Appeals court blocks Trump’s mass freeze on Biden-era grants

By Alex Guillén | 08/10/2026 01:33 PM EDT

But the court said agencies can’t be forced to pay out grants, part of a broader fight over whether grant terminations are contractual breaches.

Law books with gavel.

The Trump administration froze thousands of grants last year as part of a broad action to reconsider funding from the Biden-era Inflation Reduction Act and the Infrastructure Investment and Jobs Act. iStock

A federal appeals court on Friday ruled that EPA and other agencies cannot issue mass freezes on previously issued grant programs worth tens of billions of dollars.

But the 1st U.S. Circuit Court of Appeals said that while the agencies could be ordered not to issue broad freezes against the grants, they could not be ordered to pay out the funds, and the agencies have already terminated a number of the grants anyway.

Despite that, the grantees celebrated the ruling.

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“Thanks to the courage of our plaintiffs in this case, crucial funding will continue to allow communities throughout the nation to move forward with important projects that expand green spaces, reduce pollution, cut energy costs, and build climate-ready infrastructure across the country,” Skye Perryman, president and CEO of Democracy Forward, which represented the grantees, said in a statement.