The U.S. Supreme Court gave Arizona and other states more authority to take action against illegal immigrants and the companies that hire them, ruling that employers who knowingly hire illegal workers can lose their license to do business, according to reports from the Los Angeles Times.

The 5-3 decision upholds the Legal Arizona Workers Act of 2007 and its so-called business death penalty for employers who are caught repeatedly hiring illegal immigrants. The state law also requires employers to check the federal E-Verify system before hiring new workers, a provision that was also upheld.

The decision is a defeat for the U.S. Chamber of Commerce, several civil-rights groups and the Obamaadministration, all of whom opposed the Arizona law and its sanctions on employers. They argued that federal law said states may not impose "civil or criminal sanctions" on employers.

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