Supreme Court Punts Tariff Refund Decision on Obscure Trade Court

International Trade attorney Patrick Childress was cited in an Axios article outlining the possibilities for obtaining refunds for the Trump Administration's tariffs implemented under the International Emergency Economic Powers Act (IEEPA) and found unlawful by the U.S. Supreme Court. The court's February 20, 2026, ruling made clear the president did not have the authority under IEEPA to impose tariffs, meaning any money collected by the government was done so illegally. However, the court did not state whether the administration has to refund the fees importers paid under the measures, leaving the decision up to the U.S. Court of International Trade. Mr. Childress, who previously served as assistant general counsel at the Office of the U.S. Trade Representative (USTR), pinpointed three ways the government could handle refunds: 1) proactively refunding all IEEPA-related tariffs, 2) requiring companies to use existing Customs and Border Protection processes to access refunds, or 3) a legal battle – the chosen option. In the meantime, companies will need to work with the Court of International Trade to obtain a refund, a process that could take more than a year.

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