In the case of Food and Drug Administration v. Brown and
Williamson Tobacco Corp. (529 U.S. 120
(2000)), the FDA decided that they had the authority to regulate tobacco. The
US Supreme Court disagreed.
The US Supreme Court found
that if you look at the facts, there is no way that tobacco could possibly
be considered safe under FDA's guidelines. Therefore if FDA were to
regulate tobacco, they would have no choice but to ban it.
The Court looked to the
entirety of Congress' actions and statements about tobacco, and found that
there was no Congressional intent
to ban tobacco.
Therefore, under the Chevron
Doctrine (See Chevron U.S.A. Inc.
v. Natural Resources Defense Council (467 U.S. 837 (1984))),
since Congressional intent is clear
on the issue, there is no room for Agency interpretation.
Btw, if Congressional
intent is ambiguous, then the courts
will defer to Agency interpretation, as long as that interpretation is
'reasonable'.