Sotomayor in the Senate, The New GM and State Farm in Florida
Judge Sonia Sotomayor prepares for her confirmation hearings in the Senate.
A slimmed-down General Motors emerges from bankruptcy.
Florida’s insurance commissioner claims to have “a gut feeling” that State Farm will continue to do business in the state, despite publicly announced plans to leave.
Listen to LibertyWeek, the entertaining and insightful CEI podcast.
1. CONGRESS
Judge Sonia Sotomayor prepares for her confirmation hearings in the Senate.
CEI Expert Available to Comment: Senior Fellow Iain Murray on Sotomayor’s political orientation:
“Sotomayor is just as liberal as [retiring justice David] Souter on social issues like affirmative action and abortion, but far more liberal even than Souter on economic issues, such as punitive damages, preemption, and employment law. The Supreme Court, including Justice Souter, unanimously reversed her decision in the Dabit (2006) case, where she allowed lawsuits that were preempted by a federal law.”
2. BUSINESS
A slimmed-down General Motors emerges from bankruptcy.
CEI Expert Available to Comment: Editorial Director Ivan Osorio on the prospect of closed dealerships having to pay “withdrawal penalties” into union pension plans:
“To address this potential problem, Rep. John Kline (R-MN) has introduced the Auto Dealers Pension Fairness Act (H.R. 2793), which would direct the Presidential Task Force on the Auto Industry to report to Congress on which dealers are to be closed and bar pension withdrawal penalties until 60 days after the Task Force reports to Congress – and thus allow Congress to determine a course of action. This is only fair, but I’m not holding my breath waiting for any unions to endorse it. Many union pension plans are severely underfunded — due in large part to union pension fund managers’ use of funds to pursue political agendas at public company shareholder meetings — and this would only add to their troubles.”
3. CONSUMER
Florida’s insurance commissioner claims to have “a gut feeling” that State Farm will continue to do business in the state, despite publicly announced plans to leave.
CEI Expert Available to Comment: Florida office director Christian Cámara on Commissioner Kevin McCarty’s comments:
“I am not aware that anything in Florida has changed from yesterday, a week ago, or even a year ago. Florida continues to be unwelcome territory for nationally recognized insurance carriers that would bring the state much-needed capital. This is evident from the commissioner’s actions over the past few years and even the governor’s own hostile, anti-market rhetoric. Unless the legislature rightfully pursues a veto override, as far as we know the insurance crisis in Florida remains unchanged. As for the commissioner’s assessment on State Farm, it appears his gut may be off kilter.”
Listen to LibertyWeek, the CEI podcast, here.