Jarkesy Will Have a Far Greater Impact on Healthcare Law Than Loper Bright

On June 28, 2024, the U.S. Supreme Court issued its decision in Loper Bright overturning the 40-year-old Chevron ruling. However, the previous day’s decision in SEC v. Jarkesy, which held that the Seventh Amendment required a jury trial for the Securities and Exchange Commission to impose civil penalties for securities fraud, is likely to have an even greater impact on healthcare law than the Chevron reversal. The Court has not deferred to an agency's interpretation under Chevron since 2016, making the Loper Bright decision somewhat anticipated. In contrast, Jarkesy, when applied to the healthcare context, may significantly shift how the government must handle civil penalties against healthcare providers accused of fraud.