Appeals court keeps alive challenge to Trump's effort to cancel billions in foreign aid

Source: CNN Politics

PUBLISHED Aug 28, 2025, 11:16 PM ET


A federal appeals court on Thursday declined to review a challenge to the Trump administration’s decision to freeze billions of dollars in foreign aid, but it also allowed the nonprofits who are fighting that effort to continue their case in a lower court.

At issue is billions of dollars in foreign aid, including for global health programs, that was approved by Congress but that President Donald Trump deemed wasteful and has sought to cancel. Several nonprofits who receive those grants sued in a case that has twice reached the Supreme Court.

The decision was partly a win for Trump, because the appeals court declined to review the nonprofits’ claim that the cuts violated separation of powers principles. But it also means that the groups will be able to continue to make their case.

A three-judge panel of the US Court of Appeals for the DC Circuit sided with Trump in the case earlier this month, blocking the groups from suing and empowering the administration to refuse to spend money approved by Congress. But late Thursday, the panel issued an amended decision that gave the groups the ability to continue their challenge – at least on a limited basis. In turn, the full appellate court, which the nonprofits had asked to rehear their case, declined to review the challenge.

Read more: https://www.cnn.com/2025/08/28/politics/foreign-aid-appeals-court-challenge