Title: Administrative Agency legal definition of Administrative Agency
Headings: Administrative Agency
Administrative Agency
Administrative Agency
History of Administrative Agency
Federal Administrative Agencies
State and Local Administrative Agencies
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Content: Given the specialized knowledge within administrative agencies, administrative law judges (ALJs), who hear agency claims and disputes, are loath to overturn the legal conclusions reached by administrative boards. Determinations and sanctions made by ALJs are subject to review by state or federal courts, but a party must exhaust all appeals within the agency before suing in civil court. An agency's actions must be in accordance with its enabling statute, and courts will examine the agency records to determine whether the agency exceeded its lawmaking or judicial powers. Rigorous judicial oversight of agencies would defeat a cherished feature of administrative agency by eliminating agency flexibility in resolving conflicts. To avoid this outcome, most enabling statutes are worded vaguely, in such a way as to allow the agencies broad discretion in determining their rules and procedures. To keep agencies from wielding unbridled power, the Administrative Procedure Act of 1946 (APA) (5 U.S.C.A. § 551 [1982]) sets standards for the activities and rule making of all federal regulatory agencies. The APA provides federal courts with a framework for reviewing the rules made and procedures used by administrative agencies. Individual states have similar statutes to guide their own courts. History of Administrative Agency
The first administrative agency was created by Congress in 1789 to provide pensions for wounded Revolutionary War soldiers. Also in the late 1700s, agencies were created to determine the amount of duties charged on imported goods, but it was not until 1887 that the first permanent administrative agency was created.