Supreme Court Limits FCC, SEC Powers in Three Rulings

WASHINGTON, June 4, 2026 — The U.S. Supreme Court released three opinions that curtail federal agency power across telecommunications, securities, and pharmaceutical regulation.

The decisions affect every U.S. broadband subscriber, every publicly traded company subject to SEC oversight, and every firm competing in the generic-drug market. FCC v. AT&T, Sripetch v. SEC, and Hikma Pharmaceuticals v. Amarin Pharma together touch regulatory frameworks that govern more than $1.5 trillion in annual economic activity.

In FCC v. AT&T (No. 25-406), the Court held that the agency exceeded its statutory authority under the Communications Act when it imposed certain broadband-related mandates. The ruling reverses the prior agency interpretation that had allowed expansive rulemaking without explicit congressional direction. The decision takes immediate effect.

In Sripetch v. SEC (No. 25-466), the Court restricted the SEC’s enforcement discretion in a case involving securities-fraud claims. The opinion, which interprets the Exchange Act, narrows the circumstances under which the commission can pursue certain administrative actions.

The practical result is that the SEC must now rely more heavily on federal courts rather than its own administrative proceedings for similar future cases.

In Hikma Pharmaceuticals USA Inc. v. Amarin Pharma, Inc. (No. 24-889), the Court resolved a patent and FDA-approval dispute in favor of the generic manufacturer. The ruling clarifies the boundaries of Hatch-Waxman Act exclusivity periods and lowers barriers for generic entry once statutory protections expire. The decision applies nationwide to pending and future abbreviated new drug applications.

Downstream, the FCC must revisit pending broadband orders to ensure they rest on clearer statutory footing or seek new legislation from Congress. The SEC faces an immediate docket review of open administrative actions that fall under the narrowed standard, with some matters likely shifting to federal district courts.

Generic-drug makers gain faster market-entry timelines, which typically reduce prescription prices within 12 to 18 months of approval. Brand-name manufacturers must now adjust exclusivity strategies and litigation calendars accordingly.

These three opinions mark the latest in a series of 2025-2026 decisions that have required agencies to tie regulatory actions more tightly to specific statutory text. The FCC and SEC cases were both decided by 6-3 votes; the pharmaceutical case produced a different alignment. All three opinions are available on the Supreme Court’s website.

Primary sources: Supreme Court slip opinion No. 25-406 · Supreme Court slip opinion No. 25-466 · Supreme Court slip opinion No. 24-889.