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Ganje: Be careful with the rules | TSLN.com

Be careful The Ides of March Rules

A dilemma for my readers: try not to miss the Regulations. I did. At least that was the case at Aberdeen High School. I was kicked out several times for violating the rules. Human nature played a role, but I’m not sure what part of human nature caused me to miss the rules.

Let’s apply this problem to 21st century businesses. There are plenty of rules. Rules abound even in a so-called no-rules, open country state like South Dakota. The key to these rules is knowing where they live. Despite the desire for a black and white structure in the legal system, that’s not how the rules work. Yes, there are laws and case law that can help you, but there is a whole sphere hidden beneath the surface – regulations issued by administrative bodies.



If we imagine the business world as a city, the rules set by legislators and judges are comparable to buildings and lampposts; visible and obvious. However, administrative regulations are comparable to underground water and sewage systems. They affect everything, although they are rare. I encourage you to learn to recognize these rules and try not to miss them. The laws regarding administrative agencies are extensive at both the federal and state levels. Agencies set rules in many areas, from our mailrooms to national security and everything in between. The scope of agency power is threefold – executive, legislative and judicial. Does any other entity in our government wield so much power? We must be careful with agency rules. Every conscious and astute businessman or businesswoman should reasonably be afraid of agencies. This fear stems from the fact that agencies are not elected but wield considerable power.

Although legislators pass laws, the general truth is that many legislators do not know everything or do not want to know everything. This is where agencies come in and fill in the gaps, the many gaps, with regulatory law. These principles are often overlooked, resulting in process delays, frustrated goals, and financial losses for uninformed entrepreneurs. Time is a dangerous factor in agency leadership. Agencies can implement the rule without public input, resulting in a new compliance requirement for your company. Alternatively, it may take agencies months or even years to achieve a goal that your company could benefit from today. Many large companies employ researchers to monitor agency decisions and policies. Compliance may not be exciting, but it is necessary. Not every company may have the resources for this type of researcher, but raising awareness of the topic can go a long way toward a company’s success.



Government agencies are part of the executive branch of the United States government. It is through these agencies that the government executes and enforces the law. The Administrative Procedure Act establishes each agency’s limits, however few, through the agency’s enabling act. The APA controls federal agencies, and each state has adopted its own act that closely resembles the federal act. It is important to be familiar with the APA and where to access agency information and eligibility restrictions. My intention is not to arouse obsession, although urgent awareness is advisable. The importance of these principles should be understood by every business person, including lawyers. Dear Lawyer, please do not ignore administrative regulations by simply relying on statutes. Trust me, the administrative order is probably affecting your situation. This awareness will benefit both you and your customers. To the lawyer, I challenge you to pick a random case or two from your books and see what agency is involved in the background. I challenge anyone running a business to evaluate their business from the perspective of a government agency, do their research, and follow the appropriate policies.

The Code of Federal Regulations is a good place to start. If you’re intrigued, electronic rulemaking, which allows public access and participation in rulemaking, has recently increased in importance. The process of creating e-regulations is conducted via the website http://www.regulations.govand it’s worth watching. Remember that streetlights and buildings are obvious, but underground pipelines are easy to forget. Think about these agency policies regularly. Ignorance and indifference to these rules is a game of Russian roulette; high risk and no reward.

–David Ganje, lawyer