Appeals court blocks Trump from firing FTC commissioner in case testing president's removal powers

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A federal appeals court in Washington, D.C., allowed a Biden-appointed member of the Federal Trade Commission to keep her job, at least for now, as part of a lawsuit centered on President Donald Trump’s authority to remove members of independent agencies without cause.

A three-judge panel said Tuesday that a lower court’s decision that Trump unlawfully fired FTC Commissioner Rebecca Slaughter could remain in place and that the firing was squarely at odds with Supreme Court precedent. 

"The government has no likelihood of success on appeal given controlling and directly on point Supreme Court precedent," the panel wrote in an order.

Slaughter was abruptly fired after Trump took office, rehired when Judge Loren AliKhan ruled in her favor last month, and then re-fired days later when the appellate court briefly paused Ali Khan’s decision.

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Federal Trade Commission Commissioners Rebecca Kelly Slaughter (left) chats with Alvaro Bedoya (right) before FTC Chair Lina Khan testifies during a House Judiciary Committee hearing in the Rayburn House Office Building on Capitol Hill in Washington, DC on July 13, 2023. (Shuran Huang for The Washington Post via Getty Images)

The three-judge panel, comprising two Obama appointees and one Trump appointee, lifted that pause on Tuesday, which allows Slaughter to return to work. The Trump administration can appeal the decision.

Department of Justice attorneys had argued for the appellate court to grant the Trump administration a stay, pointing to the Supreme Court’s decision to do the same in a recent separate case involving other independent agencies.

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"The court’s reinstatement of a principal officer of the United States—in defiance of recent Supreme Court precedent staying similar reinstatements in other cases—works a grave harm to the separation of powers and the President’s ability to exercise his authority under the Constitution," the attorneys wrote.

This is a developing story. Check back for updates.

Ashley Oliver is a reporter for Fox News Digital and FOX Business, covering the Justice Department and legal affairs. Email story tips to [email protected].