U.S. SUPREME COURT DELIVERS WIN FOR AUTO AFTERMARKET INDUSTRY AGAINST FEDERAL AGENCY OVERREACH

U.S. SUPREME COURT DELIVERS WIN FOR AUTO AFTERMARKET INDUSTRY AGAINST FEDERAL AGENCY OVERREACH

DIAMOND BAR, Calif. (June 28, 2024) - The U.S. Supreme Court delivered a huge win for industries impacted by federal overreach today. In its decisions in Loper Bright v. Raimondo andRelentless v. Commerce, the high court has provided increased regulatory certainty to small businesses around the country, including specialty automotive aftermarket companies, that have been adversely impacted by federal regulatory overreach. The court's decisions overturned what is known as the Chevron Doctrine, which adopted the principle that judges should defer to federal executive branch agencies' interpretations of their powers when the laws that Congress has written are ambiguous or have gaps so long as those interpretations are reasonable. The Court's decision affirms that agencies cannot take actions that are inconsistent with, or not supported by, the language of, the laws passed by Congress.

These precedent-setting decisions will provide opportunities to revisit a wide array of regulations that affect so much of everyday life - including issues that directly impact the specialty automotive aftermarket. For the last four decades, many energy, climate, health, and safety regulations have been given deferential treatment in federal courts because of the Chevron doctrine. During this time, federal agencies expanded the scope of regulations beyond congressional intent, which has adversely impacted small businesses that drive the U.S. economy.

This decision restores the checks and balances of our system of governance and rightly places authority back where it belongs: with the elected officials in Congress who are charged with drafting federal laws. The Supreme Court's decisions on these pivotal cases will help to reign in federal regulations where the executive branch has exceeded its statutory authority.

About SEMA

The Specialty Equipment Market Association (SEMA) serves as a leading voice for the worldwide car culture, representing over 7,000 member companies that create, buy, sell, and use specialty-automotive parts that make vehicles more unique, attractive, convenient, safer, fun, and even like new again. Business member benefits include product development resources, market research, networking, education, legislative advocacy, and more. The Association organizes the annual SEMA Show in Las Vegas, Nev., and actively supports the career and business opportunities that the aftermarket generates. The industry contributes nearly $337 billion in economic impact to the U.S. economy, supports 1.3 million jobs nationally, and generates $52.3 billion in parts sales annually. For more information, visit www.sema.org.

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