DOJ Challenges CIT’s Order Directing IEEPA Refunds

The U.S. Department of Justice (DOJ) filed a notice of appeal on May 29 challenging the Court of International Trade's (CIT) order directing U.S. Customs and Border Protection (CBP) to refund tariffs collected under the International Emergency Economic Powers Act (IEEPA). 

In its filing, the DOJ argued that the CIT exceeded its authority by issuing a nationwide injunction that would require CBP to reliquidate entries and refund duties for importers who were not parties to the lawsuits. The government is seeking to stop refunds of tariffs on entries that fall outside of CAPE Phase 1, because they were liquidated for more than 90 days.   The government stated it intends to seek a stay of the injunction, except for the specific importers involved in the cases before the court. 

The DOJ also objected to CIT Judge Richard Eaton's order requiring CBP Commissioner Rodney Scott to appear before the court on June 9. Instead, the government requested that senior CBP officials Susan Thomas and Brandon Lord continue to represent the agency. 

Judge Eaton rejected that request, stating that Commissioner Scott's testimony is necessary to determine whether the government plans to refund unlawfully collected duties to all affected importers, either by complying with the court's order or through another mechanism. 

The dispute centers on an estimated $166 billion in tariff collections and could have significant implications for importers across the United States.  

At Allyn International, we are committed to supporting the global trade community with strategic, forward-thinking solutions to help navigate today’s complex tariff landscape. Allyn continues to monitor these developments closely to support our clients with refund processing, protest deadlines, and other compliance considerations.   

If you have questions about tariffs or would like to explore strategies to reduce their impact on your business operations, our team is here to help. Contact us today for a consultation at  sales@allynintl.com  

Contributor: Matt Dreckman

---

About Allyn International

Allyn International provides high quality, customer centric services and solutions for the global marketplace. Allyn's core products include transportation management, logistics sourcing, freight forwarding, supply chain consulting, tax management and global trade compliance. Allyn clients range from small local businesses to Fortune 500 firms. Allyn conducts business in more than 20 languages and has extensive experience in both developed and emerging markets. Highly trained experts are positioned throughout North and South America, Europe and Asia. Allyn’s regional headquarters are strategically located in Fort Myers, Florida, U.S.A., Shanghai, P.R. China, Prague, Czech Republic, and Dubai, U.A.E. For more information, visit www.allynintl.com.