NEWS

President Trump’s DEI-Related Executive Orders Aimed at Government Agencies, Federal Contractors and Private Employers May Be Enforced After Appeals Court Temporarily Lifts Nationwide Injunction

March 20, 2025 – On March 14, 2025, the Fourth Circuit lifted a nationwide preliminary injunction in a Maryland federal lawsuit that halted key portions of two DEI-related executive orders (EOs) issued by President Trump—Exec. Order 14151, Ending Radical and Wasteful Government DEI Programs and Preferencing, Executive Order of January 20, 2025, 90 Fed. Reg. 8339 (Jan. 29, 2024) (“J20 Order”) and Exec. Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity, Executive Order of January 21, 2025, 90 Fed. Reg. 8633 (Jan. 31, 2025) (“J21 Order”).

A three-judge panel of the Fourth Circuit unanimously granted the government’s request to stay the preliminary injunction pending appeal, finding that the government demonstrated a strong likelihood of success on the merits. The judges agreed that, as written, the EOs do not violate the Constitution.

Effects of the Fourth Circuit’s Stay

The Fourth Circuit’s stay reinstates the executive branch’s ability to enforce the Trump Administration’s efforts to roll back DEI programs within federal agencies, federal contractors, and private sector entities targeted for investigation:

  1. J20 Order’s Termination Provision: This provision requires federal agencies to terminate “equity-related” grants or contracts within 60 days of January 29, 2025.
  2. J21 Order’s Certification Provision: This provision requires federal contractors and grantees to certify compliance with federal anti-discrimination laws and affirm they do not operate any DEI programs that violate those laws, under the threat of False Claims Act (FCA) liability within 90 days of January 31, 2025.
  3. J21 Order’s Enforcement Threat Provision: This provision instructs the Attorney General to develop a strategic enforcement plan to deter DEI programs or principles characterized as “illegal discrimination” or “preferences,” including those in private sector organizations, by initiating investigations into large corporations, non-profits, and universities within 120 days of January 31, 2025.

 

The Fourth Circuit has also ordered an expedited briefing for the full appeal of the injunction, with the government’s opening brief due by April 8, 2025, and the plaintiffs’ response brief due by May 8, 2025.

For more information on the preliminary injunction, please see the Kullman Firm’s previous post “U.S. District Court Granted a Preliminary Injunction Halting Key Provisions of President Trump’s DEI-Related Executive Orders.”

Kullman