Trade Court Orders Refund Process for Invalidated Tariffs

March 5, 2026 -- A federal trade court has ordered the U.S. government to begin refunding more than $130 billion in tariffs that were previously invalidated by the Supreme Court.

Judge Richard Eaton of the U.S. Court of International Trade issued the order Wednesday following a hearing tied to a filtration company’s lawsuit seeking reimbursement of duties paid under the invalidated global tariff program.

The ruling directs the administration to begin the process of refunding importers and requires an update at a scheduled hearing Friday.

More than 2,000 lawsuits have already been filed by companies seeking reimbursement, including major importers such as Costco, FedEx, and Pandora Jewelry.

If implemented broadly, the order could lead to refunds for all importers who paid the tariffs, potentially creating one of the largest duty reimbursements in U.S. trade history.

Key Quote

“This is the order I hoped for, but never expected to see.”
— Larry Friedman, Partner, Barnes, Richardson & Colburn

Judge Eaton also dismissed concerns that processing refunds would require manual review of millions of import entries.

“We live in the age of computers. It must be possible for Customs Service to program its computers so it doesn’t need a manual review.”

What This Means for Importers

• The government has been ordered to begin developing a refund process

• Thousands of companies are actively seeking reimbursement

• Potential duty refunds could exceed $130 billion

• Implementation details will depend on future court proceedings and Customs guidance