SCOTUS Allows Lisa Cook to Remain on Federal Reserve Board Sets January Argument on Constitutionality

 

In a temporary but significant reprieve for the Federal Reserve’s leadership, the U.S. Supreme Court has permitted economist Lisa Cook to continue serving on the central bank’s Board of Governors while it weighs the constitutionality of her recess appointment. The Court

announced Friday it will hear the case Garrett v. Federal Reserve Board in its January 2026 argument session, leaving Cook in place for at least another nine months.

The decision avoids immediate disruption to the Fed’s policymaking body during a period of economic uncertainty, but sets the stage for a high-stakes constitutional showdown over presidential appointment powers and the separation of powers.

A Seat in Limbo

Cook, a Michigan State University professor and the first Black woman to serve on the Fed’s board, was appointed by President Biden in May 2022 during a Senate recess after her nomination stalled amid Republican opposition. Critics, led by Texas businessman and plaintiff John Garrett, argue the recess was too brief to qualify under the Constitution’s Recess Appointments Clause rendering her service unlawful.

“The President cannot bypass the Senate’s advice-and-consent role by exploiting procedural gaps,” Garrett’s legal team wrote in its petition.

But the Biden administration counters that the Senate was functionally unavailable during its pro forma sessions, making a recess appointment necessary to fill a critical vacancy. The D.C. Circuit Court previously upheld Cook’s appointment, calling it “consistent with historical practice.”

For now, the Supreme Court’s order issued without noted dissents means Cook retains full voting rights on interest rate decisions and regulatory matters. “This isn’t just about one person,” said former Fed official Sarah Binder. “It’s about whether the executive can keep the government functioning when partisan gridlock paralyzes confirmations.”

Why This Case Matters Beyond the Fed

While the dispute centers on Cook, its implications stretch far beyond monetary policy. Dozens of federal officials from ambassadors to agency heads have been appointed via recess in recent decades, especially as Senate confirmation delays have grown longer. A ruling against Cook could invalidate scores of past appointments and further cripple an already strained nomination process.

Moreover, the case arrives amid broader conservative legal efforts to constrain executive authority. Justices have recently scrutinized the administrative state in cases involving the Consumer Financial Protection Bureau and the SEC suggesting Garrett may fit into a larger pattern.

A Scholar in the Storm

Throughout the legal battle, Cook has maintained a low public profile, focusing on research on innovation, inequality, and economic growth issues that shaped her Fed priorities. Colleagues describe her as meticulous and data-driven, a voice for inclusive policy in a historically insular institution.

“I didn’t ask for this spotlight,” she told The Wall Street Journal last year. “But if my presence helps more people see themselves in economics, then it’s worth it.”

Now, the nation’s highest court will decide whether that presence was constitutional or a breach of the very framework designed to balance power.

Until January, Cook remains at the table. But the clock is ticking not just for her seat, but for how America fills its most vital offices in an age of polarization.

SEO Anahtar Kelimeler: Lisa Cook Federal Reserve, recess appointment SCOTUS, Recess Appointments Clause, Fed board constitutionality, separation of powers

By Ali Soylu (alivurun4@gmail.com )
Ali Soylu is a freelance journalist covering culture, human interest stories, and societal shifts. His work appears on travelergama.com, travelergama.online, travelergama.xyz, and travelergama.com.tr.

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