7: Administrative Law
- Page ID
- 41867
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\(\newcommand{\avec}{\mathbf a}\) \(\newcommand{\bvec}{\mathbf b}\) \(\newcommand{\cvec}{\mathbf c}\) \(\newcommand{\dvec}{\mathbf d}\) \(\newcommand{\dtil}{\widetilde{\mathbf d}}\) \(\newcommand{\evec}{\mathbf e}\) \(\newcommand{\fvec}{\mathbf f}\) \(\newcommand{\nvec}{\mathbf n}\) \(\newcommand{\pvec}{\mathbf p}\) \(\newcommand{\qvec}{\mathbf q}\) \(\newcommand{\svec}{\mathbf s}\) \(\newcommand{\tvec}{\mathbf t}\) \(\newcommand{\uvec}{\mathbf u}\) \(\newcommand{\vvec}{\mathbf v}\) \(\newcommand{\wvec}{\mathbf w}\) \(\newcommand{\xvec}{\mathbf x}\) \(\newcommand{\yvec}{\mathbf y}\) \(\newcommand{\zvec}{\mathbf z}\) \(\newcommand{\rvec}{\mathbf r}\) \(\newcommand{\mvec}{\mathbf m}\) \(\newcommand{\zerovec}{\mathbf 0}\) \(\newcommand{\onevec}{\mathbf 1}\) \(\newcommand{\real}{\mathbb R}\) \(\newcommand{\twovec}[2]{\left[\begin{array}{r}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\ctwovec}[2]{\left[\begin{array}{c}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\threevec}[3]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\cthreevec}[3]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\fourvec}[4]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\cfourvec}[4]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\fivevec}[5]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\cfivevec}[5]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\mattwo}[4]{\left[\begin{array}{rr}#1 \amp #2 \\ #3 \amp #4 \\ \end{array}\right]}\) \(\newcommand{\laspan}[1]{\text{Span}\{#1\}}\) \(\newcommand{\bcal}{\cal B}\) \(\newcommand{\ccal}{\cal C}\) \(\newcommand{\scal}{\cal S}\) \(\newcommand{\wcal}{\cal W}\) \(\newcommand{\ecal}{\cal E}\) \(\newcommand{\coords}[2]{\left\{#1\right\}_{#2}}\) \(\newcommand{\gray}[1]{\color{gray}{#1}}\) \(\newcommand{\lgray}[1]{\color{lightgray}{#1}}\) \(\newcommand{\rank}{\operatorname{rank}}\) \(\newcommand{\row}{\text{Row}}\) \(\newcommand{\col}{\text{Col}}\) \(\renewcommand{\row}{\text{Row}}\) \(\newcommand{\nul}{\text{Nul}}\) \(\newcommand{\var}{\text{Var}}\) \(\newcommand{\corr}{\text{corr}}\) \(\newcommand{\len}[1]{\left|#1\right|}\) \(\newcommand{\bbar}{\overline{\bvec}}\) \(\newcommand{\bhat}{\widehat{\bvec}}\) \(\newcommand{\bperp}{\bvec^\perp}\) \(\newcommand{\xhat}{\widehat{\xvec}}\) \(\newcommand{\vhat}{\widehat{\vvec}}\) \(\newcommand{\uhat}{\widehat{\uvec}}\) \(\newcommand{\what}{\widehat{\wvec}}\) \(\newcommand{\Sighat}{\widehat{\Sigma}}\) \(\newcommand{\lt}{<}\) \(\newcommand{\gt}{>}\) \(\newcommand{\amp}{&}\) \(\definecolor{fillinmathshade}{gray}{0.9}\)- Understand the roles and functions of administrative agencies.
- Explore judicial review of agency actions.
- Learn how administrative agencies impact the daily operation of businesses.
An administrative agency is a governmental body with the authority to implement and administer particular legislation. They also are called government agencies or regulatory agencies. The day-to-day operations of businesses across industries are shaped primarily by the actions of administrative agencies. This is because Congress and state legislatures often create agencies to regulate and enforce important legislation. Agencies exist at all levels of government and have considerable power to achieve their regulatory objectives.
The most important thing about interacting with any government agency is not to ignore the communication sent to you by that agency. If an agency asks you for information, send it. If the agency asks you to do something, or provide documentation, or to respond to a request, do that thing, provide that documentation, and respond to the request. The agency is not making those requests aimlessly, or to cause you angst and frustration. The agency is doing so because its own rules and regulations require it to gather more information, which the agency needs from you. Your reluctance or failure to respond will only cause delay, or have negative consequences. So, ignore those letters at your peril. ~Sara C., attorney
- 7.2: Creation of Administrative Agencies
- This page details the establishment and function of administrative agencies, created by Congress or state legislatures through enabling acts. These agencies, typically within the executive branch, enforce laws and are managed by appointed officials. Some, like the Federal Trade Commission, operate independently, governed by bipartisan boards for stability.
- 7.3: Agency Functions
- This page discusses the three main powers of administrative agencies: rulemaking, enforcement, and adjudication. Rulemaking can be either formal or informal, with the latter being more efficient. Agencies can enforce rules without probable cause and have some subpoena powers. Adjudication is typically conducted by an administrative law judge, with an internal appeals process. Businesses experience reduced constitutional protections during agency investigations.
- 7.4: Judicial Review of Agency Actions
- This page discusses the APA's provision for judicial review of agency decisions, mandating that parties must first exhaust administrative remedies and demonstrate standing. This process prevents court overload and acknowledges agency expertise. Only those with a personal stake can seek review, which poses challenges for advocacy groups.
- 7.5: Public Access to Agency Information
- This page discusses the Freedom of Information Act (FOIA), which was established in 1966 to improve government accountability by allowing public information requests. Responses usually occur within ten days, with exceptions for national security or trade secrets. Media accounts for 10% of requests, while businesses often utilize FOIA for competitive reasons. A significant case involved AT&T overcharging scrutiny prompted by a FOIA request.
- 7.6: Concluding Thoughts
- This page discusses the essential role of administrative agencies, often called the "Fourth Branch" of government, in law implementation and enforcement. These agencies have substantial discretion and are key contacts for businesses and individuals. A clear understanding of their operations is crucial for business success and avoiding legal problems.


