$100 billion in tariff refunds has already been processed and certified by CBP, but the government is asking the Federal Circuit to block refunds for importers that never sued.
Monday's opening brief argues Judge Richard Eaton exceeded the trade court's authority by issuing a universal injunction, citing the Supreme Court's 2025 CASA ruling that curtailed such nationwide relief.
The dispute centers on finalized customs entries that CBP says it cannot administratively reprocess once the refund window has closed, leaving affected companies to seek repayment through individual lawsuits.
Government lawyers said the Court of International Trade has already issued hundreds of importer-specific refund orders, while legal scholars warned the sue-first approach could shut smaller businesses out of recovering unlawful tariffs.
Could a recent Supreme Court ruling permanently shield the government from returning billions in illegally collected tariffs?
With billions trapped in legal limbo, will smaller importers lose their rightful refunds simply because they didn't sue?
$175 Billion Tariff Refund: Legal Battles, Small Business Fallout, and the Economic Shock of the 2026 IEEPA Ruling
Overview
After the Supreme Court struck down the IEEPA tariffs in February 2026, U.S. Customs and Border Protection began refunding up to $175 billion in illegal duties. While over $86 billion has already been repaid, a major legal fight erupted over whether all importers can get refunds automatically or if those who didn’t sue must file individual lawsuits. The Trump administration appealed a court order granting universal relief, and new refund phases now exclude non-litigants, forcing many to consider costly legal action. This uncertainty delays refunds, causes interest to pile up, and leaves small businesses struggling, even as the return of these funds promises a much-needed economic boost.