Judge Rules Trump Administration Must Stop Terminating USDA Grants
July 23, 2026 | Source: Civil Eats | by Lisa Held
July 22, 2026 – In a decision that has broad implications for farmers, agricultural research, and the food system, a federal judge ruled last week that federal agencies can no longer terminate grant contracts based on the determination that the grant “no longer effectuates the program goals or agency priorities.”
The case was brought by 23 states and the District of Columbia. In the decision, a judge in the U.S. District Court of Massachusetts determined that the sections of the law being used to justify cancellations “do not allow terminations of awards based on new program goals or agency priorities that an agency identifies after granting the award.”
In other words, the terms of the contract that existed at the time of its signing are the only ones that can be used to justify a cancellation.
While all administrations reshape government spending based on their priorities, President Donald Trump is the first to oversee sweeping cancellations of already-signed legal contracts.