
A federal judge has thrown a constitutional roadblock in front of Donald Trump's £7.9 billion ($10 billion) lawsuit against the IRS and Treasury Department, demanding that both sides explain how a sitting president can credibly sue agencies he controls.
On 25 April 2026, US District Judge Kathleen Williams issued an order questioning whether the case, Trump v. IRS, No. 1:26-cv-20609, satisfies the constitutional requirement of an adversarial dispute between genuinely opposing parties. She set a 20 May 2026 deadline for written submissions from both Trump's private attorneys and the Department of Justice, with a hearing to follow on 27 May. The order came just days after Trump's lawyers and government attorneys jointly signalled they were in settlement talks, raising the possibility that taxpayers could be left covering a payout to the sitting president.