In a 2-1 decision, the US Court of Appeals for the District Court of Columbia on Monday denied US President Donald Trump’s motion to pause a lower court’s preliminary injunction prohibiting him from firing Federal Reserve Governor Lisa Cook.
The two judges in the majority, both Biden appointees, found Cook was likely to succeed on a due process challenge to her removal. The Federal Reserve Act only allows for the removal of a governor “for cause.” Without addressing whether Trump had cause to fire Cook, the majority of the court asserted that this “for cause” requirement vests Cook with a property interest in her position. Before depriving an individual of their property, the Due Process Clause of the Constitution requires the government to provide individuals notice and an opportunit