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2mo ago

Trump Administration Faces Legal Challenges Over USAID Funding Freeze

Federal judges have issued restraining orders against the administration's suspension of foreign aid, citing constitutional and procedural violations.

People hold placards outside the USAID building, after billionaire Elon Musk, who is heading U.S. President Donald Trump's drive to shrink the federal government, said work is underway to shut down the U.S. foreign aid agency USAID, in Washington, U.S., February 3, 2025. REUTERS/Kent Nishimura/File Photo
A Rohingya woman feeds nutrition supplements that have been provided by USAID, to a child at a refugee camp in Cox's Bazar, Bangladesh, February 11, 2025. REUTERS/Ro Yassin Abdumonab/File Photo
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Overview

  • President Trump's executive order to freeze foreign aid has led to lawsuits from USAID contractors and nonprofits, alleging irreparable harm and constitutional violations.
  • Federal judges have temporarily blocked the funding freeze, stating it oversteps executive authority and disrupts congressionally approved programs.
  • The Trump administration argues it has legal authority to suspend aid without relying on the executive order, prompting calls for judicial clarification.
  • The freeze has impacted thousands of grants and contracts, with humanitarian organizations warning of severe consequences for global aid and development efforts.
  • The legal battle highlights broader constitutional questions about the president's power to withhold funds appropriated by Congress, potentially setting the stage for a Supreme Court ruling.