The U.S. Supreme Court on Wednesday declined to overturn a lower court ruling that unfroze federal spending contracts at the U.S. Agency for International Development (USAID), sparking backlash from conservatives.
In a 5-4 decision, the Court rejected President Trump’s request to keep billions of dollars frozen while the Department of Government Efficiency (DOGE) audits USAID contractor payments for waste.
Despite the ruling, Trump administration officials maintained that legitimate contractors would be paid once the audit is completed. Four conservative justices dissented, with Justice Alito calling the decision “a most unfortunate misstep.”
The majority stated that a lower court must clarify obligations for compliance with the temporary restraining order. Legal analysts noted that the ruling only clears the way for future decisions on payment timelines.
