Which law category provides the basis for a state's regulatory agencies?

• A. Administrative law
• B. Regulatory law
• C. Constitutional law
• D. Case law

Answer: (B)

Regulatory activities are built on the rules that authorize and guide agencies to act. Regulatory law is the part of the legal system that defines these authorities, what can be regulated, and the standards and processes regulators must follow when creating rules and enforcing them. Agencies are created by statutes enacted by the legislature, which give them power to regulate specific areas. The regulations they issue implement those statutes and must adhere to the procedural requirements laid out by regulatory law.

In practice, this means regulatory law directly provides the framework within which regulatory agencies operate—their powers, limits, and the methods they use to regulate, inspect, license, and adjudicate. While constitutional law sets broad authority and administrative law governs general agency procedures, the specific body of law that gives rise to and governs the regulatory actions themselves is regulatory law.