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Appeals Court Blocks Trump's $3 Trillion Funding Freeze

3/17/2026

Summary

Story summary

In January 2025, the 1st U.S. Circuit Court of Appeals upheld blocking the freeze on government financial assistance initiated by U.S. President Donald Trump.
The court sided with 22 states, ruling the White House budget office improperly directed a categorical funding freeze affecting up to $3 trillion.
The injunction remains after the court overturned the payments requirement to the suing states, citing a Supreme Court ruling on contract recovery.

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Story summary

In January 2025, the 1st U.S. Circuit Court of Appeals upheld blocking the freeze on government financial assistance initiated by U.S. President Donald Trump.
The court sided with 22 states, ruling the White House budget office improperly directed a categorical funding freeze affecting up to $3 trillion.
The injunction remains after the court overturned the payments requirement to the suing states, citing a Supreme Court ruling on contract recovery.