Limits on Federal Agencies' Settlement Agreements and Consent Decrees
This act aims to restrict how federal agencies can enter into settlement agreements and consent decrees. It means agencies cannot create new regulations through settlements and cannot pay for legal costs of parties in such cases. In practice, this could affect how quickly and in what manner legal disputes involving the government are resolved, potentially altering the scope of agency actions without formal legislative processes.
Key points
Federal agencies cannot enter into consent decrees that exceed the court's authority.
Settlement agreements or consent decrees resulting in new regulations cannot include payment of attorneys' fees or litigation costs.
The act defines 'guidance document' and 'regulation' to prevent lawmaking outside formal procedures.
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