Today we are two days away from the end of the Winter Olympics, which means that from my perspective we’re finally getting to the interesting part. Yesterday was the women’s hockey gold medal game and the men’s curling semifinals, while today we had the men’s hockey semifinals and the women’s curling semifinals. Add on the top of that the fact that annual actuarial opinions are due in a week, and I have a lot on my mind right now.
So, naturally, today was when SCOTUS finally released its opinions in the IEEPA tariffs cases…
Recall that two different cases from lower courts that were consolidated for argument at the Supreme Court. The case I had been following more was V.O.S. Selections v. Trump, which came through the Court of International Trade and then the Federal Circuit. In that case, the plaintiffs were arguing that two different families of tariffs that Trump promulgated by executive order in 2025, citing the International Emergency Economic Powers Act of 1977 (IEEPA) as his source of statutory authority to do so, were not lawful under that act. Whereas in the other case on which the D.C. Circuit had yet to take action, Learning Resources v. Trump, plaintiffs argued that IEEPA does not provide the President with a source of authority to enact tariffs, period.
History will, somewhat randomly, refer to today’s SCOTUS holding as Learning Resources rather than V.O.S. Selections. This is both appropriate and ironic. The ironic part comes from the fact that SCOTUS actually ordered today for the original lawsuit filed by Learning Resources and its fellow plaintiffs to be dismissed, on the grounds that it was filed in the wrong jurisdiction. The appropriate part comes from the fact that, by a 6-3 margin, SCOTUS has adopted the argument advanced by the Learning Resources plaintiffs, as opposed to that advanced by the V.O.S. Selections plaintiffs: namely, IEEPA does not provide the President with any authority to enact tariffs.
The outcome and voting lineup were just as I (along with many others) had predicted coming out of November’s oral argument: 6-3 to strike down the tariffs, with the dissenters being Thomas, Alito, and Kavanaugh. Roberts had the main opinion, which is relatively brief at 21 pages, although the three liberals declined to join the portion of his opinion that invokes Roberts’ major questions doctrine. Kavanaugh’s principal dissent, joined by the two arch-conservatives, is three times as long, at 63 pages. There is also a 46-page Gorsuch concurrence whose main purpose appears to be to throw shade at the judgment of every other justice on the Court except for Roberts; a 4-page Barrett concurrence that seemingly exists solely to rebut what Gorsuch said about her in his concurrence; and a 7-page Kagan concurrence (joined by the other two liberals) explaining why there was no need to invoke the major questions doctrine to arrive at the majority’s result. Finally, at the ideological far ends of the Court, there is also an 18-page Thomas dissent articulating his view that it would not be unconstitutional (as many have argued) for Congress to delegate unfettered tariff authority to the President; and there is a 5-page Jackson concurrence pointing out that this is actually a very easy case to resolve, assuming that one is willing to place weight on legislative history from the enactment of IEEPA, which has become extremely unfashionable in the 21st century as a technique of statutory interpretation.
With all that, it has become more clear why it took three-and-a-half months for the Court to produce its opinions, even though the case was of the highest possible national interest.
Trump did not take the news well, referring to the justices who voted with the majority–two of whom he appointed–as “fools and lap dogs”, and saying specifically of his appointees Gorsuch and Barrett that they were “an embarrassment to their families.” This prompted retired Judge Luttig, once on the shortlist for the SCOTUS seats that went to Roberts and Alito, to say that today marked “the president’s most spectacular display yet of his utter disrespect for the Constitution and his contempt for the Supreme Court of the United States.”
So, what happens now?
It would appear that a whole host of tariffs already collected by the U.S. government are unlawful, and refunds are owed. This may be a long and complicated process. Per an article from September in Lawfare:
“If the IEEPA tariffs are ultimately struck down by the Supreme Court, importers will not receive refund checks automatically; they must affirmatively request refunds through the proper channels. The likely pathways are (a) [Post Summary Corrections] for unliquidated entries; (b) protests for liquidated entries; and, if necessary, (c) litigation at the [Court for International Trade] to enforce refund rights.”
And to the extent importers receive refunds, will those funds ultimately flow to the consumers who, per recent academic research, bore the brunt of the tariffs? Probably not, prompting the NYTimes to write tonight that “the lack of refunds for consumers is likely to be another political liability for the Trump administration”.
Looking forward rather than backwards, Trump remains unrepentant about his tariff-centric economic policies. Today he issued a new executive order, applying clear authority granted to the President (but never previously used) under the Trade Act of 1974, imposing a uniform 10% tariff on imports from all countries, with some exclusions (such as goods covered under the U.S.-Mexico-Canada Agreement). However, unlike his attempted IEEPA tariffs, Trade Act tariffs require explicit Congressional approval in order to persist beyond 150 days. This new global tariff will take effect on Tuesday, which is also the date of Trump’s State of the Union address; that should be an interesting evening.