State AGs sue after Supreme Court decision
CNBC • • general
Key Points:
- New York Attorney General Letitia James, along with top prosecutors from 23 states, filed a lawsuit to block President Trump's new global tariff regime, challenging its legality and seeking refunds for states.
- This lawsuit follows a recent Supreme Court ruling that invalidated most of Trump's previous tariffs imposed under the International Emergency Economic Powers Act (IEEPA).
- Trump's new tariffs are based on Section 122 of the Trade Act of 1974, with a current 10% rate planned to increase to 15%, but the attorneys general argue this law was not intended for such broad trade measures and violates constitutional separation-of-powers principles.
- The Trump administration defends the tariffs as necessary to address international payment issues and balance-of-payments deficits,
