IEEPA TARIFFS UNLAWFUL: Supreme Court Hands Decisive Victory To Importers

In a landmark decision, the United States Supreme Court has held that the tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”) are unlawful. With that ruling, the long-running uncertainty surrounding the so-called “Fentanyl” and “Reciprocal” tariffs has finally been resolved at the highest level.

For importers, however, the most important question is no longer whether the tariffs were legal.

It is: How do we get our money back?

What the Decision Means for Importers

The Court’s ruling confirms that the IEEPA-based duties were not lawfully imposed. That means the government collected duties it was not authorized to collect.

But a favorable Supreme Court decision does not automatically result in refunds. Customs does not simply mail checks to affected importers. Refunds must be pursued through proper legal channels. Timing matters.

As entries liquidate, important rights can be lost if companies do not take action. The Supreme Court’s decision potentially opens the door to recovery — but importers must walk through it.

Why Filing Suit May Still Be Necessary

Even before the Supreme Court’s decision, many importers filed actions in the United States Court of International Trade to preserve their rights. Now that the tariffs have been declared unlawful, those cases are positioned to seek court-ordered refunds.

For companies that have not yet filed, legal action may still be required to:

• Preserve refund rights for unliquidated entries
• Challenge liquidations where appropriate
• Obtain court-ordered reliquidation and repayment
• Secure interest on refunded amounts where available

Importantly, courts have recognized that filing a protest with Customs can be futile because Customs lacks authority to rule on the legality of presidential executive orders. In those circumstances, the Court of International Trade has jurisdiction to grant relief directly — including ordering refunds.

The Supreme Court’s ruling significantly strengthens the legal footing for such claims.

The Window to Act May Be Limited

Although the tariffs have been invalidated, procedural deadlines still apply. Liquidation timelines, protest deadlines, and jurisdictional requirements remain in force.

Companies that delay may face arguments from the government that certain entries are final and unchallengeable. While courts have recognized exceptions in constitutional duty challenges, each importer’s situation must be carefully evaluated.

The safest course for many businesses is prompt legal consultation.

Next Steps

The Supreme Court has provided clarity on the law. The remaining question is procedural: ensuring your company is positioned to recover what it paid. Our International Trade team is actively assisting importers in evaluating exposure, reviewing liquidation status, and preparing refund litigation where appropriate.

If your company paid IEEPA tariffs, now is the time to assess your position and determine whether filing suit is advisable. The opportunity to recover substantial duties may exist — but preserving that opportunity requires deliberate and timely action. Contact us to schedule a consultation.

Disclaimer:

This blog post is provided for general informational purposes only and does not constitute legal advice. The legal issues discussed involve evolving case law and fact-specific considerations that may differ materially depending on an importer’s circumstances, entry history, and procedural posture. Reading this post does not create an attorney–client relationship. Importers should consult qualified counsel to obtain advice tailored to their specific situation before taking or refraining from any action.