While the company won an early victory in a lower court, the order is on hold as an appeals court considers a similar ruling putting a broader block on Trump's tariffs. The appeals court has allowed Trump to continue collecting tariffs under the emergency powers law ahead of arguments set for late July.
The company argued in court documents the case can’t wait that long, “in light of the tariffs’ massive impact on virtually every business and consumer across the Nation, and the unremitting whiplash caused by the unfettered tariffing power the President claims.”
The Supreme Court is typically reluctant to take up cases before appeals courts have decided them, lowering the odds that the justices will agree to hear it as quickly as the company is asking.
Still, Learning Resources CEO Rick Woldenberg said tariffs and uncertainty are taking a major toll now. He’s looking ahead to the back-to-school and holiday seasons, when the company usually makes most of its sales for the year.
“All the people that are raising their prices are doing it with a sense of dread,” Woldenberg told The Associated Press. But, “we do not have a choice. We absolutely do not have a choice.”
Attorneys for Learning Resources and sister company hand2mind, suggested the court could consider whether to take up the case before the end of the term in June and hear arguments when their next term begins in the fall, a relatively quick timetable.
The Trump administration has defended the tariffs by arguing that the emergency powers law gives the president the authority to regulate imports during national emergencies and that the country’s longtime trade deficit qualifies as a national emergency.
Trump has framed tariffs as a tool to lure factories back to America, raise money for the Treasury Department and strike more favorable trade agreements with other countries.
“The Trump administration is legally using the powers granted to the executive branch by the Constitution and Congress to address our country’s national emergencies of persistent goods trade deficits and drug trafficking. If the Supreme Court decides to hear this unfounded legal challenge, we look forward to ultimately prevailing," said White House spokesperson Kush Desai.
Woldenberg said he’s putting “enormous resources” into shifting his company’s supply base but the process is time-consuming and uncertain.
“I think that our case raises uniquely important questions that this administration won’t accept unless the Supreme Court rules on them,” he said.
Based in Vernon Hills, Illinois, the family-owned company’s products include the Pretend & Play Calculator Cash Register for $43.99 and Botley the Coding Robot for $57.99.
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Associated Press writer Mark Sherman contributed to this report.
Credit: AP
Credit: AP