In brief
The Liberty Justice Center has filed a lawsuit against the Trump administration, arguing that the 50% tariff imposed on Canadian goods violates U.S. trade law and oversteps presidential power. The suit, on behalf of Gellert Global Group, seeks refunds and interest for affected importers. The case questions the use of Section 338 of the Tariff Act and the lack of a required 30‑day notice before tariffs were collected. Canada has retaliated with matching duties, and the lawsuit requests a preliminary injunction to halt further collections. The White House has not yet responded to the new filing.
US President Donald Trump faces a new legal blow as the Liberty Justice Center files a lawsuit challenging the administration's 50% tariff on Canadian goods.
The White House imposed the duty after trade talks with Canada collapsed in August, affecting roughly $20 billion in imports.
The suit, brought on behalf of New Jersey family business Gellert Global Group, accuses the White House of overstepping its authority under Section 338 of the Tariff Act of 1930 and seeks refunds with interest for affected importers.
Gellert Global, which imports cheese from Canada, says the tariffs have disrupted long‑standing supply chains “overnight” and will ripple across the industry.
The Liberty Justice Center argues that Section 338 was designed to protect U.S. business from discriminatory practices, not to empower the executive to impose sweeping tariffs when disputes arise.
The organization also notes that the tariff on products such as cheese was added to the list just a week before collection, violating the 30‑day waiting period required by the act.
Canadian Prime Minister Canada Carney has mirrored the U.S. duties “dollar for dollar”, matching the levies with its own countermeasures.
“No president should be able to pull a dormant statute off the shelf and impose sweeping tariffs without the limits Congress imposed,” said Sara Albrecht, chief executive of the Liberty Justice Center.
This is the fourth case the group has brought against Trump’s tariff policy, following a successful challenge that struck down illegal duties under the International Emergency Economic Powers Act in February.
The lawsuit also seeks a preliminary injunction to block the collection of the duties while the case proceeds.
White House officials have yet to comment on the new filing.
