Supreme Court denies Trump’s attempt to fire Fed’s Cook

The Supreme Court ruled yesterday that President Donald Trump cannot, for now, remove Federal Reserve Governor Lisa Cook, citing the need to protect the central bank’s independence.

The 5–4 decision found that the administration did not follow the required legal process before attempting to dismiss Cook over allegations of mortgage fraud. Her term runs until 2038.

The decision allows Cook to remain in her position while she challenges her firing, though the court signaled Trump could still remove her if he ultimately establishes “for cause,” as required under the law.

Cook, appointed by former President Joe Biden in 2022, became the first Black woman to serve on the Federal Reserve Board.

Power expands elsewhere
The decision came alongside a separate 6–3 ruling that expanded presidential authority over most independent federal agencies. 

The court allowed the president to dismiss officials at agencies such as the Federal Trade Commission, Securities and Exchange Commission, National Labor Relations Board, and Equal Employment Opportunity Commission, sharply limiting the nearly century-old Humphrey’s Executor precedent that had protected many regulators from removal without cause.

Since returning to office, Trump has already fired or pressured out officials at at least 13 independent agencies, ending Democratic majorities at most of them.

Legal setback for Trump
Despite the broader expansion of presidential power, the Supreme Court handed Trump setbacks in two other cases. The justices rejected his challenge to mail-in ballot rules (details below) and declined to hear his appeal of the $5 million judgment in the E. Jean Carroll case, leaving the verdict intact.

The court closes its term today with major rulings on birthright citizenship, transgender athletes in girls’ and women’s sports, and First Amendment challenges to campaign spending restrictions.