Consumer Watchdog says no legal support for president’s tariff power

Spread the love

A nonprofit group told the nation’s highest court that even if a 1977 law that doesn’t mention tariffs gives the president unbounded tariff authority, Congress doesn’t have the authority to delegate that kind of “immense power.”

Trump has focused his economic agenda on tariffs. A group of small businesses, some Democrat-led states, and two education businesses have challenged the president’s tariff authority under the International Emergency Economic Powers Act of 1977.

In his second term, Trump used the 1977 law to reorder global trade through tariffs to give U.S. businesses an advantage in the world market. Using tariffs under the International Emergency Economic Powers Act, Trump put import duties of at least 10% on every nation that does business with the U.S. Some nations, including many U.S. allies, face much higher tariff rates.

The U.S. Supreme Court agreed to take up the challenge to Trump’s tariff authority in September, setting a schedule for an expedited review.

Consumer Watchdog, a nonprofit dedicated to protecting consumers, noted in its friend-of-the-court brief that the Supreme Court hasn’t struck down a statute on delegation grounds since 1935.

However, attorneys for the group argued: “But it also has never encountered a law like IEEPA as applied to the imposition of tariffs.”

“As a result of the twenty-three separate Executive Orders … these tariffs have come on and come off, and rates fluctuated up or down, with ever changing rationales and exceptions, with no ties to any limits or conditions in IEEPA – and everything determined by the unfettered choices of the President,” attorneys for the group wrote. “That is not law in our constitutional system.”

The attorneys pointed to two other reports that show the “immense power” Trump claims under the 1977 law. One report from U.S. Customs and Border Protection shows the U.S. has already collected nearly $90 billion in tariffs through September. The other report is from the Congressional Budget Office, which estimated tariffs could bring in $4 trillion over the next decade. That CBO report came with caveats and noted that tariffs will raise consumer prices and reduce the purchasing power of U.S. families.

“The constitutional flaw in nondelegation cases depends on what Congress did, or more precisely, did not do,” Consumer Watchdog attorneys wrote. “Here, it failed to provide guardrails to limit the ability of the President to impose whatever tariffs he pleases.”

Attorneys for Consumer Watchdog also noted “tariffs of the magnitude at issue here inevitably raise consumer prices and threaten the economic security of working families and small businesses.”

In August, the U.S. Court of Appeals for the Federal Circuit affirmed a previous lower court ruling saying Trump did not have the authority, but said Trump’s tariffs could remain in place while the administration appeals to the U.S. Supreme Court. In the 7-4 decision, the majority of the Federal Circuit said that tariff authority rests with Congress. It used that same language: “We discern no clear congressional authorization by IEEPA for tariffs of the magnitude of the Reciprocal Tariffs and Trafficking Tariffs. Reading the phrase ‘regulate … importation’ to include imposing these tariffs is ‘a wafer-thin reed on which to rest such sweeping power.'”

A Supreme Court victory for Trump would cement the federal government’s newest revenue source – the highest import duties in nearly a century – in place, at least for now.

Trump has said a loss would be catastrophic for the U.S. economy.

Economists, businesses and some publicly traded companies have warned that tariffs could raise prices on a wide range of consumer products throughout the U.S.

Trump has said he wants to use tariffs to restore manufacturing jobs lost to lower-wage countries in decades past, shift the tax burden away from U.S. families, and pay down the national debt.

A tariff is a tax on imported goods that the importer pays, not the producer. The importer pays the cost of the duties directly to U.S. Customs and Border Protection, a federal agency.

Oral arguments before the Supreme Court are set for Nov. 5.

Leave a Comment





Latest News Stories

Screenshot 2025-07-09 at 10.53.38 AM

Council Increases Popcorn Festival Funding to $25,000 After Heated Budget Debate

Casey City Council approved a $25,000 donation to the annual Popcorn Festival Monday night after a lengthy and sometimes tense discussion about the city's financial priorities and the festival's growing...
Screenshot 2025-07-09 at 10.53.13 AM

Casey Moves Forward with Hotel Feasibility Study and TIF District Analysis

Casey City Council approved two economic development initiatives Monday night aimed at increasing tourism revenue and expanding development opportunities in the community. Council members unanimously approved a hotel feasibility study...
Meeting Briefs

Casey City Council July 7 Meeting Briefs

Police Vehicle Purchase: Casey City Council approved the purchase of a 2025 Chevrolet Tahoe squad car for $54,864 from Mike Chevrolet. The vehicle was budgeted in last year's appropriations but...
Donna-Wilson

Donna K. Wilson

Donna K. Wilson, age 82, of Martinsville, IL, passed away peacefully at 7:40 a.m. on Thursday, July 3, 2025, at Casey Health Care Center, Casey, IL. She was born on...
cooling

Cooling Centers Available

When temperatures exceed 90°F, individuals beyond the senior demographic face potential risks if their cooling mechanisms malfunction. The Township, Senior Center, and Emergency Management Agency (E.M.A.) offer a cooling center...
no carts

No Carts in Fairview Park Walking Paths

The Casey Police Department wants to remind residents that no golf carts, ATVs, or motorized vehicles of any kind are allowed on the walking and biking path in Fairview Park,...
Rocking Chair.2

Beauty around the Rocking Chair

The Rocking Chair was looking beautiful for visitors this Fourth of July weekend.
The Marketing Team of Downstate Illinois was present at Tuesday’s Rotary Club weekly meeting at Richards Farm. They were the guests of new member Tom Daughhetee, Economic Development Director for the City of Casey. Pictured (l to right) are Christine Orr, Sales & Marketing Director; Abbie Hernandez, Sales & Marketing Specialist; Jordan Jackovich, Communications Manager; and Daughhetee. Photo by Sharon Durham

Rotary Hosts Discover Downstate Illinois Marketing Team

Discover Downstate Illinois Marketing Team takes care of everything from the planning, designing, placing, and even paying some of the bills for members. They can assist with various marketing projects,...
Julie-Redman-1751715715

Julie Beth Redman

Julie Beth (Hughes) Redman, age 60, of Casey, IL, passed away at 11:44 p.m. on Sunday, June 29, 2025, at Sarah Bush Lincoln Health Center, Mattoon, IL. She was born...
Casey County Club

Julie Snyder Named Honorary Chairperson for 75th Casey Open

July at the Casey Country Club means that it is time for the Casey Open. This year, we will be celebrating the 75th year of this competitive event. Julie Snyder...
David-Hawkins-1750879480

David Eugene Hawkins

David Eugene Hawkins, age 33, of Casey, IL, passed away at 1:27 a.m. on Tuesday, June 24, 2025, in Casey, IL. He was born on March 6, 1992, in Terre...
CIA Casey in Action

Registration open now: ‘Pop On In’ to the 2025 CIA 5K Fun Run/Walk

Registration is open for Casey In Action’s annual KZ5K set for 7 a.m. Saturday, Aug. 30 with a larger than life route through downtown Casey featuring Big Things, including most...
Donald-Maxey-1750352075

Donald Lee “Don” Maxey

Donald Lee “Don” Maxey, age 61, of Martinsville, IL, passed away at 1:51 a.m. on Wednesday, June 18, 2025, at his residence. He was born December 1, 1963, in Terre...
Keith-Wattleworth-1750430743

Keith Richard Wattleworth

Keith Richard Wattleworth, a lifelong farmer and resident of Yale, Illinois, passed away peacefully at his home of 56 years on June 18, 2025. He was 90 years old. Keith...
The Casey Rotary Club celebrated its 100th Anniversary on June 17, 2025, during the weekly meeting at Richards Farm. District Governor Mike Martin of Mattoon joined the group to present a certificate to President Marcy Mumford. The actual Charter Anniversary date was January 26, 1925. Present at Tuesday’s luncheon were (front, l to r) Marcy Mumford, Shane Todd, Sharon Durham, Joyce Shore, Megan Peavler, and Brian Hancock; (back) Chris Overbeck, Wendy Navel, Kurt Squires, Jay Markwell, Mike Martin, Gary Shore, and Aaron Stinson. Not present were Christopher Snedeker and John Murphy. —photo by Chuck Ayres.

Casey Rotary Club celebrated its 100th Anniversary

The Casey Rotary Club celebrated its 100th Anniversary on June 17, 2025, during the weekly meeting at Richards Farm. District Governor Mike Martin of Mattoon joined the group to present...