Tariffs: California to the Rescue?

Mark Lightner, Esq. - Head of Special Situations Legal Research, CreditSights

16 April 2025

Overview

On April 16, 2025, the State of California commenced litigation in the U.S. District Court for the Northern District of California against President Donald Trump, the Secretary of Homeland Security, and the Acting Commissioner for U.S. Customs and Border Protection.

California is seeking declaratory and injunctive relief, arguing that President Trump has overstepped his legal authority by implementing his series of tariffs in recent months.

In broad strokes, the complaint, alleges that Trump improperly invoked the International Economic Emergency Powers Act (IEEPA) as a basis for imposing tariffs on Mexico, Canada, and China, along with universal and reciprocal tariffs on other countries.

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