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Informal
adjudication is an ill defined but broad category of agency action. The APA's do not
specifically define informal adjudication. A working definition of informal adjudication is that
it
is a statutorily required decisionmaking process that may or may not require a hearing and is
neither formal adjudication nor rulemaking. If the process does not involve formal adjudication
or rulemaking, it may come under the default heading of informal adjudication. The
decisionmaking process is more likely to be defined in the agency organic legislation than in the
APA, but the scope of judicial review is usually found in the APA. The Federal Overton Park
case is the initial source for identifying a number of the characteristics of the informal
adjudication. There are vastly more decisions made in informal adjudications than in formal
adjudications.
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Informal
adjudication may or may not require a hearing process as part of the decisional
process. If a hearing is required, it will not be a closed record, adversarial hearing as used
in
formal adjudication. If a hearing is required, it may or may not be an oral hearing. The
statute
authorizing the decisional process is the first place to look for any hearing requirements.
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The
decision in an informal adjudication will usually be subject to judicial review. The Federal
Overton Park case illustrates one level of judicial review. The organic statute of the agency
that
delegates the decisionmaking authority to the agency will be the first place to look for judicial
review elements. In the federal system, the informal adjudication may be reviewed under the
broad category of "agency action." In a state APA, the scope of review may be patched
together by considering the factual, legal, and other components of the decision.
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The
procedure used in informal adjudication decisionmaking is most likely to be found in the
organic legislation authorizing the decision. The prescribed procedures may be implicit or
explicit. The prescribed procedures are likely to vary greatly from one statute to the next.
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The
informal adjudication decision must be based on a record, although it is not the closed
record that is required in formal adjudication. A record is required either because of the terms
of organic statute or because otherwise the court will have no basis for judicial review in the
absence of a record. The record may consist of the agency order, any public submissions,
agency studies or investigations, or any matters considered by the agency. The record on
review cannot be based on post hoc rationalizations.
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