SEC whistleblower lawyer Dallas Hammer offered is perspective on potential Supreme Court nominees in a Bloomberg BNA article entitled Trump’s SCOTUS Picks Not Seen as Investor Friendly. Mr. Hammer noted that the three leading candidates—Judge Thomas Hardiman of the U.S. Court of Appeals for the Third Circuit, Judge Neil Gorsuch of the Tenth Circuit and Judge William Pryor of the Eleventh Circuit “probably would strictly construe shareholder securities suits, [which] would spell good news for issuers, broker-dealers, and investment advisers sued for securities fraud and bad news for shareholder-plaintiffs.”
“According to Hammer, Gorsuch could have the most lasting effect on securities law because he is one of the most vociferous opponents of Chevron deference. In Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., the high court concluded that if congressional intent isn’t clear on an issue, the courts must defer to the agency’s reasonable interpretation of a statute it administers. If Gorsuch’s views on administrative law gain traction on the court, it could fundamentally change the way securities laws have been enforced for the past three decades, Hammer said.”
