More than 2,000 firms have filed lawsuits seeking refunds for tariffs paid after the U.S. Supreme Court ruled against former President Donald Trump’s use of emergency powers to impose broad tariffs, according to reports from Bloomberg News and Business Insider. The surge in legal challenges began within days of the February 20th Supreme Court decision.
The lawsuits allege that the Trump administration illegally imposed tariffs under the International Emergency Economic Powers Act (IEEPA), a law typically used for sanctions. The Supreme Court, in its ruling, found that the president had overstepped his authority in unilaterally imposing the tariffs. The court left the question of refunds to the U.S. Court of International Trade.
Among the companies filing suit are major corporations including FedEx, Dyson, Dollar General, Bausch & Lomb, Brooks Brothers, and Sol de Janeiro USA, as well as subsidiaries of L’Oreal, On Holding AG, and Skechers USA. FedEx stated it would pass any refunds received on to shippers and consumers who originally paid the tariffs.
The total amount of tariffs potentially subject to refund is substantial. Importers paid over $170 billion in tariffs in the last ten months alone, according to Bloomberg. The Department of Justice is expected to outline the administration’s next steps, signaling how quickly – or slowly – the government will address the mounting claims.
Trump has indicated he may contest the refunds, suggesting a protracted legal battle. “I think it has to go through the courts,” he said following the February 20th ruling, speculating that resolution could seize years.
The Supreme Court’s decision does not address the legality of all tariffs imposed during the Trump administration, but it does invalidate the legal basis for a significant portion of them, including 10 percent tariffs on goods from nearly all countries. The ruling stems from challenges to tariffs imposed in 2018 and 2019, and could impact future trade negotiations.
