BY Benjamin ClarkMarch 20, 2025
4 months ago
BY 
 | March 20, 2025
4 months ago

Trump dismisses key FTC democrats, stirs legal controversy

In a bold move that reverberated through the corridors of Washington, President Donald Trump fired the two remaining Democratic commissioners on the Federal Trade Commission (FTC).

According to the New York Post, President Trump fired Federal Trade Commission Democratic commissioners Alvaro Bedoya and Rebecca Kelly Slaughter on Tuesday, challenging decades of agency independence and setting the stage for a significant legal confrontation.

Both commissioners have denounced their dismissals as illegal and vowed to pursue legal action against Trump's decision.

The controversial move leaves the five-person panel with only two remaining members: FTC Chair Andrew Ferguson and Republican commissioner Melissa Holyoak, while Trump nominee Mark Meador awaits Senate confirmation for the third Republican seat.

Constitutional Authority Faces Supreme Court Precedent

White House officials justified the dismissals by citing Trump's "unrestricted power" to remove Senate-confirmed executive branch officers.

The administration communicated to the dismissed commissioners that their continued service was incompatible with Trump's priorities, invoking Article II of the Constitution as grounds for removal.

The firings directly challenge the 1935 Supreme Court ruling in Humphrey's Executor v. United States, which established that presidents cannot dismiss FTC commissioners without good cause.

This precedent has historically protected independent regulatory bodies from direct executive interference, including agencies like the Federal Trade Commission and Federal Reserve.

The White House argues that the FTC's significant executive powers should exempt it from protections established by the Humphrey's Executor case. This interpretation represents a dramatic shift in the traditional understanding of agency independence.

Agency Leadership Divided Over Presidential Authority

FTC Chair Andrew Ferguson publicly supported Trump's authority to remove commissioners. Ferguson declared his confidence in the president's constitutional power to dismiss commissioners, framing it as essential for maintaining democratic accountability in government operations.

Former FTC chair Lina Khan criticized the president's actions. She expressed concern about the agency's ability to enforce laws impartially under such circumstances.

Democratic Commissioner Slaughter stated the following:

The law protects the independence of the Commission because the law serves the American people, not corporate power.

Implications for Major Tech Cases and Regulatory Future

The FTC currently oversees several high-profile cases, including an upcoming April trial seeking Meta's breakup and ongoing litigation against Amazon. The agency also manages data privacy settlements involving Meta and X.

These dismissals occur amid Trump's broader initiative to expand White House control over independent agencies. In February, he issued an executive order increasing presidential authority over these bodies.

Former FTC officials suggest the timing may serve as a warning to Federal Reserve Chair Jerome Powell, whom Trump has previously criticized for interest rate decisions. The move could establish a precedent affecting other independent agencies' autonomy.

Final Impact on Federal Regulatory Landscape

President Trump's dismissal of both Democratic FTC commissioners marks an unprecedented challenge to the agency's independence, potentially reshaping federal regulatory oversight. The action affects not only the FTC's current composition but also its ability to pursue ongoing cases against major technology companies.

The outcome of the expected legal challenges will determine whether decades of regulatory agency independence can withstand executive-branch intervention. This decision's impact extends beyond the FTC, potentially affecting other independent federal agencies' autonomy and their ability to operate without direct presidential control.

Written by: Benjamin Clark

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