The Supreme Court has ruled in favor of a lower court’s decision, allowing $2 billion in U.S. Agency for International Development (USAID) payments to proceed. This ruling came after the Trump administration attempted to halt these funds, which are intended for various nonprofits and businesses that rely on this support to provide services.
On Wednesday, the court voted 5-4 to uphold the decision made by U.S. District Judge Amir Ali from the District of Columbia. While the court agreed with the lower court’s ruling, it requested further clarification from Judge Ali since the deadline for the administration to comply had already passed.
The Trump administration had previously sought to stop these payments and even won a temporary stay on the district court’s order. However, the Supreme Court ultimately decided that the funds must be disbursed.
This outcome marks a setback for President Trump’s administration, as it is the second time the Supreme Court has rejected its attempts to challenge a lower court’s ruling in recent legal disputes. The organizations involved in the lawsuit are still waiting for the money they claim is owed to them. Some have faced serious consequences, including layoffs; one organization reported having to let go of 110 employees due to financial strain.
Justice Samuel Alito led the dissenting opinion among four conservative justices. He argued that district courts do not have the authority to mandate these payments, emphasizing that once the money is distributed, any further legal appeals could be pointless. Alito criticized the ruling, stating it imposes a significant financial burden on American taxpayers.
The majority opinion included Chief Justice John Roberts and Justice Amy Coney Barrett, who joined the three liberal justices. Justices Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh sided with Alito in dissent.
The lawsuit was initiated by a coalition of nonprofits and businesses that depend on USAID funding to operate. As the situation develops, the organizations are hopeful for a swift resolution to receive the funds they desperately need.