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Weekend Law: Voting Rights, Comey Indicted & Bayer Litigation | Bloomberg Law

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Weekend Law: Voting Rights, Comey Indicted & Bayer Litigation | Bloomberg Law

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964 segments

0:03

This is Bloomberg Law with June Graasso

0:06

from Bloomberg Radio.

0:09

This Trump Supreme Court just threw out

0:11

the protections

0:13

that were earned by the civil rights

0:15

movement.

0:17

Those who bled, who fought, and who died

0:22

so that people might have a voice.

0:24

>> The Voting Rights Act is considered the

0:26

crown jewel of the Civil Rights

0:28

Movement. And on Wednesday, the Supreme

0:31

Court's conservatives took a wrecking

0:33

ball to what was left of the landmark

0:36

law after having weakened it twice

0:38

before. Democratic Senator Raphael Waro

0:42

said the decision is a huge step

0:44

backwards for racial justice.

0:46

>> Make no mistake, this ruling hearkens

0:50

back to the darkest days of the Jim Crow

0:53

era. The court severely limited the use

0:56

of the Voting Rights Act, making it

0:58

difficult, if not impossible, for

1:00

minorities to challenge electoral maps

1:03

as racially discriminatory. It was a 6-3

1:07

vote with Republicanappointed justices

1:09

in the majority and Democraticappointed

1:12

justices in descent in a decision that

1:15

buttresses Republican efforts to keep

1:18

control of the House in this year's

1:20

midterms and beyond. My guest is one of

1:23

the country's leading authorities on

1:24

election law, Richard Hassan, a

1:27

professor at UCLA Law School. Rick, how

1:30

would you characterize this decision? Is

1:32

it a gamecher?

1:34

>> This is an earthquake. It is one of the

1:37

most significant decisions regarding

1:39

elections that the Supreme Court has

1:40

ever issued.

1:41

>> Tell us why. So when Congress initially

1:45

passed the Voting Rights Act in 1965, it

1:47

did things like assure that black voters

1:50

in the South would be able to register

1:51

to vote, but it didn't do anything about

1:54

the lack of political power that black

1:57

voters would have even when they do

1:58

vote, especially in situations where

2:00

white voters and minority voters prefer

2:02

different candidates. In 1982, Congress

2:05

responded to that by amending section

2:08

two of the Voting Rights Act to provide

2:11

that when white voters and minority

2:13

voters prefer different candidates and

2:15

it's possible to draw a district where

2:18

minority voters can elect their

2:19

candidate of choice under some

2:21

circumstances, states have to do that.

2:23

And from 1986, the understanding was

2:27

that this is what section two required.

2:30

What Justice Alto did in his opinion is

2:32

essentially eviscerate section two of

2:35

the Voting Rights Act, although he

2:37

claims not to overrule the test that's

2:39

been in place since 1986, the so-called

2:42

Jingles test. He does that and he

2:45

imposes a test that will be virtually

2:47

impossible for minority voters to win.

2:50

This is going to lead to many more

2:52

legislative bodies where there will be

2:55

only or mostly white representatives and

2:58

minority voters will not have fair

3:01

representation in Congress, in state

3:04

legislatures, and in local bodies like

3:06

city councils and school boards.

3:07

>> I mean, how did Justice Alo explain what

3:10

was his reasoning? So what Justice Alto

3:13

did was say that race consciousness in

3:18

law is a potential violation of the

3:22

constitution. The constitution requires

3:24

a kind of race blindness when it comes

3:26

to elections and comes to other areas.

3:28

And so in order to keep the voting

3:31

rights act constitutional, he had to

3:33

reconceptualize it to change the

3:35

standards. What he says is that when a

3:39

group of minority voters wants to show a

3:42

claim under section two, they've got to

3:44

show that if say a computer algorithm

3:47

was drawing districts by chance, they

3:49

would have had a chance to have this

3:51

district drawn to give them the

3:53

opportunity to elect a candidate of

3:54

choice. You can't be race conscious in

3:57

drawing districts. That is turning the

3:59

voting rights act on its head. Further,

4:01

he says that states can defend the

4:04

drawing of district lines that dilute

4:06

the power of minority voters by saying

4:07

they're doing it to favor their

4:08

political party. So part gerrymandering,

4:11

far from being unconstitutional, becomes

4:13

a defense to a voting rights case. And

4:15

that is profoundly ironic. It also takes

4:19

the idea that someone in Alabama could

4:22

pass a law that would favor Republicans

4:25

but not favor white voters. It just

4:27

makes no sense given the tremendous

4:29

overlap of race and party in these

4:30

cases.

4:31

>> Alto I understand when he was reading

4:33

parts of his decision from the bench

4:36

said basically don't listen to the

4:38

disscent this is not really a big deal.

4:41

I mean why do you think they kept the

4:43

voting rights act? Is it for appearanc's

4:46

sake so they could say this isn't a big

4:47

deal. Don't look here.

4:49

>> So in 2021 Justice Alto wrote a majority

4:52

opinion for the court in a case called

4:53

Bernovich versus DNC. When that case

4:56

came out, I said, "What Justice Alo has

4:58

done is essentially eviscerated the

5:00

Voting Rights Act section 2 as applied

5:02

outside of redistricting." And since

5:05

that case, as I recounted in a recent

5:07

law reviewview article that Justice

5:08

Kagan cited in her descent, there has

5:11

been no successful case under section

5:13

two since Bernovich outside of

5:15

redistricting. He's doing the same thing

5:17

here in Bernovich. He pretended he

5:19

wasn't overturning the Voting Rights

5:20

Act, but he imposed such a test. He

5:22

doesn't want to take the political heat

5:24

for overturning the act, but he

5:26

essentially renders it a dead letter, as

5:27

Justice Kagan says in her descent.

5:29

>> Justice Kagan said the decision

5:32

completes the Supreme Court's three-step

5:35

plan to eliminate the protections of the

5:37

Voting Rights Act that started in 2013

5:40

in the Shelby County case. Can you tell

5:43

us about those three steps?

5:45

>> So, there were two key parts to the

5:47

Voting Rights Act until 2013. One part,

5:50

as you mentioned, is section five of the

5:52

act that required states with a history

5:54

of racial discrimination and voting to

5:56

get federal approval before they made

5:58

changes in their voting rules. And

5:59

they'd have to show that the changes

6:01

wouldn't make minority voters worse off.

6:02

In Shelby County, in a John Roberts

6:05

opinion, the conservatives on the court

6:07

said that the formula used to figure out

6:09

which states are covered under section 5

6:12

was outdated and therefore

6:14

unconstitutional.

6:15

But the majority assured, don't worry,

6:17

there's always section two to protect

6:18

minority voters. Then came step two,

6:20

that Bernovich case where the court said

6:22

section two outside of the context of

6:25

redistricting is essentially a dead

6:26

letter. And here comes the third and

6:28

final step, which is Justice Alo in his

6:32

opinion in Cala saying, "Here's what

6:35

section 2 means now, essentially

6:36

rendering section 2 a dead letter as it

6:39

applies to redistricting. This is going

6:41

to bleach all of these legislative

6:43

bodies. It is going to make it very

6:45

difficult, if not impossible, for

6:47

minority voters to win in any of these

6:49

lawsuits.

6:50

>> Is there anything left of the Voting

6:51

Rights Act?

6:52

>> Well, there are parts of the Voting

6:53

Rights Act that survive. For example,

6:55

there's a ban on literacy tests. There

6:57

are other requirements of the Voting

6:58

Rights Act, but the two big parts of the

7:01

Voting Rights Act, section 2 and section

7:03

5, are there in a shell only, and it is

7:06

a sad day for voting rights and

7:08

democracy in the United States. and

7:10

progressive groups have calculated that

7:12

as many as 19 congressional districts

7:16

with primarily black or Hispanic

7:18

populations are at risk. I do want to

7:21

make an important point which I think

7:22

some people are missing which is that

7:24

not only will Republicans have an

7:26

incentive to get rid of these districts.

7:28

So will Democrats. Democrats will want

7:30

to take their reliable black voters and

7:33

spread them out in more Democratic

7:34

districts thereby decreasing the number

7:37

of minority opportunity districts but

7:40

still helping Democrats win their

7:42

elections. And so I think the real

7:43

losers here are minority voters and the

7:45

American people overall. If we're going

7:47

to live in a multi-racial democracy, we

7:49

need to have fair representation for all

7:51

people.

7:51

>> Republicans in the South are already

7:53

calling for new maps to be drawn because

7:56

of this decision. How do you think it

7:58

will affect the midterms?

8:00

>> It's not clear how this decision will

8:01

affect the midterms because many states

8:04

have already conducted their primaries,

8:06

and it would be unusual to go back and

8:08

redraw lines and require there to be a a

8:11

new set of primaries. But there are some

8:13

places most importantly in Florida where

8:15

they already right now considering a new

8:17

districtricting plan. They can now

8:19

consider a districting plan that doesn't

8:21

have to take into account the

8:23

requirement to draw districts that were

8:25

thought necessary under section two of

8:27

the voting rights act. And so in Florida

8:29

and maybe a few other places where they

8:31

have not held primaries, we could see

8:33

some redrawing of district lines.

8:34

>> But in 2028, we may see the full effects

8:37

of this decision. I fully expect states

8:40

like Louisiana and Alabama, if they

8:42

can't get it in done in time for 2026,

8:44

to certainly get redistricting, diluting

8:47

minority voting power in time for 2028.

8:49

>> As you know, President Trump started

8:51

this mid decade redistricting battle.

8:55

Does this decision affect the

8:57

redistricting that's been done in Texas,

8:59

California, Virginia, etc.? Are any of

9:03

those maps affected or it doesn't matter

9:06

because they were done for partisan

9:08

reasons?

9:09

>> Well, it's a hard question to answer

9:11

because partisan jerrymandering is now a

9:13

defense. And so that should render maps

9:15

drawn for partisan reasons immune from

9:18

section two claims. But I should say

9:20

that the Virginia maps, which were

9:22

recently passed by voters, may or may

9:25

not survive state court review in the

9:27

Virginia Supreme Court. And so there's

9:30

still some question marks as to exactly

9:32

what the lines are going to be for the

9:34

remaining primaries in 2026.

9:37

>> The Supreme Court has been accused more

9:39

and more of being political, though

9:41

Chief Justice John Roberts likes to talk

9:43

about, you know, we're not politicians.

9:46

Does this decision with six Republicans

9:48

on one side and the Democrats on the

9:50

other, does this make it even more

9:52

political or seem even more political?

9:55

Well, I think it's very clear that the

9:57

conservatives on the Supreme Court are

9:59

helping whether intentionally or not the

10:02

Republican political agenda. I think the

10:04

general mood of the Supreme Court is

10:05

that, you know, you can do anything for

10:08

partisan advantage and the Supreme Court

10:11

is not going to police it. And so

10:13

whether the justices honestly believe

10:16

that they're simply applying jurist

10:17

prudence or they are partisan hacks, as

10:21

Justice Barrett claimed they were not,

10:23

doesn't really matter. the effect is

10:25

going to be the same and the effect is

10:26

going to be to help the Republican

10:28

party.

10:28

>> Could Congress pass a law to get around

10:30

this?

10:31

>> Congress could pass a law revitalizing

10:33

the Voting Rights Act because this was a

10:36

matter of statutory interpretation, not

10:38

a constitutional decision. And so that

10:41

would dare the Supreme Court to actually

10:43

do something and strike it down again. I

10:46

think that this decision is going to

10:48

lead to more calls for Supreme Court

10:49

reform because it's pretty clear what

10:52

the political direction of the majority

10:54

of the court is and it's quite a

10:56

partisan direction.

10:57

>> You've written that this is the worst

10:59

Supreme Court ruling in a century.

11:01

Explain why.

11:03

>> Well, when it comes to voting rights,

11:05

section two was really revolutionary in

11:07

assuring we could have a more

11:09

multi-racial democracy. and the Supreme

11:11

Court by turning the Reconstruction

11:13

Amendments on their head and making race

11:17

consciousness, which Congress required

11:19

in section two, something that is

11:21

constitutionally

11:23

suspect. What the court is going to do

11:25

is going to change the nature of

11:27

political representation in this

11:29

country, bringing us back to a time well

11:32

before the passage of the Voting Rights

11:34

Act amendments in 1982.

11:35

>> It's been great having you on, Rick.

11:37

Thanks so much. That's Professor Rick

11:39

Hassan of UCLA Law School. Coming up

11:42

next, James Comey is indicted for a

11:44

second time. I'm June Grao and you're

11:47

listening to Bloomberg.

11:49

The Justice Department has indicted

11:52

former FBI Director James Comey for the

11:55

second time in 7 months. This time based

11:58

on an Instagram post from a year ago of

12:01

seashells on a beach arranged in the

12:03

numbers 8647.

12:06

The government claims that amounts to a

12:08

threat against President Trump, the 47th

12:11

president. And Trump told reporters this

12:14

week that Comey's post probably put his

12:17

life in danger.

12:19

>> 86. You know what 8? It's a mob term for

12:22

kill him. You know, you ever see the

12:24

movies? 86 him. The mobster says to one

12:28

of his wonderful associates, 86 them.

12:30

That means kill him. Comey said at the

12:33

time of the post that he assumed the

12:34

numbers reflected a political message

12:37

and he deleted the post when he learned

12:39

some people were interpreting it as a

12:41

call to violence. The first indictment

12:44

against him on unrelated false statement

12:46

and obstruction charges was dismissed by

12:49

a judge because the interim US attorney

12:52

had been improperly appointed. Comey

12:54

says he's innocent of these charges as

12:57

well. Well, they're back. This time

13:00

about a picture of seashells on a North

13:03

Carolina beach a year ago. And this

13:06

won't be the end of it. But nothing has

13:09

changed with me. I'm still innocent. I'm

13:12

still not afraid. And I still believe in

13:14

the independent federal judiciary. So,

13:17

let's go.

13:18

>> It's a barebones two-page indictment.

13:20

And even Republican Senator Tom Tillis

13:23

said he hopes the Justice Department has

13:26

more evidence. I searched to the end of

13:28

the internet last night. I can't find

13:30

one example where the number 86 had

13:33

anything to do with any um violent

13:35

threat. So, uh hopefully there's more to

13:38

it than just the picture in the sand.

13:40

>> Joining me is former federal prosecutor

13:42

Robert Mintz, a partner McCarter in

13:44

English. Bob, the term 86 is ambiguous.

13:48

Is it going to be a challenge for

13:50

prosecutors to prove that this was even

13:52

a threat? So the first question that any

13:55

juror or judge is going to ask when they

13:58

take a look at this case is to focus on

14:00

what does 8647 mean. You have to go back

14:04

and take a look at the original

14:06

derivation of the term 86. And

14:08

apparently the prevailing view is that

14:11

it started somehow in the restaurant

14:14

business and it really had to do with

14:15

the fact that an item on the menu was no

14:17

longer available or that a customer at a

14:20

restaurant was going to be asked to

14:21

leave the restaurant. And it's only

14:23

recently that it's come up in a

14:25

political context. One of the most

14:28

prominent use of the term 86 in the last

14:30

several years was back in February of

14:33

2024 when at the time Representative

14:36

Matt Gates of Florida posted we've now

14:39

86 McCarthy McDaniel McConnell which was

14:43

apparently a reference to Kevin McCarthy

14:46

losing his House Speakership, Republican

14:49

National Committee Chair Ronda McDaniel

14:51

leaving her role and Senator Mitch

14:53

McConnell announcing he would step down

14:55

as majority leader. So, we've seen the

14:58

term 86 used in a political context,

15:01

sometimes meaning to get rid of a

15:03

political leader. Here, the government

15:05

apparently is going to try to convince a

15:08

jury ultimately that this was a

15:11

statement by former director Comey to

15:14

incite violence against the president.

15:15

And when he said 8647,

15:18

he was arguing that the president should

15:21

be assassinated. That's really the heart

15:23

of what this prosecution will ultimately

15:25

be about.

15:26

>> And what's the standard of proof here?

15:29

>> Yeah. So, this is a very high legal

15:30

standard. In this case, Mr. Comey was

15:33

charged under a statute that

15:36

criminalizes the act of knowingly and

15:39

willfully making any threat to take the

15:41

life of, to kidnap, or to inflict bodily

15:44

harm upon the president of the United

15:46

States. And the second count in the

15:48

indictment criminalizes making those

15:50

threats through interstate

15:52

communications. But the real question is

15:55

what did Mr. Comey intend when he posted

15:58

that Instagram photo? He claims that it

16:01

was political speech and that he had no

16:04

intention to do violence or to try to

16:07

incite anybody else to do violence. So

16:09

prosecutors here are going to have to

16:10

overcome not only the common sense

16:13

definition by Mr. Comey's outright

16:15

denial that he intended to threaten the

16:18

president.

16:19

>> Let's talk about possible defenses.

16:21

Comey's lawyer said, "We look forward to

16:24

vindicating Mr. Comey and the First

16:26

Amendment."

16:27

>> Well, I think there's going to be a

16:29

whole host of defenses here. First and

16:31

foremost, I think is this first

16:33

amendment question because there is a

16:36

long history here of the courts

16:39

interpreting that statute and weighing

16:42

it against first amendment rights. The

16:45

original Supreme Court case of

16:46

Brandenburgg versus Ohio held that

16:48

constitutional guarantees of free speech

16:50

and free press don't permit a law to

16:53

forbid or prescribe advocacy of the use

16:55

of force or of law violation except in

16:59

limited circumstances where the person

17:02

making a statement is inciting or

17:04

producing imminent lawless action. In

17:07

other cases, even more recently made it

17:10

even harder to bring these cases. So

17:12

these types of threat cases are always

17:14

viewed through the lens of first

17:16

amendment rights. And the most recent

17:18

case, the one that really is the binding

17:21

precedent right now, set the threshold

17:24

even higher in 2015. It was actually an

17:26

opinion written by Justice Roberts. And

17:30

it concluded that the mindset of the

17:32

person who made the comment must be

17:34

considered. It's not enough for the

17:37

subject of a comment to view it as a

17:39

threat. the person who made it must have

17:42

intended it that way. So, they have to

17:44

get inside of Jim Comey's head and try

17:46

to argue that he intended this as a real

17:49

threat to the president. And one of the

17:51

things that's going to be interesting

17:52

here is when you look at the indictment

17:54

that's brought and it's very bare bones.

17:56

It does not have much information in it

17:58

at all, but it does cite to certain

18:01

language which was read before the grand

18:04

jury if things were done here as they

18:06

typically are. And the standard that was

18:08

read to the grand jury was that Mr.

18:11

Comey knowingly and willfully made a

18:13

threat to take the life or inflict

18:14

bodily harm upon the president. And then

18:17

they talk about the photograph and they

18:19

say which a reasonable recipient who was

18:22

familiar with the circumstances would

18:24

interpret as a serious expression of

18:26

intent to do harm to the president of

18:28

the United States. I expect that one of

18:31

the first things the defense is going to

18:32

do is argue that the presentation before

18:35

the grand jury was tainted because that

18:37

standard that I just read was a standard

18:40

from a case that had been overruled by

18:42

the more recent case of 2015 that said

18:45

that you have to look beyond what the

18:48

reasonable recipient would interpret

18:50

from those comments. You also have to

18:52

specifically look at what the speaker

18:54

meant when they made those comments. I

18:57

think the defense is going to argue that

18:59

the grand jury was given improper legal

19:02

advice was they were given the improper

19:04

legal standard when they returned that

19:06

indictment. So, that will certainly be

19:08

one of the issues that I think we'll see

19:09

raised by the defense.

19:10

>> And Bob, there's that case from 1966

19:14

over the draft that really illustrates

19:16

how the First Amendment interest is

19:18

weighed in these threat cases. These

19:21

types of cases which may appear on their

19:24

face to be simply threats against the

19:27

president could also be viewed as

19:29

political speech. This very statute was

19:31

interpreted in a case called Watts

19:33

versus United States. And in that case,

19:35

a protester was convicted for saying if

19:38

they ever make me carry a rifle, the

19:41

first man I want to get in my sights is

19:43

LBJ. A reference to President Johnson at

19:46

the time. that individual was convicted,

19:49

but it made its way to the Supreme Court

19:52

where the court said that that was

19:53

political hyperbole rather than a true

19:56

threat and thus not within the

19:58

prohibition of this statute. So, it's an

20:01

example of just how specific and how

20:03

imminent these threats have to be and

20:06

why the courts have at least

20:07

traditionally looked at this kind of

20:09

language as political language rather

20:12

than a call to violence. And in this

20:15

case, I think it's going to be an uphill

20:17

battle for prosecutors to prove that

20:20

this was not political speech, that this

20:22

was an actual imminent threat made by

20:25

James Comey against the president.

20:27

>> Comey's lawyer told the judge that

20:29

they're going to challenge the case by

20:31

claiming a vindictive and selective

20:34

prosecution. So, not only is this the

20:36

second indictment against Comey, but

20:38

according to Bloomberg sources, federal

20:41

prosecutors are pursuing additional

20:43

charges against Comey for allegedly

20:46

leaking classified information.

20:49

>> They will try to argue that the Justice

20:51

Department already pursued a case

20:54

against Mr. Comey less than a year ago,

20:57

which was ultimately dismissed by a

20:59

judge based upon the finding that the

21:01

prosecutor at the time was not properly

21:04

appointed. So, they're going to try to

21:06

argue that this is just another attempt

21:08

by the Trump administration to go after

21:11

one of Mr. Trump's perceived enemies,

21:14

James Comey, and that there's really no

21:17

merit to this case, that this case

21:19

should not have been brought in the

21:20

first place, and that at best this is a

21:23

politically veiled attempt to try to go

21:26

after Mr. Comey after having failed with

21:29

the other prosecution. Many commentators

21:32

have noticed a pattern where acting

21:34

attorney general Todd Blanch, who used

21:37

to be Trump's personal criminal lawyer,

21:39

seems to be pushing to bring cases

21:42

against Trump's perceived political

21:44

enemies, and they're very thin. For

21:47

example, the one recently against the

21:48

Southern Poverty Law Center. Many say

21:51

he's trying out for the role of attorney

21:53

general.

21:54

>> Well, he has made statements directly

21:57

addressing the evidence in the case. He

22:00

understands what the legal standard is

22:02

and he is saying that the government has

22:04

additional evidence that will prove

22:06

beyond a reasonable doubt that Mr. Comey

22:09

intended that photograph as a threat

22:11

against the president. We haven't seen

22:13

that evidence yet, but prosecutors have

22:15

an ethical duty to bring cases only if a

22:19

reasonable jury could convict based upon

22:22

that high standard of beyond a

22:24

reasonable doubt. So just getting the

22:27

indictment doesn't mean there's enough

22:29

evidence to ultimately gain a

22:30

conviction. And that's a situation where

22:32

prosecutors have to look at the case and

22:35

even though they know they could go into

22:37

a grand jury and get that grand jury to

22:40

indict based upon the lower legal

22:42

standard, they have an ethical

22:43

obligation not to bring the case if they

22:45

know that the evidence is insufficient

22:47

for a reasonable jury to convict

22:50

ultimately on that higher beyond a

22:52

reasonable doubt standard. At this

22:54

point, it's hard to see how prosecutors

22:56

could look at the evidence that's on the

22:58

record and argue that a reasonable jury

23:02

could find that Mr. Comey intended this

23:04

as a threat. There's too much ambiguity

23:07

in the statement. There's too much

23:08

ambiguity in terms of his conduct. That

23:11

in and of itself is reasonable doubt.

23:13

And on the defense side, that's all you

23:15

have to show. You just have to show that

23:16

the government did not prove its case

23:18

beyond a reasonable doubt. and

23:20

prosecutors are going to have to come up

23:21

with additional evidence if they hope to

23:24

get this case to trial and have any

23:26

chance of winning.

23:27

>> Do you think a judge might dismiss the

23:29

case before it goes to trial?

23:31

>> I do think that's a possibility and I

23:33

say that knowing that it is exceedingly

23:36

rare for judges to dismiss a criminal

23:39

case before it goes to a jury. All

23:42

prosecutors have to do is get an

23:44

indictment properly before a grand jury.

23:47

The indictment has to allege the

23:50

elements of the crime and that is enough

23:53

to get the case beyond motion practice

23:56

and in front of a jury. In this case, I

23:59

think there is a reasonable possibility

24:01

that a judge is going to look at this.

24:03

Number one, they're going to look at the

24:05

legal standard that was included in the

24:07

indictment. And if that was deficient or

24:10

misleading or incorrect, that's one

24:12

basis that this could be dismissed. and

24:14

then the judge still may look at this

24:17

case and try to decide if there's enough

24:19

evidence that a reasonable jury could

24:22

actually convict. Now, the defense

24:24

lawyers here could do one of two things.

24:26

They could immediately challenge the

24:28

indictment as legally insufficient.

24:29

Another thing they could do is they

24:32

could move for a bill of particulars,

24:34

which is a way the defense team could

24:35

say to the prosecution, "We want more

24:38

information, more details about what

24:41

evidence supports this indictment." I'm

24:44

sure the defense is going to act quickly

24:46

here as they did last time. Thanks so

24:48

much, Bob. That's Robert Mintz of

24:50

McCarter and English. Coming up, Bayer

24:53

has a tough time at the Supreme Court.

24:55

I'm June Graasso and this is Bloomberg.

25:00

Bayer has faced a title wave of

25:02

litigation alleging that its Roundup

25:04

weed killer causes cancer and resulting

25:07

in some stunning multi-billion dollar

25:10

jury verdicts. In a case before the

25:12

Supreme Court this week, a jury had

25:15

awarded a Missouri man $1.25 million

25:19

after finding that Bayer failed to warn

25:21

him about possible cancer risks. Bayer

25:24

argues that federal law bars the lawsuit

25:27

because US regulators didn't require a

25:30

cancer warning. Its attorney, former

25:32

solicitor general Paul Clement, put it

25:35

simply. The EPA regulation and the

25:38

government's brief here makes crystal

25:40

clear that a registrant cannot change

25:43

the safety warnings on a pesticide label

25:46

without approval of the agency. Thus,

25:49

Missouri law here requires something

25:52

that not only is not required by federal

25:54

law, but that federal law doesn't even

25:56

allow.

25:57

>> The questioning during the oral

25:59

arguments didn't follow the usual

26:01

ideological lines. For example, when

26:04

liberal justice Elena Kagan questioned

26:06

the plaintiff's lawyer Ashley Keller

26:09

about how these lawsuits for failure to

26:11

warn could be squared with a provision

26:13

in federal law requiring uniformity in

26:16

herbicide labels and Keller denied that

26:19

the lawsuit would undercut uniformity.

26:22

Conservative Justice Brett Kavanaaugh

26:24

pushed back.

26:25

>> Just to be simple-minded about this, Mr.

26:27

color. You have a preeemption provision

26:29

that's labeled uniformity that's clearly

26:32

designed to achieve uniformity in

26:34

labeling. And what uniformity would your

26:37

regime achieve?

26:39

>> Uniformity in law.

26:41

>> You think it's uniformity when each

26:43

state can require different things?

26:45

>> I don't think each state can require

26:47

different things. The law has to be

26:48

uniform. So if Missouri law was in

26:51

addition to or different,

26:52

>> it's the labels illegal in one state and

26:55

legal in another state. That's

26:56

uniformity.

26:57

>> But Chief Justice John Roberts, a

27:00

conservative, question the notion that

27:02

states worried about cancer risks should

27:05

have to wait for the EPA to decide

27:07

whether to require a label change.

27:10

>> Well, it does undermine the uniformity.

27:11

I appreciate that. On the other hand, if

27:13

it turns out that they were right, it

27:15

might have been good if they had an

27:17

opportunity to do something to call this

27:19

uh danger to the attention of the um

27:22

people while the federal government was

27:24

going through its its process.

27:26

>> The litigation has already cost Bayer

27:29

more than $10 billion and the company is

27:32

looking for an endgame. My guest is an

27:35

expert in mass tort litigation,

27:37

Elizabeth Burch, a professor at the

27:39

University of Georgia Law School. She's

27:42

the author of the new book, The Pain

27:44

Brokers, about a mass tort litigation

27:46

scam. Beth, this was one of the first

27:49

cases that went to trial against Bayer,

27:52

right?

27:52

>> Yes. So, this was a state court case

27:54

coming out of Missouri. And, you know,

27:56

this is one of quite a few verdicts that

27:59

have been decided against Bayer,

28:02

although not all of them have gone that

28:03

way. And at the moment, Bearer is also

28:06

trying to negotiate a class action

28:08

settlement in state court, which is

28:11

ironic for any number of reasons, but

28:13

you know, this is one of those pressure

28:15

points. The idea being, hey, you'd

28:17

better settle with us in state court,

28:19

otherwise your claims might be

28:21

diminished in terms of their value if

28:23

this is a decision that goes our way.

28:26

>> Put this into the context of the massive

28:29

litigation against Bayer. There have

28:31

been a couple of really eyepopping

28:33

verdicts of more than$2 billion dollars

28:36

for a single plaintiff.

28:38

>> Yes, there have. So, this litigation has

28:41

been going on for a number of years now.

28:43

Uh, it is centralized in California in

28:46

front of Judge Chabria at the federal

28:48

MDL level. There are a number of state

28:51

court cases that are also pending and

28:53

bear has really been looking for some

28:55

sort of endgame and way out to this.

28:58

This is certainly a piece of that in

29:01

front of the Supreme Court. Although,

29:03

you know, even a win in front of the

29:04

Supreme Court wouldn't kill all of the

29:07

lawsuits. It would make them more

29:08

difficult to proceed certainly on the

29:10

failure to warrant claims. But the

29:11

plaintiffs have also brought defective

29:13

design claims. So, this has really been

29:15

a thorn in the side of Bear for years

29:18

now.

29:18

>> Tell us about the main issue in this

29:21

case. Well, the issue that is in front

29:24

of the Supreme Court right now is a

29:26

question about preeemption. And it is in

29:28

some ways a fairly narrow question of

29:31

preeemption that's based on this

29:32

pesticides act. And it's a question

29:35

about whether the federal law can

29:37

preempt state law decisions on failure

29:39

to warrant claims.

29:41

>> So Bayer says that the federal law

29:43

preempts the state law. What's the

29:45

response of the plaintiff?

29:47

>> You know, the plaintiffs are making a

29:48

number of arguments. I think the one

29:50

that is most intuitive is that once the

29:53

EPA approves a particular label, things

29:57

can happen and things can change. So,

29:58

you know, in this case, the label was

30:00

approved more than a decade ago and

30:03

there is some evidence that there is a

30:05

link between glyophosphate, which is the

30:08

key ingredient in Roundup and Mhodkkins

30:10

lymphoma that has been at the heart of

30:13

this controversy for a number of years.

30:15

The World Health Organization has said

30:17

that there is a possible carcinogen and

30:20

glycosphate. The EPA has been more

30:22

reluctant to embrace that decision. And

30:25

so, you know, the big question is, well,

30:26

what about emerging science? You know,

30:28

if it turns out that you have a label

30:30

that's approved many, many years behind,

30:33

isn't there some sort of responsibility

30:35

on part of the company to keep up with

30:37

the science and to continue to warn

30:39

consumers when there is a change in that

30:41

science? In all these cases, questions

30:44

about glyco phosphate's connection to

30:47

cancer are part of the litigation.

30:50

>> There is different scientific support on

30:52

one side versus the other. And this is a

30:55

question right now in front of the

30:57

courts about whether there is general

31:00

causation between exposure to

31:03

glyophosphate and how much and the

31:06

development of non-hodkkins lymphoma.

31:08

Again, there's a significant latency

31:10

period here. It can be you know 14 15

31:13

years between the exposure and the

31:15

development of cancer. So there's all

31:17

sorts of general causation questions

31:18

which is can glyophosphate cause this

31:21

particular disease and then specific

31:24

causation questions which is did it

31:26

cause this particular plan on Hodkins

31:28

lymphoma

31:29

>> and the Trump administration has sort of

31:32

embraced glyophosphate

31:34

>> you know it's interesting so the Trump

31:36

administration has very much embraced

31:38

glyophosphate but it is something that

31:40

is dividing the Trump base you know

31:43

Robert Kennedy for a number of years

31:46

actually represented plaintiffs against

31:48

Monsanto. And a key piece of the Make

31:51

America Healthy again is to reduce the

31:55

use of pesticides like glycophosphate.

31:57

And so there were a number of protests

31:59

out in front of the Supreme Court that

32:01

included Maha supporters who were

32:04

protesting against the use of Roundup.

32:07

>> So from the oral arguments, it seemed

32:09

like the justices were divided. Yeah, I

32:13

mean they certainly seem divided and it

32:15

didn't fall neatly along conservative

32:19

liberal lines. So, you know, you had

32:21

some justices who you would have thought

32:23

might be supportive of Bayer who in fact

32:25

were less supportive of Bear than you

32:27

might imagine and then you had a number

32:28

of the liberal justices who were

32:31

actually not seeming like they were in

32:33

favor of Bear. So, it'll be interesting

32:35

to see what this opinion ultimately

32:37

yields because it doesn't have the kind

32:40

of clear lines that we often expect

32:42

among these types of hot button issues.

32:45

>> And what do you make of the chief

32:46

justice suggesting that states

32:49

considering new evidence that a product

32:52

is risky should be allowed to call this

32:55

danger to the attention of the people? I

32:57

mean, I think that goes back to if there

33:00

is new and emerging evidence, does that

33:02

mean that the hands of the company are

33:05

tied that they can't warn consumers

33:07

that, hey, uh, you might need to have

33:09

some sort of personal protective

33:11

equipment or, hey, this might have some

33:13

sort of link to cancer because the EPA

33:17

has already sort of put that in place.

33:19

The flip side of all this is that there

33:21

is evidence that a number of companies

33:24

even in light of old EPA warnings have

33:27

changed their own labels. And so, you

33:29

know, that came up in some of the

33:31

questioning saying, well, you know,

33:32

companies are doing this all the time.

33:34

Why should it tie the hands of companies

33:36

if this is what they're doing already?

33:38

And so, that was kind of one of the the

33:40

points of contention that came up. and

33:42

tell us about questions of uniformity in

33:46

the law which justices Kagan and

33:49

Kavanaaugh quiz the plaintiff's attorney

33:52

on.

33:53

>> I mean I think the question is is this

33:55

an instance in which you really want

33:57

uniformity in the law and you want

34:00

uniform law to preempt what the states

34:03

are doing. And so, you know, if you have

34:05

California saying you need to warn, we

34:08

think that there is some sort of link

34:10

between glyophosphate and non-hodkkins

34:13

lymphoma, does that mean that you have

34:16

to put a label in California and nowhere

34:18

else in the United States? Do you have

34:20

this sort of stateby-state regulatory

34:22

scheme or do you have federal

34:24

preeemption and telling you what has to

34:26

be there? And it seems like there's also

34:28

this sort of related question of how

34:31

much can a company do even in the wake

34:34

of the EPA not requiring it, you know,

34:37

so can you go ahead and put a label on

34:39

there saying, "Hey, we're worried this

34:41

might cause cancer even if the EPA

34:43

doesn't require you to do it."

34:45

>> And farm groups filed briefs in support

34:48

of Bayer, arguing that a uniform

34:50

standard is better than a patchwork of

34:54

state rules. I get the sense that the

34:56

farm community is split. I mean there

34:58

were a number of the Maha supporters who

35:01

were concerned about farmers and about

35:04

you know farmers exposure to the use of

35:06

Roundup and I think many of the farmers

35:08

echoed that. The flip side is that you

35:11

know they find that it is a very

35:13

effective weed killer and so you know

35:15

this is something that many of them want

35:17

to continue using. So, I don't think

35:19

there's uniformity in, hey, all farmers

35:21

want this or all farmers don't want

35:23

this.

35:24

>> Bloomberg intelligence litigation

35:26

analyst Holly from said the arguments

35:29

went poorly for Bayer and changed her

35:32

view. She now thinks the majority of

35:34

justices will find state law failure to

35:37

warn claims are not preempted by federal

35:41

law. So, a loss for Bayer and consumers

35:45

can pursue these claims. Yeah, I think

35:48

it it's really hard to say. I don't

35:50

think the argument was as clearly in

35:54

favor of Bear as many people had

35:56

expected it to be. So, in that regard,

35:59

you know, it was a bit of a blow to

36:00

Bear. I think their stock felt it

36:02

doesn't mean that it won't ultimately be

36:04

decided in Bear's favor, but it didn't

36:07

go as many people were predicting it

36:10

would. Could the decision here affect

36:12

the medical device, cosmetic, and food

36:14

industries that are governed by laws

36:17

similar to the one at the center of the

36:19

Bayer case?

36:20

>> You know, it's hard to say without

36:21

seeing how broadly or how narrowly the

36:24

Supreme Court decision is written.

36:26

Traditionally, the Supreme Court has

36:28

only decided what it has to decide. And

36:32

you know, there's this question of okay,

36:33

well, if they decide this about the

36:34

pesticide act, what does it say about

36:36

the Food Drug Cosmetic Act, etc.

36:39

Certainly, it would be potentially

36:41

persuasive in other areas, but again,

36:44

depending on how broadly or how narrowly

36:46

written it is, it certainly doesn't

36:49

carry the day in other acts.

36:51

>> Well, it's going to be very interesting

36:53

to see if the decision cuts across

36:55

ideological lines as well. Thanks so

36:58

much, Beth. That's Professor Elizabeth

37:00

Burch of the University of Georgia Law

37:03

School. And that's it for this edition

37:05

of the Bloomberg Law Show. Remember, you

37:07

can always get the latest legal news on

37:09

our Bloomberg Law podcast. You can find

37:11

them on Apple Podcast, Spotify, and at

37:14

www.bloomberg.com/mpodcast/law.

37:19

And remember to tune in to the Bloomberg

37:20

Law Show every weekn night at 1000 p.m.

37:23

Wall Street time. I'm June Graasso and

37:25

you're listening to Bloomberg.

Interactive Summary

The Supreme Court recently delivered a significant ruling on the Voting Rights Act, with its conservative majority severely limiting Section 2, which allows challenges to racially discriminatory electoral maps. This decision is characterized as a major setback for racial justice, effectively eviscerating key protections of the Act, building on previous rulings in Shelby County and Bernovich. Additionally, former FBI Director James Comey faces a second indictment over an Instagram post interpreted as a threat against President Trump. Legal experts highlight the high bar for prosecutors to prove intent and navigate First Amendment protections, questioning the strength of the government's case. Lastly, Bayer's Roundup weed killer litigation is before the Supreme Court, addressing whether federal law preempts state-level failure-to-warn claims. Oral arguments revealed a divided court, not along typical ideological lines, deliberating on uniformity in labeling versus states' rights to respond to emerging scientific evidence of risk, with many seeing the arguments as unfavorable for Bayer.

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