Today, the Supreme Court turned down an appeal by two small, family-owned toy companies. They wanted to expedite their challenge to tariffs that former President Donald Trump enacted. When Trump imposed his tariffs on April 2, 2018, he declared that doing so was necessary to address a national economic emergency. This declaration was made pursuant to the International Emergency Economic Powers Act (IEEPA). This ruling provides the Trump administration with the customary 30 days to respond to the challenge.
Learning Resources and hand2mind, the two companies that brought the case, argue that Trump has no authority to impose tariffs. They claim he needed to get congressional approval first. Their legal challenge questions the extent of Trump’s power under the IEEPA and has garnered attention from various businesses and individuals who are contesting his authority to impose such tariffs.
Learning Resources and hand2mind both wanted to move their case along quickly. They chose to skip ahead to the Supreme Court, altogether bypassing their federal appeals court. The high court’s ruling would leave the tariffs in place. 21), the legality of which the federal appeals court is expected to hear arguments on at the end of next month.
Rick Woldenberg, chairman and CEO of Learning Resources and hand2mind, said he was disappointed by the Supreme Court’s ruling. He was clearly cognizant that the legal fight is just beginning.
“It was a disappointment but honestly just another twist in the road.” – Rick Woldenberg
Trump has executed these tariffs as part of a larger, more economically ignorant plan. Ever since declaring a national emergency in order to enforce them, he has come under fire and lawsuits. The effects of this decision have spread far beyond the toy industry to all the industries affected by Trump’s tariff policy.
This has all been occurring as Trump has personally tried to manage several other critical issues. … as he mulls a new military strike on Iran, and then excoriates Federal Reserve Chair Jerome Powell over the failure to raise interest rates this week.
The legal landscape surrounding Trump’s Section 232 tariffs is still in flux. Learning Resources and hand2mind are preparing for their upcoming attack on the merits in federal court. We’re all keeping our fingers crossed to see how this case brings itself to the Supreme Court for a definitive resolution.
“You want to win every motion but sometimes you don’t,” – Rick Woldenberg
“Ultimately this showdown will be at the Supreme Court.” – Rick Woldenberg