Archive for 2014

For federal contractors, a hundred little compliance plans

Coyote, updated, and Hans Bader write about yet another new burden loaded on federal contractors, involving the creation of separate affirmative action plans for each installation, including those that do no federal contract business. One result will be to pressure some firms that do only a little federal work to get out of the government contracting business entirely, rather than submit to escalating cost and open-ended legal consequences.

Meanwhile, notes Bader, another part of the Obama administration’s rapidly proliferating “pen and phone” regulation of the workplace “will make it very costly for employers to challenge dubious allegations of wrongdoing against them,” by “[allowing] the government to cut off the contracts of contractors and subcontractors that do not ‘consistently adhere’ to a multitude of complex federal labor, antidiscrimination, harassment, and disabilities-rights laws.” Even more damaging, it will forbid many applications of pre-dispute arbitration to workplace disputes, thus shunting grievances into courtroom litigation. “It will allow trial lawyers to extort larger settlements from companies, and enable bureaucratic agencies to extract costly settlements over conduct that may have been perfectly legal.”

Earlier on regulation of federal contractors, a program driven by executive orders and particularly at the mercy of White House discretion, here and here, here, here, here, and generally at this new tag.

Ferguson, Mo.’s “culture of petty fines”

Race is one reason for constant police hassle in towns like Ferguson. Revenue is another. In a Cato post yesterday, I note that court fees are the second biggest source of revenue for the small city, and that the Ferguson municipal court last year issued three arrest warrants and presided over 1.5 cases per household. As a result, many residents of the town “wind up interacting constantly with law enforcement because of a culture of petty fines” — enough to make for tense relations between the community and the police even aside from the racial divide. Similarly: Alex Tabarrok, who wrote on related issues two years ago. More: Amy Alkon; Brian Doherty at Reason says his colleague Scott Shackford reaches a lower estimate of the importance of fines in the Ferguson budget.

P.S. The ArchCity Defenders report on problems with North County municipal courts is online (PDF). And even before Ferguson blew up, there had been stirrings of reform on some of the courts’ user-unfriendly practices [Post-Dispatch]

August 21 roundup

  • “Brady Campaign loses lawsuit against Armslist (a gun classified ad site)” [Volokh]
  • Train for your bright future in federal employment as a FOIA Denial Officer [Katherine Mangu-Ward]
  • Chamber of Commerce alarmed at rise of class actions in Latin America [Kevin LaCroix/D & O Diary, Chamber report and Brazil sidebar]
  • Dear CBS Los Angeles: it’s okay to show a little skepticism regarding creationist’s claims in employment lawsuit [Skeptical Libertarian]
  • Historic role of guns in black civil rights struggle departs from polite conventional account [Charles E. Cobb, Jr., guestblogging on new book at Volokh: samples one, two, three, four]
  • Ranking law blogs based on their number of Feedly subscribers [Derek Muller; only a few single-author blogs score higher]
  • At the height of county fair season, it’s depressing to read about 4-H suits [Legal Geeks]

Anti-discrimination law vs. associational freedom, again

Robert and Cynthia Gifford offer their Liberty Ridge Farm in Schaghticoke, N.Y. as a wedding venue. New York has now fined them $13,000 for politely declining to host a gay wedding. They’ll also have to train their employees in compliance. [LGBTQ Nation, WNYT, Village Voice] Earlier on cakes and more cakes, flowers, photographers, etc. etc. More on this topic: Scott Shackford, Reason.

Police and civil disorder roundup

All-Ferguson edition, including my CNBC exchange last Friday, above:

  • Typically good John Stossel column [Washington Examiner, syndicated, and thanks for mention] Disturbing innovations coming our way in the world of crowd/protest control include “puke cannons,” “pain rays” [Gene Healy, Washington Examiner, ditto]
  • Cause of death: failure to comply with police orders [David M. Perry, opinion] “Here is the bottom line: if you don’t want to get shot, tased, pepper-sprayed, struck with a baton or thrown to the ground, just do what I tell you” [Sunil Dutta (L.A.P.D. officer), Washington Post; Ken at Popehat]
  • “Expect Many, Many Lawsuits From Ferguson” [Chris Geidner, BuzzFeed]
  • Not the safe conventional move: I’m quoted on Sen. Rand Paul’s willingness to grapple with Ferguson [Politico]
  • Local commercial economies take a long time to recover from damage done by looting [Kate Rogers/Fox Business, thanks for quote]]
  • Political economy: unusual state of representation in Ferguson makes the town an outlier [Seth Masket, Pacific Standard] Police-driven budget? “Ferguson receives nearly one-quarter of its revenue from court fees” [Jeff Smith, NY Times]
  • According to Victor Davis Hanson, we critics of police militarization have “empowered [radical groups] to commit violence” [NRO]
  • “What I Did After a Cop Killed My Son” [Michael Bell, Politico, Kenosha, Wisc.; civilian review]
  • “Why Are There No News Helicopters Over Ferguson?” [Peter Suderman]

Labor and employment roundup

  • After Harris v. Quinn, states and unions begin dropping mandatory dues collection for home health carers [Michigan Capitol Confidential, Fox; my two cents at Free State Notes on Maryland’s heel-dragging]
  • Macy’s in suburban Boston is opening target for NLRB bid to install gerrymandered “micro-unions” [The Hill, earlier here, etc.]
  • Federal contractors to fork over pay demographics, the better to be sued [Department of Labor]
  • Speaking of the barrage of executive orders coming out of the White House, it’s beyond silly to pretend that all the costly new employment mandates will promote “efficiency and cost savings” [Coyote]
  • “Gay Christian conservative employee sues gay bar for sexual, religious harassment” [Volokh]
  • “House Hearing Highlights Problems in the Fair Labor Standards Act” [Alex Bolt]
  • “Forcing Kids to Do Chores Not a Federal Crime” [Courthouse News, Volokh]

Feds to put monitors inside two banks

Via Politico, a WSJ news item from last month that should not pass unremarked:

New York’s banking regulator is pushing to install government monitors inside the U.S. offices of Deutsche Bank and Barclays … as part of an intensifying investigation into possible manipulation in the foreign-exchange market … The state’s Department of Financial Services notified lawyers for the two European banks earlier this month that it wanted to install a monitor inside each firm, based on preliminary findings in the agency’s six-month currencies-market probe … Negotiations are continuing over the details of the monitors’ appointments, but New York investigators expect to reach an agreement soon.

The regulatory agency has selected Deutsche Bank and Barclays for extra scrutiny partly because the records it has collected so far from more than a dozen banks under its supervision point to the greatest potential problems at those two banks, the people said. Plus, Deutsche Bank and Barclays are among the dominant players in the vast foreign-exchange market, so investigators hope a close-up view into their businesses will help them observe other players and trading patterns [emphasis added — W.O.].

We’ve covered the expanding role of settlement and litigation monitors in past posts, and noted the seemingly arbitrary and unaccountable powers these monitors may exercise during their stay within the enterprises to which they are embedded. But there’s something novel (isn’t there?) about the installation of monitors loyal to state overseers whose mission includes watching other firms and market players besides the one that has admitted misbehavior (or has been found by a court to have misbehaved). When you have dealings with a company, and perhaps decide to entrust your sensitive personal or business data to it, should you be worried that it wind up crossing the screen or desk of a quietly emplaced monitor reporting back to Albany, or perhaps Washington?