Supreme Court Weighs $400,000 Sun Valley Fine as Justices Test Limits on Agency Tribunals
Updated
Updated · The Washington Post · Nov 10
Supreme Court Weighs $400,000 Sun Valley Fine as Justices Test Limits on Agency Tribunals
3 articles · Updated · The Washington Post · Nov 10
Summary
Justices on Tuesday pressed both sides over whether the Labor Department can impose more than $400,000 in penalties on Sun Valley Orchards through its own tribunal rather than a federal jury trial.
The case stems from 2015 allegations that the New Jersey farm gave H-2A workers inadequate meals and housing conditions and sent some home early, leaving them short of pay.
Sun Valley says the penalties are unconstitutional because the dispute resembles a private contract matter; the Justice Department argues H-2A rules are public conditions agencies have long enforced in-house.
Brett Kavanaugh questioned whether Sun Valley's proposed rule would create line-drawing problems, while Neil Gorsuch appeared more receptive to the farm's contract-based argument.
The dispute could extend the court's 2024 Jarkesy ruling against SEC in-house fraud cases and further narrow federal agencies' power to levy civil fines.