Federal Horseracing Law Ruled Unconstitutional by Fifth Circuit

A federal law delegating the power to enforce rules governing the horse racing industry to a private corporation is unconstitutional, the US Court of Appeals for the Fifth Circuit said Thursday.

It’s the second time the appeals court has reviewed the Horseracing Integrity and Safety Act of 2020, after the US Supreme Court stayed the Fifth Circuit’s earlier ruling that the provision failed the private nondelegation doctine. On remand, a lower court said an amendment giving the Federal Trade Commission authority to reject rules created by the Horseracing Safety and Integrity Authority cured the problem.

But the Fifth Circuit partially ...