Utier v. Financial Oversight and Management Board for Puerto Rico

Questions presented

SCOTUS records, cert granted 20 Jun 2019

After correctly determining that the members of the Financial Oversight and Management Board for Puerto Rico are principal Officers of the United States for purposes of the Appointments Clause of the United States Constitution, the court of appeals validated the Board's past, present and future actions by applying the de facto officer doctrine. Thus, subjecting the Petitioner, Union de Trabajadores de la Industria Electrica y Riego, Inc., and the People of Puerto Rico, to the actions of unconstitutionally appointed Officers of the United States that are exercising unfettered authority that is causing an ongoing injury to the Petitioner without appropriate relief. Thus, the question presented is whether the de facto officer doctrine allows for unconstitutionally appointed principal Officers of the United States to continue acting, leaving the party that challenges their appointment with an ongoing injury and without an appropriate relief.

Opinion summary

Etalia.ai summary of the majority opinion

The case involved the United States Supreme Court reviewing a challenge by UTIER, a labor union in Puerto Rico, against the Financial Oversight and Management Board for Puerto Rico. The board was established under the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA) to address the island's financial crisis. UTIER argued that members of this board were appointed in violation of the Appointments Clause of the U.S. Constitution because they had not been confirmed by the Senate. The Supreme Court held that while PROMESA is federal law applicable to Puerto Rico as an unincorporated territory, its provisions did not violate constitutional requirements regarding appointments since Congress possesses broad authority over territories like Puerto Rico. Therefore, it concluded that members could be appointed without Senate confirmation due to their territorial function.