A federal judge in Washington, D.C. dismissed two lawsuits on Friday aimed at blocking the Trump administration’s dismantling of the U.S. Agency for International Development (USAID), delivering a major legal win for the White House in its broader effort to consolidate foreign aid operations under the State Department.
In a 37-page opinion, United States District Judge Carl Nichols, an appointee of President Donald Trump, ruled that the court lacked jurisdiction over key claims brought by organizations representing USAID employees and contractors, including the American Foreign Service Association, American Federation of Government Employees, and the Personal Services Contractor Association.
“The Court ultimately cannot reach the merits of any plaintiff’s allegations, however, because it concludes that it lacks jurisdiction over the claims,” Nichols wrote.
The plaintiffs—including employee unions, contractor groups, and humanitarian organizations—argued that the Trump administration’s attempt to dismantle USAID violated the Constitution, the Administrative Procedure Act, and statutory limits on executive power. They alleged the administration acted unlawfully by halting aid programs, placing thousands of employees and contractors on leave, and moving to absorb USAID into the State Department without proper authorization.
Nichols, however, found that employee-related claims must be funneled through specific administrative review systems set by Congress — such as the Merit Systems Protection Board, the Foreign Service Grievance Board, or the Foreign Labor Relations Authority — while outside advocacy groups such as Oxfam failed to establish standing to sue. He also rejected requests for a preliminary injunction, noting that the plaintiffs failed to demonstrate irreparable harm.
Although parties could still seek appellate court relief to revive their cases, the judge’s finding that the plaintiffs lacked jurisdiction could signal the fate of similar legal challenges pending in federal court, a step in the right direction for an administration plagued by federal judges who stall the administration’s executive agenda.
The Trump administration has sought to dramatically restructure USAID by halting foreign assistance programs, laying off thousands of personnel, and preparing for the agency’s full absorption into the State Department by September. The move has drawn heavy criticism from aid groups and some in Congress, who say it bypasses legislative restrictions and could jeopardize life-saving humanitarian work.
The decision follows a similar move by the D.C. Circuit in May in a case involving the United States Agency for Global Media, where a panel ruled the administration can withhold funds from news networks supported by the agency.
TRUMP ADMINISTRATION TO DESTROY ABORTION-INDUCING MATERIALS BOUGHT THROUGH BIDEN USAID CONTRACTS
Trump’s USAID overhaul remains one of his administration’s most sweeping bureaucratic reforms. For now, the judge’s ruling clears the path for further dismantling of the agency’s operations unless higher courts intervene.
The Washington Examiner contacted attorneys for the plaintiff groups but did not immediately receive a response.