On May 28, 2025, the Court of International Trade granted summary judgment in V.O.S. Selections, Inc. et al v. Donald J. Trump Case No. 25-cv-66, ordering that all the executive orders imposing tariffs on the basis of IEEPA (Executive Order 14193, Executive Order 14194, Executive Order 14195, Executive Order 14257), were declared to be invalid as contrary to law. The operation of the tariff orders is permanently enjoined and the Court ordered that administrative orders to effectuate the permanent injunction shall be issued within 10 calendar days.
The Court did not rely on the non-delegation doctrine in its opinion, basing its decision on the fact that the President's Executive Orders exceeded the authority of the IEEPA statute. Specifically, the Worldwide and Retaliatory Tariff Orders (10% tariff on all imports from all trading partners; temporary 10% retaliatory tariffs on China) exceed the authority granted to the President by Congress through IEEPA to regulate importation by means of tariffs. The Trafficking Tariffs (imposed when the President declared a national emergency under IEEPA to deal with the fentanyl and drug threats posed by international cartels) fail because they do not deal with the threats set forth in those orders.
In light of this decision, within 10 days, CBP will likely issue guidance for importers advising on instructions for imports without IEEPA tariffs. Importers should stay tuned for likely appeals and preserve their rights to refunds of duties paid.
As of May 28, 2025, notices of appeal have been filed by the government.
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