UPDATE: On March 14, 2025, the U.S. Court of Appeals for the Fourth Circuit granted the government’s motion to stay the preliminary injunction issued by U.S. District Judge Adam B. Abelson which blocked enforcement of key provisions in President Trump’s anti-DEI executive orders. Accordingly, the government may once again enforce EO 14151, Ending Radical and Wasteful Government DEI Programs and Preferences, and EO 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity. For additional information on the Fourth Circuit’s ruling, see HERE.
On Friday, February 21, 2025, Judge Adam B. Abelson of the U.S. District Court for the District of Maryland issued a preliminary injunction inNational Association of Diversity Officers in Higher Education, et al. v. Trump, blocking enforcement of three key provisions in two Executive Orders issued to eliminate certain diversity, equity, and inclusion (DEI) programs and initiatives (see HERE). The Court’s order enjoins enforcement of the following provisions as likely unconstitutional:
- Termination Provision: Mandates federal agencies to terminate all “equity-related grants or contracts.”
- Certification Provision: Requires federal contractors and subcontractors to certify that they (1) are in compliance with all applicable federal anti-discrimination laws for False Claims Act purposes, and (2) do not operate any programs “promoting DEI” that violate any applicable federal anti-discrimination laws.
- Enforcement Threat Provision (partially enjoined): Directs all federal agencies, with the assistance of the Attorney General, to take “appropriate measures” to end “illegal discrimination and preferences, including DEI” in the private sector by (i) developing a plan to “deter” such “programs or principles” and (ii) each identifying up to nine potential targets for civil compliance investigations.
For the time being, the preliminary injunction provides the following temporary measures:
- Prohibits pausing, freezing, blocking, cancelling, or terminating any contracts or obligations based on the Termination Provision.
- Prohibits requiring any federal contractor or subcontractor to certify that they do not promote illegal DEI initiatives.
- Prohibits the U.S. Department of Justice from bringing any False Claims Act enforcement or other enforcement actions (including civil compliance investigations) pursuant to the Enforcement Threat Provision. While the injunction blocks enforcement actions against private sector organizations, it permits the Attorney General to continue to identify a “plan of specific steps or measures to deter DEI programs or principles . . . that constitute illegal discrimination or preferences.”
For more information on the Court’s decision and how you can create an effective DEI plan, register HERE for our complimentary webinar “Setting Your Organization’s DEI Strategy for 2025” taking place on February 27 at 1:00 PM (EST), where we will be discussing the latest trends, strategies, and legal considerations in creating effective DEI initiatives.
If you have any questions related to the Court’s decision or the impact of the preliminary injunction, please reach out to the NFC Attorney with whom you typically work or call us at 973.665.9100 or 619.292.0515.
