This Day in Legal History: Eisenhower Signs Act Creating NASA
On July 29, 1958, President Dwight D. Eisenhower signed the National Aeronautics and Space Act into law, officially creating NASA. The legislation emerged in response to growing Cold War tensions and the Soviet Union’s launch of Sputnik the previous year. It marked a pivotal shift in U.S. federal priorities, establishing a civilian-led space agency to coordinate scientific exploration, aeronautics research, and peaceful uses of space. NASA began operations on October 1, 1958, absorbing the earlier National Advisory Committee for Aeronautics (NACA) and ushering in a new era of government-backed technological ambition.
Over the decades, NASA has become a symbol of American innovation, from landing astronauts on the moon to deploying the Hubble Space Telescope. Its work has catalyzed advancements not only in spaceflight, but also in climate science, materials engineering, and telecommunications. The legal framework underpinning NASA reflects a national consensus that science and exploration are critical public goods deserving of federal investment and support.
But 67 years later, that consensus is showing strain. Just yesterday, NASA announced that nearly 4,000 employees—about 20% of its workforce—are leaving the agency through the Trump administration’s deferred resignation program. This mass exodus follows proposed budget cuts and internal restructuring driven by the Department of Government Efficiency (DOGE), a key player in Trump’s effort to slash the federal workforce.
The timing couldn’t be worse. The administration has called for both sweeping workforce reductions and a significant budget cut of nearly 24% for FY 2026, even as it touts long-term funding increases in the so-called One Big Beautiful Bill Act. Scientists and space advocates, including The Planetary Society, have criticized the inconsistency, calling it a direct threat to American leadership in space. A group of over 300 NASA employees echoed that concern in a public letter this week, denouncing the changes as "rapid and wasteful" and warning that they jeopardize the agency’s mission.
What began as a proud moment of bipartisan support for science and exploration now faces a political climate where expertise is undervalued and institutional stability is sacrificed for short-term optics.
Nearly 4,000 NASA employees opt to leave agency through deferred resignation program
In her latest appeal to the U.S. Supreme Court, Ghislaine Maxwell argues that her 2021 federal sex trafficking conviction should be overturned because it violated a 2007 non-prosecution agreement (NPA) originally struck between Jeffrey Epstein and federal prosecutors in Florida. Maxwell contends that the agreement, which shielded Epstein and his unnamed co-conspirators from federal charges in exchange for his state-level plea, should have also barred her later prosecution in New York. The Justice Department disputes this, saying the NPA applied only to the Southern District of Florida and does not merit Supreme Court review. Maxwell’s brief criticizes the DOJ for focusing on Epstein’s misconduct rather than the legal scope of the deal, framing the issue as one of government accountability to its promises. The Second Circuit previously upheld her conviction, finding no evidence that the NPA was meant to apply nationally. However, the National Association of Criminal Defense Lawyers filed a brief supporting Maxwell, arguing that even atypical agreements must be honored if made by the government. Political tensions surrounding the Epstein case continue to complicate matters, as Maxwell recently met with Deputy Attorney General Todd Blanche amid renewed scrutiny of the Trump administration’s handling of Epstein’s prosecution. The Supreme Court is expected to consider whether to hear the case in late September.
Ghislaine Maxwell Tells Supreme Court Epstein Deal Shielded Her
The Trump administration has filed a judicial misconduct complaint against Chief U.S. District Judge James Boasberg, accusing him of violating judicial ethics by expressing concerns that the administration might defy court rulings, potentially triggering a constitutional crisis. The complaint centers on comments Boasberg allegedly made during a March meeting of the judiciary’s policymaking body, which included Chief Justice John Roberts. The Justice Department argues that these remarks, later echoed in his rulings, undermined judicial impartiality—particularly in a case where Boasberg blocked the deportation of Venezuelan migrants using wartime powers under the Alien Enemies Act. The administration claims Boasberg acted on a political bias when he found probable cause to hold it in criminal contempt for defying his deportation order. The DOJ has asked the D.C. Circuit to reassign the case and refer the complaint to a special investigative panel. Boasberg, appointed to the federal bench by President Obama after an earlier nomination to the D.C. Superior Court by President George W. Bush, has not publicly responded. The D.C. Circuit stayed his contempt finding, and a final ruling is still pending.
Trump administration files misconduct complaint against prominent judge Boasberg | Reuters
The U.S. Court of Appeals for the Federal Circuit has extended the suspension of 98-year-old Judge Pauline Newman for another year, citing her continued refusal to undergo a full neuropsychological evaluation to assess her fitness to serve. Despite submitting medical reports from her own experts asserting she is mentally competent, the court concluded that those reports were insufficient and contained inaccuracies, including concerns about memory issues and fainting episodes. Newman's legal team criticized the court’s swift decision, arguing that their evidence and arguments were not seriously considered following a recent hearing. Newman, a respected patent law jurist appointed by President Reagan in 1984, is the oldest active federal judge who has not taken senior status and has been a prominent dissenter on the Federal Circuit. The court originally suspended her in 2023 after Chief Judge Kimberly Moore raised concerns about her cognitive and physical condition. Newman sued over the suspension, but her case was dismissed; it is now under review by a separate federal appeals court. The latest ruling reaffirms the court’s insistence on comprehensive testing before any reconsideration of her judicial role.
US appeals court extends suspension of 98-year-old judge in fitness probe | Reuters
Donald Trump has asked a federal court to expedite a deposition of Rupert Murdoch in his $10 billion defamation lawsuit against the Wall Street Journal over a July 17 article linking him to Jeffrey Epstein. The article claimed Trump sent Epstein a 2003 birthday greeting that included a suggestive drawing and cryptic references to shared secrets—allegations Trump calls fabricated. In a court filing, Trump’s lawyers said he informed Murdoch before publication that the letter was fake, and Murdoch allegedly responded that he would “take care of it,” which they argue demonstrates actual malice—a necessary legal threshold in defamation cases involving public figures. Trump's team is seeking Murdoch's testimony within 15 days, and Judge Darrin Gayles has ordered Murdoch to respond by August 4. The article’s release has intensified political scrutiny of Trump’s handling of the Epstein investigation. Legal analysts note Trump faces an uphill battle given the stringent standards for proving defamation, especially against media outlets. Dow Jones, which publishes the Journal, said it stands by its reporting and intends to vigorously defend the case.
Trump asks for swift deposition of Murdoch in Epstein defamation case | Reuters
My column for Bloomberg this week argues that the latest shift in federal tax law—the move from the global intangible low-taxed income (GILTI) regime to the net controlled foreign corporation tested income (NCTI) system—should push states to reassess their habitual conformity to the Internal Revenue Code. NCTI expands the scope of taxable foreign income for U.S. multinationals, reflecting a broader federal effort to combat base erosion and bolster global competitiveness. But when states automatically conform to these changes—especially through rolling conformity—they risk inheriting complex, federally motivated rules that don’t align with their economic interests or legal authority.
Rolling conformity is a mechanism by which a state automatically updates its tax code to reflect changes in the federal Internal Revenue Code as they occur, without requiring separate legislative action. While rolling conformity can reduce administrative friction, it’s increasingly problematic in an era of aggressive and frequent federal tax rewrites. States adopting NCTI may find themselves without key federal mechanisms like foreign tax credits or Section 250 deductions, exposing them to potential legal challenges over extraterritorial taxation and apportionment. These lawsuits could be expensive, prolonged, and ultimately hinge on issues that federal tax policy has already moved past. I argue that states need to move beyond passive conformity and take an intentional, sovereign approach to tax policy—reviewing conformity statutes now, decoupling where necessary, and preparing to defend their fiscal independence in the face of Washington’s rapid policy swings.
Trump Tax Law Should Spur States to Split From Federal ‘Pendulum’
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