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Court widens options for vaping companies pushing back against FDA rules
Legal News |
2025/06/23 11:30
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The Supreme Court sided with e-cigarette companies on Friday in a ruling making it easier to sue over Food and Drug Administration decisions blocking their products from the multibillion-dollar vaping market.
The 7-2 opinion comes as companies push back against a yearslong federal regulatory crackdown on electronic cigarettes. It’s expected to give the companies more control over which judges hear lawsuits filed against the agency.
The justices went the other way on vaping in an April decision, siding with the FDA in a ruling upholding a sweeping block on most sweet-flavored vapes instituted after a spike in youth vaping.
The current case was filed by R.J. Reynolds Vapor Co., which had sold a line of popular berry and menthol-flavored vaping products before the agency started regulating the market under the Tobacco Control Act in 2016.
The agency refused to authorize the company’s Vuse Alto products, an order that “sounded the death knell for a significant portion of the e-cigarette market,” Justice Amy Coney Barrett wrote in the majority opinion.
The company is based in North Carolina and typically would have been limited to challenging the FDA in a court there or in the agency’s home base of Washington. Instead, it joined forces with Texas businesses that sell the products and sued there. The conservative 5th U.S. Circuit Court of Appeals allowed the lawsuit to go forward, finding that anyone whose business is hurt by the FDA decision can sue.
The agency appealed to the Supreme Court, arguing that R.J. Reynolds was attempting to find a court favorable to its arguments, a practice often referred to as “judge shopping.”
The justices, though, found that the law does allow other businesses affected by the FDA decisions, like e-cigarette sellers, to sue in their home states.
In a dissent, Justice Ketanji Brown Jackson, joined by Justice Sonia Sotomayor, said she would have sided with the agency and limited where the cases can be filed.
The Campaign for Tobacco-Free Kids called the majority decision disappointing, saying it would allow manufacturers to “judge shop,” though it said the companies will still have to contend with the Supreme Court’s April decision.
Attorney Ryan Watson, who represented R.J. Reynolds, said that the court recognized that agency decisions can have devastating downstream effects on retailers and other businesses, and the decision “ensures that the courthouse doors are not closed” to them.
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Virginia Democrats move to round out ticket in key off-year election
Legal News |
2025/06/19 11:29
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Former Del. Jay Jones will look to be the face of legal resistance to President Donald Trump in Virginia after winning Tuesday’s closely watched Democratic state primary for attorney general.
Jones will face Republican Attorney General Jason Miyares in the November general election. His victory was a critical step for Democrats in rounding out their ticket ahead of a bellwether election later this year.
Democrats are also nominating their pick for lieutenant governor from a field of six candidates. State Sen. Ghazala Hashmi led Former Richmond City Mayor Levar Stoney in the tightly locked race Tuesday night, and she declared victory, but The Associated Press deemed the race too early to call.
The November election is sure to make history as Virginia is set to elect its first female governor since the state’s first governorship 250 years ago. Democrat Abigail Spanberger, who ran for the Democratic nomination unopposed, will battle Republican Lt. Gov. Winsome Earle-Sears — the only Republican who qualified for the ballot.
Virginia is one of two states that host statewide elections the year after a presidential election — New Jersey is the other — and the races are typically seen as referendums on the party in power before Congress heads into midterm elections.
Analysts will be looking for clues in both states about voter sentiment with Trump back in the Oval Office and Republicans controlling power in Washington.
Democrats’ hold on Virginia has slipped in recent years, moving it close to swing-state status nationally. Republican Gov. Glenn Youngkin beat former Gov. Terry McAuliffe in 2021.
Still, Democrats have history on their side: The party of the sitting president typically suffers defeat in Virginia’s statewide races. And considering Trump has never won the state, Democrats are probably better positioned to make gains once their ticket solidifies.
Jones won the Democratic nomination in the race for attorney general despite his opponent casting him as lacking criminal prosecutorial experience.
Jones, who represented Norfolk in the House of Delegates for four years, comes from a long line of Hampton Roads politicians. His father was also a delegate, and his grandfather was the first Black member of the Norfolk School Board. Jones previously ran for attorney general in 2021 but lost the primary to Democratic incumbent Mark Herring.
He defeated Democrat Shannon Taylor, who has served more than a decade as the top prosecutor in the suburbs outside Richmond after flipping the open seat in 2011.
On the campaign trail, Jones touted himself as a candidate with the experience best suited for the job: He had worked as an assistant attorney general in Washington, where he said he had litigated consumer protection cases.
If elected attorney general, he also vowed to push back against Trump in court.
“I am ready for this fight and to win this November,” Jones said in a victory statement.
The six Democrats vying to be Virginia’s next lieutenant governor aren’t all that different on the issues: They support rights to abortion, a living wage, affordable housing and accessible health care. They also share similar criticisms of Trump.
The candidates notably fracture along regional lines.
Stoney has touted his ties to the Democratic Party and experience working under former Govs. Mark Warner and Terry McAuliffe.
Hashmi is also from the Richmond area, representing part of the city and suburbs. She has pushed reproductive health in her bid and has been endorsed by abortion rights political action committees.
Virginia Sen. Aaron Rouse, from Virginia Beach with ties to southwest Virginia, has also highlighted his legislative accomplishments.
Prince William County School Board Chair Barbur Lateef, former federal prosecutor Victor Salgado and retired U.S. Department of Labor worker Alex Bastani are from northern Virginia.
Only one Republican candidate in each statewide contest is advancing to the ballot.
Earle-Sears became the gubernatorial nominee after Republicans Dave LaRock and Amanda Chase failed to collect enough signatures to qualify for the ballot. Both LaRock and Chase initially challenged Earle-Sears for not being fully aligned with Trump.
Conservative talk-radio host John Reid became the de facto nominee for lieutenant governor after his primary opponent left the race, and despite intraparty quarreling over whether he was tied to a social media account reposting pornography.
Miyares sailed to his spot on the ballot as the nominee for attorney general after announcing his reelection bid. On Tuesday night, he said of Jones’ victory: “My opponent’s ideological record makes Virginia families less safe and our streets more violent.”
All 100 seats of the House of Delegates are up for election in November.
In Virginia’s more competitive districts, Democrat May Nivar won her primary race and will be taking on Republican incumbent Del. David Owen in a Richmond-area district that House liberals are vying to flip. Democrat Lindsey Dougherty won her primary race and will battle Republican Del. Carrie Coyner in a Petersburg-area district. |
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Trump formally asks Congress to claw back approved spending targeted by DOGE
Legal News |
2025/06/02 11:51
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The White House on Tuesday officially asked Congress to claw back $9.4 billion in already approved spending, taking funding away from programs targeted by Elon Musk’s Department of Government Efficiency.
It’s a process known as “rescission,” which requires President Donald Trump to get approval from Congress to return money that had previously been appropriated. Trump’s aides say the funding cuts target programs that promote liberal ideologies.
The request, if it passes the House and Senate, would formally enshrine many of the spending cuts and freezes sought by DOGE. It comes at a time when Musk is extremely unhappy with the tax cut and spending plan making its way through Congress, calling it on Tuesday a “disgusting abomination” for increasing the federal deficit.
White House budget director Russ Vought said more rescission packages and other efforts to cut spending could follow if the current effort succeeds.
“We are certainly willing and able to send up additional packages if the congressional will is there,” Vought told reporters.
Here’s what to know about the rescissions request:
Will the rescissions make a dent in the national debt?
The request to Congress is unlikely to meaningfully change the troublesome increase in the U.S. national debt. Tax revenues have been insufficient to cover the growing costs of Social Security, Medicare and other programs. The Congressional Budget Office estimates the government is on track to spend roughly $7 trillion this year, with the rescission request equaling just 0.1% of that total.
White House press secretary Karoline Leavitt told reporters at Tuesday’s briefing that Vought — a “well-respected fiscal hawk,” she called him — would continue to cut spending, hinting that there could be additional efforts to return funds.
“He has tools at his disposal to produce even more savings,” Leavitt said.
Members of the House Freedom Caucus, among the chamber’s most conservative lawmakers, said they would like to see additional rescission packages from the administration.
“We will support as many more rescissions packages the White House can send us in the coming weeks and months,” the group said in a press release. “Passing this rescissions package will be an important demonstration of Congress’s willingness to deliver on DOGE and the Trump agenda.”
Sen. Susan Collins, chair of the Senate Appropriations Committee, gave the package a less optimistic greeting.
“Despite this fast track, the Senate Appropriations Committee will carefully review the rescissions package and examine the potential consequences of these rescissions on global health, national security, emergency communications in rural communities, and public radio and television stations,” the Maine lawmaker said in a statement.
Vought said he can send up additional rescissions at the end of the fiscal year in September “and if Congress does not act on it, that funding expires.”
“It’s one of the reasons why we are not putting all of our expectations in a typical rescissions process,” he added.
What programs are targeted by the rescissions?
A spokesperson for the White House Office of Management and Budget, speaking on condition of anonymity to preview some of the items that would lose funding, said that $8.3 billion was being cut from the State Department and the U.S. Agency for International Development. NPR and PBS would also lose federal funding, as would the U.S. President’s Emergency Plan for AIDS Relief, also known as PEPFAR.
The spokesperson listed specific programs that the Trump administration considered wasteful, including $750,000 to reduce xenophobia in Venezuela, $67,000 for feeding insect powder to children in Madagascar and $3 million for circumcision, vasectomies and condoms in Zambia.
Is the rescissions package likely to get passed?
House Speaker Mike Johnson, R-La., complimented the planned cuts and pledged to pass them.
“This rescissions package reflects many of DOGE’s findings and is one of the many legislative tools Republicans are using to restore fiscal sanity,” Johnson said. “Congress will continue working closely with the White House to codify these recommendations, and the House will bring the package to the floor as quickly as possible.”
Members of the House Freedom Caucus, among the chamber’s most conservative lawmakers, said they would like to see additional rescission packages from the administration.
“We will support as many more rescissions packages the White House can send us in the coming weeks and months,” the group said in a press release. “Passing this rescissions package will be an important demonstration of Congress’s willingness to deliver on DOGE and the Trump agenda.”
Sen. Susan Collins, chair of the Senate Appropriations Committee, gave the package a less optimistic greeting.
“Despite this fast track, the Senate Appropriations Committee will carefully review the rescissions package and examine the potential consequences of these rescissions on global health, national security, emergency communications in rural communities, and public radio and television stations,” the Maine lawmaker said in a statement.
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World financial markets welcome court ruling against Trump's tariffs
Legal News |
2025/05/29 07:30
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Financial markets welcomed a U.S. court ruling that blocks President Donald Trump from imposing sweeping tariffs on imports under an emergency-powers law.
U.S. futures jumped early Thursday and oil prices rose more than $1. The U.S. dollar rose against the yen and euro.
The court found the 1977 International Emergency Economic Powers Act, which Trump has cited as his basis for ordering massive increases in import duties, does not authorize the use of tariffs.
The White House immediately appealed and it was unclear if Trump would abide by the ruling in the interim. The long term outcome of legal disputes over tariffs remains uncertain. But investors appeared to take heart after the months of turmoil brought on by Trump's trade war.
The future for the S&P 500 was up 1.5% while that for the Dow Jones Industrial Average gained 1.2%.
In early European trading, Germany's DAX gained 0.5% to 24,160.75. The CAC 40 in Paris jumped 0.9% to 7,860.67. Britain's FTSE was nearly unchanged at 8,722.63.
Japan's Nikkei 225 index jumped 1.9% to 38,432.98. American's largest ally in Asia has been appealing to Trump to cancel the tariffs he has ordered on imports from Japan and to also stop 25% tariffs on steel, aluminum and autos.
A U.S. Customs and Border Protection technician examines overseas parcels after they were scanned at the agency's overseas mail inspection facility at Chicago's O'Hare International Airport on Feb. 23, 2024.
The ruling also pushed the dollar sharply higher against the Japanese yen. It was trading at 145.40 yen early Thursday, up from 144.87 yen late Wednesday.
A three-judge panel ruled on several lawsuits arguing Trump exceeded his authority, casting doubt on trade policies that have jolted global financial markets, frustrated trade partners and raised uncertainty over the outlook for inflation and the global economy.
Many of Trump's double-digit tariff hikes are paused for up to 90 days to allow time for trade negotiations, but the uncertainty they cast over global commerce has stymied businesses and left consumers wary about what lies ahead.
"Just when traders thought they'd seen every twist in the tariff saga, the gavel dropped like a lightning bolt over the Pacific," Stephen Innes of SPI Asset Management said in a commentary.
The ruling was, at the least, "a brief respite before the next thunderclap," he said.
Elsewhere in Asia, Hong Kong's Hang Seng added 1.3% to 23,561.86, while the Shanghai Composite index gained 0.7% to 3,363.45.
Australia's S&P/ASX 200 gained 0.2% to 8,409.80.
In South Korea, which like Japan relies heavily on exports to the U.S., the Kospi surged 1.9% to 2,720.64. Shares also were helped by the Bank of Korea's decision to cut its key interest rate to 2.5% from 2.75%, to ease pressure on the economy.
Taiwan's Taiex edged 0.1% lower, and India's Sensex lost 0.2%.
On Wednesday, U.S. stocks cooled, with the S&P 500 down 0.6% but still within 4.2% of its record after charging higher amid hopes that the worst of the turmoil caused by Trump's trade war may have passed. It had been roughly 20% below the mark last month.
The Dow industrials lost 0.6% and the Nasdaq composite fell 0.5%.
Trading was relatively quiet ahead of a quarterly earnings release for Nvidia, which came after markets closed.
The bellwether for artificial intelligence overcame a wave of tariff-driven turbulence to deliver another quarter of robust growth thanks to feverish demand for its high-powered chips that are making computers seem more human. Nvidia's shares jumped 6.6% in afterhours trading.
Like Nvidia, Macy's stock also swung up and down through much of the day, even though it reported milder drops in revenue and profit for the latest quarter than analysts expected. Its stock ended the day down 0.3%.
The bond market showed relatively little reaction after the Federal Reserve released the minutes from its latest meeting earlier this month, when it left its benchmark lending rate alone for the third straight time. The central bank has been holding off on cuts to interest rates, which would give the economy a boost, amid worries about inflation staying higher than hoped because of Trump's sweeping tariffs. |
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Budget airline begins deportation flights for ICE with start of Arizona operations
Legal News |
2025/05/11 11:53
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A budget airline that serves mostly small U.S. cities began federal deportation flights Monday out of Arizona, a move that’s inspired an online boycott petition and sharp criticism from the union representing the carrier’s flight attendants.
Avelo Airlines announced in April it had signed an agreement with the Department of Homeland Security to make charter deportation flights from Mesa Gateway Airport outside Phoenix. It said it will use three Boeing 737-800 planes for the flights.
The Houston-based airline is among a host of companies seeking to cash in on President Donald Trump’s campaign for mass deportations.
Congressional deliberations began last month on a tax bill with a goal of funding, in part, the removal of 1 million immigrants annually and housing 100,000 people in U.S. detention centers. The GOP plan calls for hiring 10,000 more U.S. Immigration and Customs Enforcement officers and investigators.
Avelo was launched in 2021 as COVID-19 still raged and billions of taxpayer dollars were propping up big airlines. It saves money mainly by flying older Boeing 737 jets that can be bought at relatively low prices. And it operates out of less-crowded and less-costly secondary airports, flying routes that are ignored by the big airlines. It said it had its first profitable quarter in late 2023.
Andrew Levy, Avelo’s founder and chief executive, said in announcing the agreement last month that the airline’s work for ICE would help the company expand and protect jobs.
“We realize this is a sensitive and complicated topic,” said Levy, an airline industry veteran with previous stints as a senior executive at United and Allegiant airlines.
Financial and other details of the Avelo agreement — including destinations of the deportation flights — haven’t publicly surfaced. The AP asked Avelo and ICE for a copy of the agreement, but neither provided the document. The airline said it wasn’t authorized to release the contract.
Several consumer brands have shunned being associated with deportations, a highly volatile issue that could drive away customers. During Trump’s first term, authorities housed migrant children in hotels, prompting some hotel chains to say that they wouldn’t participate.
Avelo was launched in 2021 as COVID-19 still raged and billions of taxpayer dollars were propping up big airlines. It saves money mainly by flying older Boeing 737 jets that can be bought at relatively low prices. And it operates out of less-crowded and less-costly secondary airports, flying routes that are ignored by the big airlines. It said it had its first profitable quarter in late 2023.
Andrew Levy, Avelo’s founder and chief executive, said in announcing the agreement last month that the airline’s work for ICE would help the company expand and protect jobs.
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Judge bars Trump from denying federal funds to ‘sanctuary’ cities
Legal News |
2025/04/21 07:46
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A federal judge in California on Thursday barred the Trump administration from denying or conditioning the use of federal funds to “sanctuary” jurisdictions, saying that portions of President Donald Trump’s executive orders were unconstitutional.
U.S. District Judge William Orrick issued the injunction sought by San Francisco and more than a dozen other municipalities that limit cooperation with federal immigration efforts.
Orrick wrote that defendants are prohibited “from directly or indirectly taking any action to withhold, freeze, or condition federal funds” and the administration must provide written notice of his order to all federal departments and agencies by Monday.
One executive order issued by Trump directs Attorney General Pam Bondi and Homeland Security Secretary Kristi Noem to withhold federal money to sanctuary jurisdictions. The second order directs every federal agency to ensure that payments to state and local governments do not “abet so-called ‘sanctuary’ policies that seek to shield illegal aliens from deportation.”
At a hearing Wednesday, Justice Department lawyers argued that it was much too early for the judge to grant an injunction when the government had not taken any action to withhold specific amounts or to lay out conditions on specific grants.
But Orrick, who was nominated by President Barack Obama, said this was essentially what government lawyers argued during Trump’s first term when the Republican issued a similar order.
“Their well-founded fear of enforcement is even stronger than it was in 2017,” Orrick wrote, citing the executive orders as well as directives from Bondi, other federal agencies and Justice Department lawsuits filed against Chicago and New York.
San Francisco successfully challenged the 2017 Trump order and the 9th U.S. Circuit Court of Appeals agreed with the lower court that the president exceeded his authority when he signed an executive order threatening to cut funding for “sanctuary cities.”
There is no strict definition for sanctuary policies or sanctuary cities, but the terms generally describe limited cooperation with Immigration and Customs Enforcement. ICE enforces immigration laws nationwide but seeks state and local help in alerting federal authorities of immigrants wanted for deportation and holding that person until federal officers take custody.
Leaders of sanctuary jurisdictions say their communities are safer because immigrants feel they can communicate with local police without fear of deportation. It is also a way for municipalities to focus their dollars on crime locally, they say.
Besides San Francisco and Santa Clara County, which includes a third plaintiff, the city of San José, there are 13 other plaintiffs in the lawsuit, which include Seattle and King County, Washington; Portland, Oregon; Minneapolis and St. Paul, Minnesota; New Haven, Connecticut; and Santa Fe, New Mexico.
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