UPDATED: What Importers Must Know About the IEEPA Tariff Litigation and Liquidation Deadlines

Introduction

The legal challenge to tariffs imposed under the International Emergency Economic Powers Act (IEEEPA) has reached a decisive stage. Following earlier rulings from the Court of International Trade (CIT) and Federal Circuit that declared the IEEPA tariffs unlawful, the U.S. Supreme Court heard oral arguments on November 5, 2025.

While many analysts expect a ruling favorable to importers, the refund process is not guaranteed, especially for entries that have already liquidated. Acting before liquidation may be essential to protecting your rights.

This updated blog clarifies the litigation status, the real liquidation timelines based on CBP procedure, and what importers should do now.

1. Status of the IEEPA Litigation

Lower Courts

• The CIT and Federal Circuit both found the prior administration’s IEEPA-based tariffs exceeded presidential authority.
• These rulings held that IEEPA was not intended to authorize broad punitive tariffs unrelated to specific national emergencies.

Supreme Court (Arguments Heard November 5, 2025)

• Justices from different ideological backgrounds expressed skepticism about whether IEEPA authorizes broad, long-term trade tariffs.
• A decision is expected in the coming months, but no ruling has been issued yet.

Until the Supreme Court decides, tariffs remain in effect.

Types of Drawback Claims

1. Direct Identification Drawback (19 U.S.C. 1313(a))

Applies when the exact imported merchandise is exported or destroyed.

Requires proof that the same goods imported are the ones exported, often via:

• Lot numbers
• Serial numbers
• Inventory tracking systems
• Import/export documentation

2. Understanding Liquidation: The Most Critical Risk for Refunds

Even if the Supreme Court declares the tariffs unlawful, CBP may be legally unable to issue refunds on entries that have already liquidated.

Why liquidation matters

• Liquidation is the final assessment of duties.
• After liquidation, CBP often has no legal authority to return duties unless specifically ordered by a court.
• Past cases show that a protest does not guarantee refund authority.

3. Verified Liquidation Timelines

After reviewing CBP rules and current expert analysis, here is the accurate liquidation timing:

Liquidation occurs approximately 314 days after entry, unless extended or suspended.

This means:

✔️ If the entry was made in early 2025:

• China-origin goods may liquidate as early as December 15, 2025
• Most other countries may liquidate as early as February 10, 2026

These dates are approximate and depend strictly on each entry date, not a fixed calendar year.

✔️ Why dates vary

• CBP may extend or suspend liquidation.
• Large importers may have long liquidation cycles.
• Different ports exhibit different processing speeds.

✔️ What matters for your company

Your liquidation date = Your entry date + ~314 days

You may have both 2025 and 2026 liquidations depending on when your goods entered the U.S.

• This is why law firms like GDLSK recommend filing before liquidation to keep entries legally alive.

4. Why Importers Are Filing CIT Cases Now

To protect refund rights, many importers are individually filing in the Court of International Trade to request:

• Suspension of liquidation for all affected entries
• Preservation of rights pending the Supreme Court’s decision

This is not a class action.

Each Importer of Record must file their own case.

Well-known companies already filing

Major corporations, including Costco, have filed CIT actions to preserve refund eligibility.

Required to proceed:

1. Signed retainer agreement with your attorney
2. Completed intake form
3. Entry list (if requested)

5. What This Means for You

Even if the Supreme Court rules the tariffs unlawful:

❗ Refunds are NOT guaranteed

CBP may refuse refunds on liquidated entries, citing lack of statutory authority.

✔️ The safest path

File to suspend liquidation before your liquidation deadline.

This keeps your entries open, preserving the possibility of a refund if the Court allows it.

✔️ Stile Associates’ role

We:

• Do not receive compensation from any law firm
• Are here to guide, support, and ensure you understand your options
• Cannot guarantee any refund outcome

This situation remains fluid and entirely dependent on the Supreme Court and CBP.ment (ACE).

Frequently Asked Questions (FAQ)

1. Will I automatically receive a refund if the tariffs are struck down?

No. Refunds may only apply to importers who preserved claims through suspended liquidation or timely litigation.

2. Can I file a protest after liquidation?

Yes, but CBP may legally be unable to refund duties even with a valid protest.

3. Why does CBP lose refund authority after liquidation?

Because liquidation finalizes duty assessment. Without explicit court instruction, CBP cannot modify liquidated entries.

4. Does filing a CIT action guarantee a refund?

No. It only preserves eligibility.

5. When is liquidation for my company?

Check your entry date + 314 days. Each importer has different timelines.

References (Verified Online Sources)

1. Reuters – Supreme Court weighs legality of tariffs
   https://www.reuters.com/world/us/supreme-court-weighs-legality-tariffs-major-test-trumps-power-2025-11-05/
2. Miller & Chevalier – IEEPA Litigation Guidance
   https://www.millerchevalier.com/publication/trade-compliance-flash-ieepa-tariff-litigation-refunds-what-should-importers-be-doing
3. Morgan Lewis – Contesting IEEPA Tariffs
   https://www.morganlewis.com/pubs/2025/12/to-file-or-not-to-file-contesting-ieepa-tariffs-in-court
4. Holland & Knight – CIT Lawsuits to Preserve Rights
   https://www.hklaw.com/en/insights/publications/2025/12/wave-of-new-cit-lawsuits-filed-to-preserve-rights-to-ieepa
5. GDLSK – Protecting Rights to Potential Refunds
   https://www.gdlsk.com/protecting-rights-to-potential-ieepa-tariff-refunds/
6. Troutman Pepper – IEEPA Tariffs May Fall, Refunds May Not
   https://www.troutman.com/insights/ieepa-tariffs-may-fall-but-refunds-may-not-why-a-new-cit-case-matters-for-every-importer/
7. Cornell Law – CBP Liquidation Regulations
   https://www.law.cornell.edu/cfr/text/19/159.11

Final Call to Action:

Ready to take control of your shipping costs?

Let’s talk. Contact Stile Associates for a free consultation and let our experts audit your current process, to help you streamline your operations, stay compliant, and save money.

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Since 1968, we’ve been delivering peace of mind and performance. Let’s take your logistics to the next level together.

Visit us at www.stileintl.com
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