Obama Administration Halts Pending Regulations for Federal Agencies

On the first day of the new Presidency, Barack Obama’s Chief of Staff, Rahm Emanuel, issued a memorandum to all federal agencies to halt any pending regulations until the new administration can review them. This Memorandum directs federal agencies to immediately freeze all on-going regulatory proceedings, including regulations that may have been finalized prior to the end of the Bush Administration, but not yet effective. This step alone will address more than one-third of the regulations which seek to preempt state tort law.

Under this Memorandum, the Obama Administration will have the option not to finalize any proposed rule (or final rule which has not yet become effective) or to ensure that any final version of a pending rule does not contain complete immunity preemption language, which would preempt state tort law. This likely will include NHTSA's designated seating positions rule, which has preemption language in both the preamble and the text of the rule, as well as a proposed roof crush rule that would negatively impact consumers injured by vehicle rollovers.

To view official copy of White House Memo click here (pdf format).