Michigan Attorney General Dana Nessel has joined a coalition of 20 attorneys general in a lawsuit against the Trump administration regarding new requirements placed on federal contractors. The lawsuit, filed in the U.S. District Court for the District of Maryland, centers on the implementation of Executive Order No. 14398, which requires federal agencies to add terms to contracts that prohibit federal contractors from participating in “racially discriminatory DEI activities.”
Lawsuit Claims Rushed Implementation
The coalition argues that federal agencies rushed these new rules and bypassed standard government procedures, specifically the legal requirement to open the rules for public comment. Because of this skipped step, the lawsuit claims contractors now lack clear guidance on how the new terms work in practice or how they differ from current anti-discrimination laws.
The federal government estimates the order could impact up to 640,000 contracts and subcontracts across the country. Contractors who fail to comply with the new rules could face canceled contracts, bans on future federal work, and lawsuits under the False Claims Act.
“Unsurprisingly, the Trump administration is at it again – unlawfully sidestepping procedures to impose vague and confusing conditions on federal contracts,” Nessel said. “The federal government rushed this process without providing clear guidance, so my colleagues and I are back in court to protect our states and ensure that resident services are not disrupted by these illegal demands.”
States Involved in the Lawsuit
Joining Michigan in the lawsuit are the attorneys general of California, Colorado, Connecticut, the District of Columbia, Hawaiʻi, Illinois, Maine, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, Oregon, Rhode Island, Vermont, Virginia, Washington, and Wisconsin.
Original reporting: Tampa Free Press — read the source article.