Supreme Court IEEPA Ruling: What Importers Need to Do NOW

The Court's Message to Importers

The Supreme Court's 6-3 ruling in Learning Resources v. Trump was unequivocal: IEEPA tariffs were unconstitutional from day one. Every dollar you paid under IEEPA — whether on Chinese electronics at 145%, Canadian softwood at 25%, or any other IEEPA-imposed duty — was collected without legal authority.

But the Court did not order automatic refunds. It remanded to the Court of International Trade (CIT) to determine the remedy. That means every importer must assert their claim or risk losing it forever.

Your 5-Step Action Plan

Step 1: Audit Your IEEPA Entries (This Week)

Pull every entry subject to IEEPA duties since April 2018. Focus on:

• • China entries (List 1-4, fentanyl emergency, reciprocal)
• • Canada/Mexico border emergency duties (2024-2025)
• • Russia, India, Brazil IEEPA tariffs
• • Liberation Day reciprocal duties (April 2025)

Don't include Section 232 (steel/aluminum) or pre-IEEPA Section 301 duties — those weren't struck down.

Step 2: Calculate Your Total Exposure

Add up every dollar of IEEPA duties paid. For each entry, multiply:

• • Dutiable value × IEEPA tariff rate = Base claim
• • Add interest (varies by payment date)
• • Include MPF and any associated fees paid

The median importer we've analyzed has $2.3 million in IEEPA exposure. Large importers routinely exceed $50 million. If your number is above $500K, this is material to your business.

Step 3: Determine Your Filing Status

Your refund path depends entirely on what you've already filed:

Step 4: File Missing Protests IMMEDIATELY

For any liquidated entry without a protest on file, you must act within 180 days of liquidation. This is a hard deadline — no exceptions, no extensions.

Protest Template Strategy:

1. 1. Constitutional challenge: IEEPA exceeds presidential authority under Article I
2. 2. Supreme Court precedent: Learning Resources Inc. v. Trump (2026)
3. 3. Specific relief sought: Full refund of duties, interest, and associated costs
4. 4. Expedited processing: Request priority handling given clear legal precedent

Step 5: Model Your Recovery Scenarios

Not all refund claims are created equal. Your expected recovery depends on:

• • Filing status (litigation → protest → nothing filed)
• • Liquidation status (unliquidated = faster)
• • Political settlement risk (Congress could cap refunds)
• • Timing (early filers get priority treatment)
• • Your cost of capital (affects NPV calculation)

The range of outcomes is wide: 60-95% recovery over 6-36 months, depending on these factors. Before you make any decision about holding vs. selling your claim, model the scenarios.

Timeline: What Happens Next

March 2026: CIT Sets the Framework

Following the Federal Circuit's March 2 mandate issuance, CIT Judge Delrahim will hold status conferences to set the refund framework. Key decisions:

• • Scope of relief (which importers, which entries)
• • Timeline for CBP refund processing
• • Interest calculation methodology
• • Enforcement mechanisms for non-compliance

Spring 2026: Administrative Processing Begins

CBP will likely start with unliquidated entries and granted protests. Expect:

• • Monthly refund batches (starting small)
• • Clear communication to importers about status
• • Automated processing for straightforward cases
• • Manual review for complex or disputed entries

Summer 2026 and Beyond

The administration has signaled intent to delay refunds through appeals and procedural challenges. However, with clear Supreme Court precedent and Federal Circuit enforcement, most analysts expect material refunds to begin flowing by summer 2026.

Common Mistakes to Avoid

• 1. Waiting for CBP guidance: CBP has every incentive to delay. File protests now.
• 2. Including non-IEEPA duties: Section 232 and original Section 301 tariffs weren't struck down.
• 3. Missing the protest deadline: 180 days from liquidation — no exceptions.
• 4. Not modeling scenarios: The face value isn't the expected value.
• 5. Selling too early: Litigation finance buyers are offering 40-60¢ on the dollar. Is that your best option?

The Bottom Line

The Supreme Court has given importers a $175 billion gift. But it's not automatically yours — you have to claim it. Every day you wait is a day closer to missing deadlines that can't be extended.

Act this week. Your CFO will thank you later.

This article is for informational purposes only and does not constitute legal, financial, or tax advice. Consult qualified counsel before making decisions about your tariff refund claims.

For details on our calculation approach, see our Methodology.