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Michael W. McConnell: The Pay Czar Is Unconstitutional
MICHAEL W. MCCONNELL Last week's announcement that "Pay Czar" Kenneth Feinberg slashed compensation for executives at seven large financial firms by an average of 50% stunned Wall Street, stoked the fires of populist resentment, and troubled economists. Will this government-mandated pay cut ...
Examiner Editorial: Uncovering the bull under the bailout
Examiner Editorial: Uncovering the bull under the bailout
washingtonexaminer.com — Congress put American taxpayers on the hook for $700 billion last year when it approved the massive... bailout to paper over the imprudent lending decisions of nine Wall Street giants: Bank of America, Citigroup, Wells Fargo, JP Morgan Chase, Goldman ... (more) Examiner Editorial: Uncovering the bull under the bailout
Geithner rejects $1 trillion limit on bailout power
thehill.com — In my questioning of Treasury Secretary Timothy Geithner before the Financial Services Committee on Wednesday, I focused... on the new bailout authority included in the 618-page legislative proposal submitted by the Treasury Department. In my opinion, ... (more) Geithner rejects $1 trillion limit on bailout power
Is a Pay Czar constitutional?
faustasblog.com — Those of us who are asking whether a “czar”, who is not under Congressional oversight, is allowed... under the Constitution to set wages in private industry have an answer by Michael McConnell: The Pay Czar Is Unconstitutional Kenneth Feinberg hasn’t been confirmed by the U.S. ... (more) Is a Pay Czar constitutional?
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Is the pay czar position constitutional?
Betsy's Page — Former federal judge and Stanford Law professor Michael McConnell makes a pretty persuasive argument that the position of a pay czar who has the authority to determine salaries at private institutions receiving federal bailouts is not a constitutional position. What is lacking is having the position designated by Congress as a position that doesn't need Senate approval. Otherwise, his position, regardless of who occupies it, violates the constitutional provisions for the legislative branch's check over the executive branch. The Founders understood that the president and heads ...

MICHAEL MCCONNELL: The Pay Czar Is Unconstitutional. You know, if a Republican President were doin…
Instapundit — ... MICHAEL MCCONNELL: The Pay Czar Is Unconstitutional. You know, if a Republican President were doing this many bizarre things, public-interest lawyers would be suing right and left to stop them. Where are the lawsuits now? ...

Is the ‘Pay Czar’ Unconstitutional?
WSJ.com: Law Blog — ... Obama administration’s “Pay Czar,” Kenneth Feinberg (pictured), was slashing compensation for executives at seven large financial firms. Click here for the WSJ story. Amid all the discussion over whether the move was good or bad, overdue or counterproductive, one question, according to former 10th Circuit judge and current Stanford Law prof Michael McConnell, got lost in the shuffle: Was Feinberg’s action constitutional? McConnell, writing Friday for the WSJ’s opinion page, thinks the answer is a ...

Law Prof Argues Pay Czar Is Unconstitutional
ABA Journal Top Stories — ... Is the appointment of pay czar Kenneth Feinberg constitutional? Stanford law professor Michael McConnell, a former federal appeals judge, thinks not. In a Wall Street Journal (sub. req.) editorial, McConnell argues that Feinberg’s appointment violates the appointments clause requiring Senate approval of all officers of the United States. Feinberg was appointed to the pay czar position by Treasury Secretary Timothy Geithner under the law establishing the Troubled Asset Relief Program. The law authorized Geithner to require TARP recipients to meet “appropriate standards” for ...

Is the Pay Czar Unconstitutional?
The Volokh Conspiracy — ... Former federal appellate judge Michael McConnell, now a professor at Stanford, argues that the “Pay Czar” is unconstitutional.  Specifically, he argues that the “Pay Czar,” aka the Treasury Department’s “Special Master” for executive compensation, is an “officer” of the United States for purposes of the Appointments Clause (albeit likely an inferior officer) because he is an “appointee exercising significant authority pursuant to the laws of the United States.”  ...

"The Pay Czar Is Unconstitutional"
Hit & Run — ... It is no reflection on Kenneth Feinberg, who has a sterling reputation and who appears to have approached these sensitive duties with a spirit of commendable integrity, to say that the checks and balances of the Constitution should be scrupulously observed. They were not. Because he is not a properly appointed officer of the United States, Mr. Feinberg's executive compensation decisions were unconstitutional. Read the whole thing here. ...

Is The Pay Czar Constitutional ? Umm, No
Below The Beltway — ... Stanford Law Professor and former Federal Appeals Court Judge Michael McConnell looks at the constitutionality of Obama’s pay czar: ...

Is a Pay Czar constitutional?
Fausta's Blog — Those of us who are asking whether a “czar”, who is not under Congressional oversight, is allowed under the Constitution to set wages in private industry have an answer by Michael McConnell: The Pay Czar Is Unconstitutional Kenneth Feinberg hasn’t been confirmed by the U.S. Senate. So who is Kenneth Feinberg, and where did he get the power to set pay for executives at private firms? As part of the hastily enacted and seldom-read legislation establishing the Troubled Asset Relief Program (TARP), Congress ...

"The power to set compensation at large American businesses is especially subject to potential abuse, favoritism, arbitrariness, or political manipulation."
Althouse"It is no reflection on Kenneth Feinberg, who has a sterling reputation and who appears to have approached these sensitive duties with a spirit of commendable integrity, to say that the checks and balances of the Constitution should be scrupulously observed. They were not. Because he is not a properly appointed officer of the United States, Mr. Feinberg's executive compensation decisions were unconstitutional." ...

November 2 roundup
Overlawyered — ... deadline for new Oklahoma limits on liability suits [Tulsa World] Spokesman for Attorney General Jerry Brown admits he’s taped reporter conversations without their consent, seeming violation of California law [SF Chronicle] UK: motorist could face prosecution for splashing kids by driving through puddle, at what she says was kids’ request [BoingBoing] “Is the pay czar unconstitutional?” [Bainbridge on McConnell, WSJ] More “deceptively named fruity cereal” suits in California ...

Michael McConnell v. Martin Flaherty on Whether the Pay Czar’s Appointment Violates the Appointments Clause
The Volokh Conspiracy — ... In an op-ed in the Wall Street Journal, Michael McConnell, the Richard and Frances Mallery Professor of Law and Director of the Stanford Constitutional Law Center, argues that Mr. Feinberg’s actions are unconstitutional because powers of the type entrusted to Mr. Feinberg may only be exercised by an officer of the United States, appointed in a manner consistent with the requirements of Article II, section 2, clause 2 of the Constitution. This provision stipulates that all “Officers of the United States” shall be appointed by the President “by and with the Advice and Consent of ...

Is the "Pay Czar" Constitutional?
Constitutional Law Prof Blog — ... .  McConnell wrote an op-ed  in the Wall Street Journal last month arguing that the Obama administration's Pay Czar violates the Appointments Clause:  Pay Czar Kenneth Feinberg is an "officer," but he was neither confirmed by the Senate nor authorized by Congress.  McConnell explains in the Federalist debate: Mr. Feinberg is probably an "inferior" officer, defined as one subject to supervision and removal by a member of the cabinet.  Although he has substantial discretion and independence, Mr. Feinberg reports to the secretary of the Treasury, who can fire him at any time for ...

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