SCOTUS to hear arguments over firing of Fed’s Cook in January

The U.S. Supreme Court will hear arguments in the lawsuit filed by Federal Reserve Board Governor Lisa Cook challenging her dismissal in January and will allow Cook to remain in her position in the meantime. President Donald Trump announced in August that he was removing Cook from her position due to allegations of mortgage fraud.

The lawsuit could have implications for the dismissal of NCUA Board members Todd Harper and Tanya Otsuka, who have filed a lawsuit claiming the president lacks the ability to remove them. The two agencies are governed by different statutes (Federal Reserve Act vs. the Federal Credit Union Act), with different language around removal of board members.

The D.C. Circuit Court of Appeals announced this week it is suspending previously scheduled oral arguments in that challenge pending the U.S. Supreme Court review of Trump v. Slaughter, a separate legal challenge filed by former Federal Trade Commission Commissioner Rebecca Slaughter, who was removed by Trump in March.

Trump v. Slaughter raises questions about whether a federal court may prevent a person’s removal from office. The U.S. Supreme Court plans to hear oral arguments in Slaughter during the December argument session, with a decision likely by June 2026.