The Supreme Court on June 29, 2026, officially denied the Trump administration's request to immediately remove Lisa Cook from her post on the Federal Reserve's Board of Governors. This decision allows Cook to remain in office while her lawsuit challenging her attempted removal by President Donald Trump continues. The ruling was 5-4, with Chief Justice John Roberts authoring the opinion, and Justices Kavanaugh and Jackson writing concurring opinions. Justices Thomas, Alito (joined by Gorsuch), and Barrett dissented.
The court's decision in "Trump v. Cook" (25A312) signals that while Cook's employment is secure for now, the broader question of presidential power to remove heads of multi-member independent agencies remains a key consideration. During oral arguments in January, justices, particularly Justice Brett Kavanaugh, expressed concerns about the potential weakening of the Federal Reserve's independence if a president could fire governors without sufficient cause. Kavanaugh highlighted the "real-world effect" this could have, suggesting that allowing Trump to remove Cook could set a precedent for future presidents to remove opposing party appointees from the Fed.
Despite this outcome for Cook, the Supreme Court has previously allowed President Trump to remove members of other independent bodies, including the National Labor Relations Board, Consumer Product Safety Commission, and the Merit Systems Protection Board. The court is also expected to rule by summer on a case involving Rebecca Slaughter of the Federal Trade Commission, addressing whether a law restricting her removal to cases of "inefficiency, neglect of duty, or malfeasance in office" violates the constitutional separation of powers. This suggests a potential distinction in presidential removal power depending on the agency's structure and statutory protections.
Cook was initially appointed to the Fed in 2022 and reappointed for a new 14-year term in 2023. Trump attempted to fire her in August 2025, alleging mortgage fraud, which Cook "unequivocally" denies. Her legal representation, former U.S. Solicitor General Paul Clement, argued that the Federal Reserve is a "uniquely structured entity" and that allowing the president to easily remove its governors would undermine its independence and the "for cause" removal provision under the Federal Reserve Act. The court's decision ensures that Cook will remain on the board, at least until the merits of her case are fully litigated, thereby preventing Trump from immediately gaining a four-member majority on the Fed board.
