.280 --> 0:19:22.679
<v Speaker 1>as part of their company and not as a rival.

0:19:22.880 --> 0:19:25.720
<v Speaker 1>And so he in particular is focusing on trying to

0:19:25.760 --> 0:19:28.960
<v Speaker 1>do better as a merger enforcer to see these deals,

0:19:29.000 --> 0:19:31.760
<v Speaker 1>to catch these deals, and to try to stop these

0:19:31.760 --> 0:19:34.960
<v Speaker 1>deals before they get closed. How is this different from

0:19:35.000 --> 0:19:39.720
<v Speaker 1>what we heard before with say, Facebook and WhatsApp? Isn't

0:19:39.720 --> 0:19:42.560
<v Speaker 1>it the same message? Yes, it really is generally the

0:19:42.600 --> 0:19:46.359
<v Speaker 1>same message message, But we're just talking about enforcing prior

0:19:46.440 --> 0:19:48.800
<v Speaker 1>to the act. You know, with Facebook, they're going back

0:19:48.840 --> 0:19:52.160
<v Speaker 1>and they're challenging consummated deals that occurred a long time ago,

0:19:52.240 --> 0:19:54.160
<v Speaker 1>and what they're saying is, hey, we made a mistake

0:19:54.200 --> 0:19:57.600
<v Speaker 1>back then when Facebook acquired What's happened when Facebook acquired

0:19:57.600 --> 0:20:00.679
<v Speaker 1>Instagram and we basically cleared it through the agencies, we

0:20:00.720 --> 0:20:03.199
<v Speaker 1>made a mistake and we shouldn't have. These were nascent

0:20:03.200 --> 0:20:05.240
<v Speaker 1>competitors that may have been able to come up and

0:20:05.280 --> 0:20:08.720
<v Speaker 1>be arrival to Facebook. The FTC has suit Facebook now

0:20:08.760 --> 0:20:10.960
<v Speaker 1>to try to unwind these deals. That's going to be

0:20:11.040 --> 0:20:13.640
<v Speaker 1>working its way through court for some time. And what

0:20:13.680 --> 0:20:16.080
<v Speaker 1>the agencies are saying now is we need to stop

0:20:16.080 --> 0:20:18.439
<v Speaker 1>the mergers before they actually close. We need to be

0:20:18.520 --> 0:20:22.439
<v Speaker 1>more vigilant when they're first proposed about understanding that this

0:20:22.600 --> 0:20:26.280
<v Speaker 1>small company that's being bought is a company that could actually,

0:20:26.560 --> 0:20:29.080
<v Speaker 1>if given the time, could flourish and become a rival

0:20:29.280 --> 0:20:31.919
<v Speaker 1>to the company that's buying it. The EU always seems

0:20:31.960 --> 0:20:34.159
<v Speaker 1>to be ahead of the curve on these things. What

0:20:34.240 --> 0:20:37.680
<v Speaker 1>happened in the EU, so in the EU UH there

0:20:37.760 --> 0:20:41.280
<v Speaker 1>was political agreement between the European Commission and the Parliament

0:20:41.440 --> 0:20:45.320
<v Speaker 1>on new legislation called the Digital Markets Act. It's actually

0:20:45.359 --> 0:20:48.000
<v Speaker 1>quite similar to legislation that's being considered here in the

0:20:48.080 --> 0:20:51.320
<v Speaker 1>United States as well. But what that legislation is intended

0:20:51.359 --> 0:20:55.760
<v Speaker 1>to do is create a more fair playing field for

0:20:55.920 --> 0:20:58.960
<v Speaker 1>digital platforms and smaller companies that work with them or

0:20:59.040 --> 0:21:02.159
<v Speaker 1>may compete with them. And what it does generally is

0:21:02.200 --> 0:21:07.359
<v Speaker 1>prohibit self preferencing conduct by the platforms, for instance, using

0:21:07.400 --> 0:21:09.479
<v Speaker 1>the data of a company you compete with but that

0:21:09.560 --> 0:21:12.920
<v Speaker 1>also relies on you as a digital platform to benefit

0:21:12.960 --> 0:21:16.240
<v Speaker 1>your own products and services, or let's say, in search results,

0:21:16.400 --> 0:21:18.640
<v Speaker 1>pushing your own products up to the top of search

0:21:18.680 --> 0:21:23.160
<v Speaker 1>results if it's not warranted or merited. Also prohibit certain

0:21:23.240 --> 0:21:26.120
<v Speaker 1>kinds of discrimination, for instance, of the company is using

0:21:26.200 --> 0:21:28.400
<v Speaker 1>some of your products but not all of your products,

0:21:28.440 --> 0:21:31.000
<v Speaker 1>you're you're giving them a harder time or favoring the

0:21:31.040 --> 0:21:33.919
<v Speaker 1>companies that actually do use your full range of products.

0:21:33.960 --> 0:21:37.879
<v Speaker 1>And also required certain amount of interoperability between companies and

0:21:37.880 --> 0:21:41.320
<v Speaker 1>their rivals and other third parties. So that law moved

0:21:41.440 --> 0:21:44.399
<v Speaker 1>much closer to actually being enacted, and it actually looks

0:21:44.440 --> 0:21:47.359
<v Speaker 1>like it might be so some of these big tech platforms,

0:21:47.359 --> 0:21:49.520
<v Speaker 1>because right now it really only covers a handful of

0:21:49.520 --> 0:21:52.280
<v Speaker 1>the really big digital platforms, may actually have to come

0:21:52.280 --> 0:21:55.760
<v Speaker 1>in compliance with this law. Sometime in two thousand twenty three,

0:21:56.080 --> 0:21:58.680
<v Speaker 1>maybe early two thousand twenty four, you said, the US

0:21:58.720 --> 0:22:01.800
<v Speaker 1>has a similar bill. How similar is it? You know,

0:22:01.880 --> 0:22:04.639
<v Speaker 1>it's it's quite similar. It's called the American Innovation and

0:22:04.760 --> 0:22:07.240
<v Speaker 1>Choice Online Act. And now it's a little farther away.

0:22:07.280 --> 0:22:09.480
<v Speaker 1>You know, we obviously in the United States, we have

0:22:09.560 --> 0:22:13.240
<v Speaker 1>a different process um and you need bipartisan backing really

0:22:13.240 --> 0:22:16.760
<v Speaker 1>for any bill to today to become enacted and become law.

0:22:17.080 --> 0:22:19.359
<v Speaker 1>So we're a little bit farther behind. But this bill

0:22:19.440 --> 0:22:23.119
<v Speaker 1>actually has been voted through the Senate Judiciary Committee and

0:22:23.160 --> 0:22:26.959
<v Speaker 1>has pretty strong bipartisan backing, very similar to the Digital

0:22:27.000 --> 0:22:30.520
<v Speaker 1>Markets Act. It also would ban self preferencing by big

0:22:30.560 --> 0:22:35.160
<v Speaker 1>tech platforms. Right now, it really only covers Amazon, Apple, Facebook, Google,

0:22:35.200 --> 0:22:38.000
<v Speaker 1>and maybe Microsoft that's a little bit unclear. Has a

0:22:38.000 --> 0:22:40.960
<v Speaker 1>few affirmative defenses for certain kind of conduct, but really

0:22:41.040 --> 0:22:44.400
<v Speaker 1>very limited. I believe that it does have some prospects,

0:22:44.440 --> 0:22:47.919
<v Speaker 1>but I don't necessarily think as it's written today it

0:22:48.000 --> 0:22:50.560
<v Speaker 1>could actually get through a floor vote in the Senate

0:22:50.600 --> 0:22:53.040
<v Speaker 1>and even in the House and become law. In the

0:22:53.080 --> 0:22:55.280
<v Speaker 1>committee it was sixteen to six in the votes. It

0:22:55.359 --> 0:22:58.520
<v Speaker 1>was all Democrats and then some Republicans, but many of

0:22:58.520 --> 0:23:01.359
<v Speaker 1>the yes votes were sort of contingent. Yes is that

0:23:01.400 --> 0:23:03.080
<v Speaker 1>we want to keep working on it. We think it

0:23:03.119 --> 0:23:06.159
<v Speaker 1>needs improvement or change before we'd actually vote yes on

0:23:06.200 --> 0:23:08.720
<v Speaker 1>the floor, So it means it's still developing and changing

0:23:08.720 --> 0:23:10.520
<v Speaker 1>and so we're going to have to see, you know,

0:23:10.680 --> 0:23:14.080
<v Speaker 1>where that comes out before we understand how strong it

0:23:14.160 --> 0:23:16.200
<v Speaker 1>is and if it's really as tough as the Digital

0:23:16.200 --> 0:23:19.960
<v Speaker 1>Markets Act is. We heard that under the Biden administration,

0:23:20.000 --> 0:23:23.760
<v Speaker 1>antitrust enforcement was going to be tougher. Have we seen

0:23:23.840 --> 0:23:26.480
<v Speaker 1>that or is it too soon? You know? I think

0:23:26.520 --> 0:23:29.200
<v Speaker 1>we have seen it. And it's remarkable because law moves

0:23:29.280 --> 0:23:32.199
<v Speaker 1>very slowly, in a particular, anti trust law moves very slowly.

0:23:32.400 --> 0:23:34.960
<v Speaker 1>But in particular, the Department of Justice has been really

0:23:35.000 --> 0:23:38.880
<v Speaker 1>aggressive and they've been quite successful in suing to try

0:23:38.920 --> 0:23:41.639
<v Speaker 1>to block mergers and then getting those deals to go

0:23:41.840 --> 0:23:45.280
<v Speaker 1>to abandonment rather than actually taking their resources to litigate

0:23:45.280 --> 0:23:47.600
<v Speaker 1>through which is for the Department of Justice an ideal

0:23:47.640 --> 0:23:50.440
<v Speaker 1>outcome because they get what they want, they kill the deal,

0:23:50.520 --> 0:23:52.640
<v Speaker 1>but they don't have to use their resources to litigate

0:23:52.640 --> 0:23:55.159
<v Speaker 1>all through court. They've been very active. Now the Federal

0:23:55.160 --> 0:23:58.240
<v Speaker 1>Trade Commission, I believe will become much more active. Um

0:23:58.560 --> 0:24:01.919
<v Speaker 1>The chairs hands have and tied for some time because

0:24:01.960 --> 0:24:04.399
<v Speaker 1>they don't have their full slate of five commissioners. They

0:24:04.440 --> 0:24:07.760
<v Speaker 1>have a deadlock of two Republicans and two Democrats. Now

0:24:07.760 --> 0:24:10.679
<v Speaker 1>they have sued to block a few mergers on mostly

0:24:10.760 --> 0:24:13.520
<v Speaker 1>unanimous votes, so they've been able to get some bipartisan

0:24:13.560 --> 0:24:16.080
<v Speaker 1>agreement there. But I do think they will become more

0:24:16.080 --> 0:24:21.879
<v Speaker 1>aggressive and more activist interventionist once the fifth Democrat is confirmed.

0:24:22.400 --> 0:24:26.800
<v Speaker 1>Thanks Jen. That's Jennifer Free, Bloomberg Intelligence Senior litigation analyst