A federal judge has ruled in favor of lifting the funding freeze imposed by President Donald Trump’s administration on U.S. humanitarian aid and development work globally. The judge highlighted the severe financial impact caused by the abrupt halt in payments to suppliers and nonprofits involved in U.S. aid efforts overseas. This ruling marks the first legal challenge against the administration’s funding freeze amidst a wave of lawsuits contesting its rapid restructuring of the U.S. Agency for International Development (USAID) and foreign assistance programs.
The judge criticized the administration for failing to provide a rational justification for suspending all congressionally approved foreign aid, leading to widespread disruptions in aid contracts and financial distress for contractors and suppliers. The freeze has left many organizations struggling to cover costs, resulting in undelivered aid and potential theft risks. The judge has ordered the administration to inform all affected organizations of the temporary stay and demonstrate compliance within a tight deadline.
Despite the ruling, the Trump administration has not publicly responded, and the judge also prohibited Secretary of State Marco Rubio and other officials from enforcing stop-work orders issued to aid partners. Additionally, the administration’s argument of mitigating the freeze’s impact through waivers was debunked, as no waiver system was in place. In a related lawsuit, another judge extended a block on a separate administration order affecting USAID staffing worldwide due to concerns about the safety of aid workers during the agency’s restructuring efforts.