type: timeline_event
The Supreme Court heard oral arguments in Trump v. Cook, the first case in the Federal Reserve's 112-year history where a president attempted to fire a Fed governor. Trump had tried to fire Lisa Cook, the first Black woman on the Fed Board, in August 2025, claiming mortgage fraud—allegations she denied. A district court issued a preliminary injunction preventing the firing.
During two hours of arguments, all nine justices expressed skepticism about Trump's claim of absolute power to fire Fed governors at will. Justice Brett Kavanaugh warned that ruling for Trump would "weaken if not shatter, the independence of the Federal Reserve." Even conservative justices appeared reluctant to overturn decades of precedent protecting central bank independence from political interference.
The case came amid Trump's unprecedented campaign against the Fed, including a criminal investigation of Chair Jerome Powell announced on January 10, 2026. The administration argued that post-Humphrey's Executor jurisprudence gave presidents broad removal authority over all executive officers. Cook's lawyers countered that Congress specifically designed Fed governors' 14-year terms and for-cause removal protections to insulate monetary policy from political pressure.
A ruling for Trump could fundamentally alter the relationship between presidents and independent agencies, potentially allowing future presidents to purge the Fed, SEC, FTC, and other bodies of officials who resist political directives. The Court's decision, expected by June 2026, could determine whether the architecture of American administrative governance survives the Trump era.