Lisa Cook Sues President Trump, Seeks Court Order Blocking Removal

Federal Reserve Governor Lisa D. Cook filed suit on Thursday in the U.S. District Court for the District of Columbia, challenging President Donald Trump’s Aug. 25 attempt to fire her via a public letter posted on social media, according to the complaint. Cook, suing in both her official and personal capacities, names as defendants President Trump (in his official capacity), the Board of Governors of the Federal Reserve System, and Chair Jerome H. Powell (in his official capacity). The filing argues the Federal Reserve Act allows removal of a governor only “for cause,” says she received no notice or hearing, and notes the cited mortgage-related allegations predate her Senate confirmation. Her term runs through Jan. 31, 2038, the lawsuit states.

The complaint brings six claims: violation of the Federal Reserve Act’s for-cause protection; violation of the Act’s statutory right to notice and a hearing; violation of the Fifth Amendment’s procedural due-process guarantee; declaratory judgment; writ of mandamus; and equitable relief. Cook asks the court to declare the Aug. 25 “firing” unlawful, affirm that Fed governors can only be removed for “inefficiency, neglect of duty, malfeasance in office, or comparable misconduct,” and order the non-presidential defendants not to treat her as removed while the case proceeds. The suit also references President Trump’s Aug. 20 demand that she resign and states the removal letter relied on a referral publicized by FHFA Director William Pulte, according to the filing.

What’s next: A judge will review the complaint and any forthcoming requests for temporary or preliminary relief. A formal response from the defendants has not yet appeared on the docket.