This Day in Legal History: Jay Treaty Signed
On November 19, 1794, the United States and Great Britain signed the Jay Treaty, formally titled the “Treaty of Amity, Commerce, and Navigation.” Negotiated by U.S. Chief Justice John Jay and British Foreign Secretary Lord Grenville, the treaty sought to resolve lingering tensions between the two nations following the American Revolutionary War. At its core, the agreement facilitated the withdrawal of British troops from forts in the Northwest Territory, a region that was still contested despite American sovereignty being recognized in the Treaty of Paris (1783).
The treaty also addressed contentious issues such as British seizure of American ships and the debts owed by American citizens to British creditors. While the agreement provided for limited American trade rights in the British West Indies and a framework for resolving disputes over the U.S.-Canada border, it failed to stop British impressment of American sailors or guarantee broader trading rights. Domestically, the treaty sparked fierce political debate, with Federalists supporting it as a means of preserving peace and economic stability, while Jeffersonian Republicans decried it as overly conciliatory to British interests.
The Jay Treaty is historically significant for establishing a precedent for diplomatic negotiation and emphasizing the importance of peaceful dispute resolution. While controversial at the time, it ultimately helped avert war with Britain and allowed the young United States to stabilize its economy and focus on internal growth. Its ratification in 1795 marked an important step in shaping U.S. foreign policy during its formative years. The treaty’s mixed reception underscored the deepening political divisions in the United States, foreshadowing the partisan struggles that would define early American governance.
Big Law firms are poised to see significant lobbying revenue gains under anticipated Republican control of the White House and Congress, as the GOP aims to advance a pro-business, “America First” agenda. Key areas of focus for lobbyists include revisiting elements of the 2017 tax law, reversing restrictions on fossil fuel development imposed by the Biden administration, and assisting with the confirmation of cabinet nominees. The Supreme Court’s recent Loper Bright decision, which limits federal agencies’ ability to interpret vague laws, adds another layer of legislative complexity, increasing demand for legal expertise in technical drafting.
The potential uptick in lobbying activity echoes patterns seen in prior shifts of political power. Lobbying revenue rose sharply in 2017 and 2021 during transitions to unified party control. Firms like Brownstein Hyatt Farber Schreck, Akin Gump, Squire Patton Boggs, and K&L Gates are particularly well-positioned, with some deriving significant portions of their income from federal lobbying efforts. Brownstein Hyatt leads the pack, earning $50.9 million in lobbying revenue through the first three quarters of 2024.
Major firms are already representing high-profile clients. For instance, Brownstein Hyatt has advocated for Apollo Global Management on portfolio-related issues, while Squire Patton Boggs has worked on food regulation for Mars Inc. Energy-related lobbying, such as advocating for liquefied natural gas export permits, is also expected to surge as Republicans aim to repeal Biden-era restrictions. Appropriations negotiations may further boost lobbying opportunities, as delayed bills give the GOP more leverage.
Big Law Lobbyists See GOP Trifecta Haul Including Tax, Energy
The State Bar of California has approved a proposal to expunge attorney discipline records from public view after eight years, provided the attorney has not faced subsequent disciplinary action during that time. This measure, which excludes cases of disbarment, aims to address racial disparities in the attorney discipline system. A 2019 study revealed that Black male attorneys in California were over three times more likely than their white counterparts to face probation, prompting a 2023 review committee to recommend changes to the system. The proposal now awaits approval from the California Supreme Court.
The expungement policy is intended to balance accountability, transparency, and redemption opportunities, aligning California’s attorney discipline practices with those in other states and professions like medicine and real estate. Critics, however, argue it could undermine transparency and public trust, with 74% of public comments opposing the plan. In contrast, a majority of attorney comments—69%—supported the change, noting it incentivizes maintaining clean records. If implemented, an estimated 2,353 attorneys would be immediately eligible for expungement. California, the second-largest state bar by membership, projects that this policy will reduce the long-term stigma attached to past disciplinary actions.
California Bar aims to expunge attorney discipline records after 8 years | Reuters
The losing bidder for Alex Jones’ bankrupt Infowars empire is challenging The Onion’s winning bid, arguing it offered less cash and relied on questionable claim waivers. First United American Companies LLC (FUAC), which bid $3.5 million in cash, claims its offer was superior to The Onion parent company Global Tetrahedron LLC's $1.75 million bid. FUAC accuses The Onion of colluding with Sandy Hook families who supported the bid by waiving part of their claims against Jones.
The bankruptcy trustee overseeing the sale, Christopher Murray, defended the auction as transparent and noted that the Sandy Hook families’ waiver improved the overall value of The Onion's bid. The waiver was key in positioning The Onion's bid as the best-value offer, despite its lower cash amount. FUAC countered that these waivers are speculative and provide no real value to the bankruptcy estate, calling them akin to “monopoly” money.
Judge Christopher M. Lopez, who previously raised concerns about the auction’s transparency, is now considering the motion to disqualify The Onion’s bid. The sale is part of an effort to liquidate Jones’ estate and pay down the $1.5 billion in defamation judgments against him for spreading false claims about the Sandy Hook shooting. The trustee dismissed FUAC’s accusations as baseless and an attempt to mislead the court.
In case you haven’t figured it out already, FUAC is a company affiliated with Alex Jones’ snake oil sales. Obviously, Jones has an interest in seeing his assets purchased by a friendly company rather than The Onion which … is not friendly to Jones’ interests.
Infowars Bidder Moves to Disqualify The Onion's Winning Offer
The 5th U.S. Circuit Court of Appeals appeared likely to dismiss appeals by Amazon and SpaceX challenging the structure of the National Labor Relations Board (NLRB), arguing the companies acted prematurely. Both companies sought to block NLRB cases alleging labor violations, with Amazon opposing a unionization case and SpaceX contesting claims of retaliatory firings. However, the appeals panel suggested that Amazon and SpaceX did not give lower court judges enough time to rule before filing their appeals.
Amazon's case, initially in Texas, was transferred to Washington, D.C., and SpaceX’s to California, though these transfers are on hold pending appeals. The judges questioned whether the delays cited by Amazon and SpaceX constituted "effective denials," a standard necessary for appeals. Judge James Graves noted Amazon's unrealistic deadline demands, while Judge Irma Ramirez questioned SpaceX's assertion of deliberate judicial delay.
The NLRB argued that the companies imposed arbitrary deadlines to expedite decisions and delayed proceedings by resisting case transfers. Both companies face significant underlying NLRB cases, with Amazon fighting unionization at a New York warehouse and SpaceX denying allegations of retaliatory firings. If the appeals are dismissed, the companies could request a review by the full 5th Circuit, known for its conservative leanings.
Amazon, SpaceX challenges to NLRB may be thrown out of appeals court | Reuters
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