On Thursday, October 22, Rep. Scott Garrett (R-N.J.) introduced the “Due Process Restoration Act” (H.R. 3798). The bill is a response to the growing debate over the SEC’s increased use of in-house administrative proceedings as the forum for its enforcement actions as opposed to federal court. In a press release last week, Garrett asserted that his proposed legislation will “rein-in the [SEC’s] controversial overuse of in-house administrative law judges (ALJs) and ensure that all Americans are given due process by allowing defendants the option of having their case heard before a federal court.”
