CIT Chooses New Lead Case For IEEPA Refund Litigation After Dismissing Atmus Filtration

On April 8, the Court of International Trade (“CIT”) granted plaintiff’s April 7 motion to dismiss in Atmus Filtration v. CBP. Atmus Filtration had been the lead case through which the CIT was overseeing the development and implementation of the administrative process for International Emergency Economic Powers Act (“IEEPA”) refunds following the Supreme Court’s decision in Learning Resources v. Trump. 
 
Before granting dismissal in Atmus Filtration, the CIT selected a new lead case for IEEPA refund suits: Euro-Notions Florida, Inc. v. CBP et al., No. 25-00595. On April 7, the CIT sua sponte lifted the stay in that case and issued an order similar to its March 4 order in Atmus Filtration (see here). Like the March 4 order, the CIT stated that all importers who paid IEEPA tariffs are due a refund and held that it can provide relief to all importers through a single case. The CIT’s new order covers (1) unliquidated entries, (2) entries “for which liquidation is not final,” and, unlike the March 4 order, (3) entries “for which liquidation is final.” This third category was omitted from the March 4 order in Atmus Filtration, but the CIT filled in the gap through a subsequent order (see here). Like the court’s orders in Atmus Filtration, the CIT suspended its new order to the extent it requires immediate compliance.
 
On April 8, the CIT issued another order in Euro-Notions, directing U.S. Customs and Border Protection (“CBP”) to file another declaration indicating its progress on developing CBP’s administrative refund process known as the Consolidated Administration and Processing of Entries (“CAPE”). The CIT ordered CBP to file the declaration by noon on April 14 and scheduled a closed conference limited to the parties at 3:00 pm the same day. This is the same deadline the CIT set in Atmus Filtration following CBP’s March 31 declaration (see here).
 
In short, although the CIT has designated a new lead case, at this time it does not appear that the substance of the effective orders and relevant timeline for implementing CAPE have changed. That said, like the CIT’s March 4 order in Atmus Filtration, its new order in Euro-Notions is legally questionable in scope and substance. The new order in Euro-Notions also restarts the clock on the Government’s deadline to appeal, which is now June 8. Thus, as before, the most assured way for importers to protect their rights is to file suit at the CIT. We will keep you updated on any further developments.