Informal Rulemaking. Assume that the Food and Drug Administration (FDA), using proper procedures, adopts a rule describing its future investigations. This new rule covers all future circumstances in which the FDA wants to regulate food additives. Under the new rule, the FDA is not to regulate food additives without giving food companies an opportunity to cross-examine witnesses. Later, the FDA wants to regulate methylisocyanate, a food additive. The FDA undertakes an informal rulemaking procedure, without cross-examination, and regulates methylisocyanate. Producers protest, saying that the FDA promised them the opportunity for cross-examination. The FDA responds that the Administrative Procedure Act does not require such cross-examination and that it is free to withdraw the promise made in its new rule. If the producers challenge the FDA in court, on what basis would the court rule in their favor? Explain. (See The Administrative Process.)
Want to see the full answer?
Check out a sample textbook solutionChapter 23 Solutions
The Legal Environment of Business: Text and Cases (MindTap Course List)
- The “Compliance with Standards Rule” requires that a member who performs professional services, including consulting services, comply with standards promulgated by bodies designated by Council, regardless of whether the member is holding out as a CPA. The standards applicable to members performing consulting services are set forth in the Statements on Standards for Consulting Services (SSCSs) and specifically state that such standards apply to members holding out as a CPA while providing consulting services. Would a member who does not hold out as a CPA be in compliance with “Compliance with Standards Rule” if the member did not comply with the SSCSs while performing consulting services for a client? Yes or Noarrow_forwardZuhair, section associate in Almadar company has found the fraud done by one of his colleagues in his section. In this situation, which of the following option is appropriated initial action of Mr. Zuhair to do if he does whistleblowing? a. Discuss the issue with the family as they may be affected b. Leave the company c. Approach immediate manager and make the manager aware of the issue d. Go outside the company and discuss with the mediaarrow_forwardRead the extract and answer the essay that follows Popo Molefe explains perils of Prasa locomotive deal, maintains trains were 'too tall' Former chair of the Passenger Rail Agency of South Africa (Prasa) board Popo Molefe told the Judicial Inquiry into State Capture that the irregular procurement of locomotive at the entity was dogged with gaps in integrity and transparency. Molefe appeared before the commission on Thursday morning after the inquiry took a week-long break from taking oral evidence. He spent much of the hearing responding to an affidavit by another former Prasa chair, Sfiso Buthelezi, on the locomotive deal. The R2.3 billion procurement of the "tall trains" is infamous as a colossal misstep in Prasa's recent history. The Special Investigating Unit (SIU) told Parliament that the rail agency stood to recover over R60 million from the ill-fated procurement at best, due to the liquidation of Swifambo, which was given the tender. Swifambo got more than R3.5 billion in…arrow_forward
- Read the extract and answer the essay that follows Popo Molefe explains perils of Prasa locomotive deal, maintains trains were 'too tall' Former chair of the Passenger Rail Agency of South Africa (Prasa) board Popo Molefe told the Judicial Inquiry into State Capture that the irregular procurement of locomotive at the entity was dogged with gaps in integrity and transparency. Molefe appeared before the commission on Thursday morning after the inquiry took a week-long break from taking oral evidence. He spent much of the hearing responding to an affidavit by another former Prasa chair, Sfiso Buthelezi, on the locomotive deal. The R2.3 billion procurement of the "tall trains" is infamous as a colossal misstep in Prasa's recent history. The Special Investigating Unit (SIU) told Parliament that the rail agency stood to recover over R60 million from the ill-fated procurement at best, due to the liquidation of Swifambo, which was given the tender. Swifambo got more than R3.5 billion in…arrow_forwardMr. Chan works in Malaysia but is a citizen of Singapore where his company is organized andheadquartered. Mr. Chan is an expatriate, who is a citizen of the company's home countryworking in a foreign country. Ms. Hamidah is Mr. Chan's executive secretary in Malaysia, butunlike Mr. Chan, she is a citizen of Malaysia and is considered a host-country national. Sheis an employee hired by a foreign company to work in her own country. Mr. Alex works for thesame company as Mr. Chan and Ms. Hamidah in Malaysia, but he is an Australian. Anemployee like Mr. Alex who is a citizen of one country but works in another country for acompany that is headquartered in a third country, is called a third-country national. Mr.Chan, Ms. Hamidah, and Mr. Alex are examples of MNC’s staffing approach. MNCs facedifferent challenges with employee selection leading them to use certain staffing approaches.The international HR department must have an innovative idea about the skills and availabilityof human…arrow_forward1) At the end of all her written communications, employee writes "have a blessed day." One of employer's most important clients requests that employee not do so and employer asks employee to stop. Employee refuses, saying it is a part of her religion. If employee sues the employer for religious discrimination, is she likely to win? 2) A Michigan Holiday Inn fired a pregnant employee because the "very Christian" staff members were very upset by her talk of having an abortion. Has the employer violated Title VII? 3) A police officer who is assigned to a casino refuses the assignment, claiming his Baptist religion prohibits him from gambling or being around gambling. Is he legitimately able to do so? Respond to the questions list in each with support / justificaiton from fact / law / regulation. Cite as appropriate. A paragraph for each (1pg-ish) should do the trick.arrow_forward
- The following data was gathered during one of the recent audits of Cash Disbursement Section. One of the findings was on the outdated Delegation of Authority to policy. In preparing a report of the findings, identify the elements of an audit findings for each data (in order). 1. The delegation authority is updated biannually and not when changes in personnel or responsibilities of authorized individuals occur. 2. The delegation of authority policy list three individuals who are no longer with the company. Additionally, four individuals were identified who are new in their positions that should have disbursement authority, but are not listed in the policy. 3. Disbursements may be made that are not in accordance with management's or BOD's direction. 4. Authority over the disbursement of funds should only be delegated to individuals whose responsibility justify such authority. O Cause, Effect, Condition, Criteria O Condition, Effect, Cause, Criteria O Cause, Condition, Effect,…arrow_forwardEnumeration 9 to 10: Give at least 2 routine corporate actions that requires shareholder’s approval under the Anglo-US model of corporate governance. 11 to 14: Examples of abuses when the same person is the chairman of the board and the chief executive officer. 15 to 16 The two boards prescribed under the German model of corporate governancearrow_forwardMike is an agent making purchasing orders for Tami. Tami passes away before the agency contract is voluntarily ended. Mike has already done most of the work Tami assigned. What is the result related to the status of the agency? A. Agency is terminated by incapacity B. Agency is terminated by fulfillment C. Agency is terminated by law D. Agency is not terminated; terms of the agency must be resolved by Tami's estatearrow_forward
- BUSN 11 Introduction to Business Student EditionBusinessISBN:9781337407137Author:KellyPublisher:Cengage LearningEssentials of Business Communication (MindTap Cou...BusinessISBN:9781337386494Author:Mary Ellen Guffey, Dana LoewyPublisher:Cengage LearningAccounting Information Systems (14th Edition)BusinessISBN:9780134474021Author:Marshall B. Romney, Paul J. SteinbartPublisher:PEARSON
- International Business: Competing in the Global M...BusinessISBN:9781259929441Author:Charles W. L. Hill Dr, G. Tomas M. HultPublisher:McGraw-Hill Education