The Trump tariffs tested presidential power when the president used the International Emergency Economic Powers Act (IEEPA) to tax imports without Congress. Retail consumer claims tested the next limit by asking whether shoppers can recover those surcharges from stores after courts voided the tariffs. The Supreme Court said tariff-setting belongs to Congress. That leaves importers with a refund path and shoppers with a harder consumer-law fight.
Table of Contents
- What the Supreme Court rejected
- Why refunds flow to importers first
- Can shoppers recover surcharges from stores?
- What tariff power the president kept
What the Supreme Court rejected
Bracewell LLP reports that on Feb. 20, 2026, the Court ruled 6-3 in Learning Resources v. Trump that IEEPA does not authorize tariffs the Bracewell summary. The decision rejected broad emergency-tariff power claimed by the president. The voided duties included April 2, 2025 Liberation Day reciprocal duties of at least 10% worldwide, plus 25% on most Canadian and Mexican goods and 10% on Chinese goods tied to drugs and deficits.
Sidley Austin explains that regulate importation cannot carry tariff power. Lower courts previewed that result. The Court of International Trade unanimously voided the tariffs on May 28, 2025, followed by affirmance on Aug. 29, 2025 and argument on Nov. 5, 2025.
Why refunds flow to importers first
About $166 billion in IEEPA duties became refundable, with CBP paying over $100 billion through its CAPE portal to importers of record in phased relief, according to Supply Chain Dive the Supply Chain Dive report. Only the importer of record paid CBP directly. In Oct. 2026 the Court of International Trade certified a class of all importers that paid the illegal levies.
The class device aims to ensure payment beyond one-by-one suits. That structure creates a mismatch for households. Shoppers paid higher shelf prices but did not pay CBP. Importers hold the federal refund claim even when they passed costs down.
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Can shoppers recover surcharges from stores?
Consumers filed class actions against retailers and brands, including cases involving Nintendo products, seeking return of passed-through surcharges. The theories rely on unjust enrichment and state consumer-protection law.
The key limit is privity with CBP. The Braumiller Law Group explains that only the importer of record can obtain the federal refund, leaving downstream buyers with uncertain success the Braumiller analysis. Shoppers considering a claim should separate two tracks:.
- Keep receipts and product records showing a tariff surcharge or price increase.
- Identify the seller, brand, and any stated surcharge policy.
- Watch whether the seller was also the importer of record or must seek its own supplier relief.
What tariff power the president kept
Defeat did not end all tariffs. Hours after the ruling, the president imposed a 10% Section 122 bridge tariff effective Feb. 24, 2026. Section 232 and Section 301 duties stayed intact.
Those laws give separate authority for national-security and unfair-trade actions. The practical effect is two systems at once. IEEPA refunds move backward while new non-IEEPA duties apply forward. Buyers should check which authority covers the product before assuming a refund.
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