The U.S. government is appealing a Court of International Trade judge’s order to refund tariffs to all companies that paid them, even if they didn’t file a lawsuit. The government argues that the judge overstepped his authority by issuing a universal injunction, which applies to all importers, not just those who sued.

Background

In February, the Supreme Court limited the use of universal injunctions in a case involving birthright citizenship. The government claims that this decision applies to the tariff refund case, but the judge disagrees.

The majority of tariff refunds have already been paid out, with $100 billion in refunds processed and certified by U.S. Customs and Border Protection. However, some companies that paid tariffs through the customs process and had their entries finalized are still waiting for refunds.

A law professor, Barry Appleton, said that the government has the better legal argument, but smaller businesses may suffer as a result. He noted that the government took the money under a law that the Supreme Court said was never authorized, and that getting it back should not depend on whether a business can afford to sue.

Original reporting: Alexandria, VA News – WTOP News — read the source article.