Clinton Judge Orders Trump Admin to Refund $130 Billion in Tariffs
A federal judge on Wednesday ordered the Trump Administration to begin refunding $130 billion in tariffs that the US Supreme Court recently struck down.
In a 6-3 decision, the Supreme Court ruled that President Trump did not have the authority to impose the tariffs under the International Emergency Economic Powers Act (IEEPA). The ruling invalidates the tariffs under this law, but does not affect other trade measures.
Chief Justice John Roberts, along with Justices Amy Coney Barrett and Neil Gorsuch, joined the three liberal justices in the majority. Conservative Justices Samuel Alito, Clarence Thomas, and Brett Kavanaugh dissented, with Kavanaugh warning that refunding the tariffs could create a “mess.”
Following the ruling, the Trump Administration requested a 90-day delay before issuing refunds, but the Federal Circuit Court of Appeals rejected that request on Monday.
On Wednesday, Judge Richard Eaton, an appointee of President Bill Clinton, ordered the Trump Administration to start the refund process. In a three-page order, Eaton explained that U.S. Customs and Border Protection would calculate what importers would have paid without the invalidated tariffs. He also emphasized that he has sole jurisdiction over these refunds, which have been the subject of lawsuits from more than 1,000 companies in the U.S. Court of International Trade.
“The Chief Judge has indicated that I am the only judge who will hear cases pertaining to the refund of [International Emergency Economic Powers Act] duties,” Eaton wrote. “So there is no danger that another judge, even one in this Court, will reach any contrary conclusions.”
The case originated with Atmus Filtration, Inc., a company that paid the tariffs imposed by President Trump under IEEPA on imports from nearly every country last year. Last week, FedEx also filed a lawsuit seeking refunds. “Plaintiffs seek for themselves a full refund from Defendants of all IEEPA duties Plaintiffs have paid to the United States,” the lawsuit stated.
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