A group of five small businesses sued President Donald Trump on Monday, who sought to block the new rates he has imposed on foreign imports in recent weeks.
The demand in the United States International Trade Court alleges that Trump has illegally usurped the power of Congress to impose tariffs by stating that commercial deficits with other countries constitute an emergency.
“Congress has not delegated such power,” says demand. “The Statute the President
Invokes, the International Law of Emergency Economic Powers (‘IEEPA’), does not authorize the president to issue world tariffs unilaterally worldwide. “
The Liberty Justice Center, which represents the companies operated by owners, said that the so -called Trump day liberation tariffs of at least 10% in imports from most countries, and the highest rates for scores from other nations, are small devastating companies throughout the country. “
“His affirmed emergency is a product of his own imagination: commercial deficits, which have persisted for decades without causing economic damage, are not an emergency,” says demand.
“Nor are these commercial deficits an ‘unusual and extraordinary threat.”
The Liberty Justice Center said the Trump administration imposed tariffs even in countries with which the United States does not have a commercial deficit, “further undermining the justification of the administration.”
“This court must declare the unprecedented power of the illegal president, order the operation of the executive actions that seek to impose these rates under the IEEPA and reaffirm the central founding principle of this country: there will be no taxes without representation,” says the demand.
The plaintiffs include selections of Vos based in New York, which import and distribute wines, spirits and sakes of small production; Fishusa in Pennsylvania, a retail and wholesale electronic commerce business that manufacture and sell sports fishing and related equipment; and Genova Pipe in Utah, which manufactures plastic pipe, ducts and accessories for plumbing, irrigation, drainage and electrical applications.
The other plaintiffs are Microkits LLC in Virginia, which manufactures educational electronic kits and musical instruments, and Terry Precision Cycling, a brand of female cycling clothing based in Vermont.
“Terry Cycling has already paid $ 25,000 in rates not planned this year for the goods for which Terry was the registration importer, and Terry projects that the tariffs will cost the company approximately $ 250,000 at the end of 2025,” says the demand.
Terry Cycling in 2026 expects “to face an estimated $ 1.2 million in tariff costs, an amount that is simply not surviving for a business of its size,” says the demand.
CNBC has requested comments from the White House about demand.
