Judge Rejects Challenge to Trump Administration’s USAID Contract Cuts

by | Mar 6, 2025

The Trump administration secured another legal victory Thursday as a federal judge rejected an attempt by USAID contractors to block the termination of their contracts.

 

Contractors working with the U.S. Agency for International Development (USAID) argued that ending their contracts would cause “irreparable harm.” However, Judge Carl Nichols ruled they had not sufficiently demonstrated such harm and suggested they seek remedies outside the courts.

“The destruction of USAID is now imminent,” said Carolyn Shapiro, an attorney for the challengers.

Internal documents have revealed the administration’s sweeping plans for budget reductions at USAID, with nearly 15,000 grants totaling $60 billion set for elimination. These grants, which constitute about 90% of USAID’s foreign aid contracts, are being cut following a State Department review of government spending.

Targeting USAID has been a priority for the administration, as Trump has long criticized foreign aid, arguing it does not benefit American taxpayers. He has also voiced strong opposition to the agency’s leadership, at one point calling top officials “radical lunatics.”

The ruling comes just a day after the Supreme Court, in a 5-4 decision, ordered the government to pay out $2 billion in previously promised foreign aid.

 

 

Kyle Becker

 

 

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