Law & Courts

A New Twist in the Legal Battle Over Trump’s Cancellation of Teacher-Prep Grants

By Brooke Schultz — November 13, 2025 4 min read
Instructional coach Kristi Tucker posts notes to the board during a team meeting at Ford Elementary School in Laurens, S.C., on March 10, 2025.
  • Save to favorites
  • Print

A federal judge agreed with the Trump administration that she can’t order the restoration of millions of dollars in funding for teacher-training grants the administration prematurely cut earlier this year. But, the judge concluded, she retains the ability to decide if the administration broke the law in terminating them.

U.S. District Judge Angel Kelley, based in Massachusetts, decided Thursday that she would hear the case from eight states challenging the U.S. Department of Education’s termination of millions of dollars in grant funding that supported teacher-training programs, but agreed the restoration of funding belonged in the hands of a different federal court.

It’s the latest twist in a monthslong legal battle over the cancellation of these grants, which happened in February in the first month of the new Trump administration. A judge temporarily restored them before the U.S. Supreme Court intervened and said the administration could move forward with the grant terminations while the underlying legal battle played out. Kelley’s Thursday ruling is the latest development in that lawsuit.

Kelley’s ruling is also another example of the fine line courts are walking as President Donald Trump’s administration draws dozens of lawsuits challenging the president’s efforts to cut off funding to programs he doesn’t support. Plaintiffs in the numerous suits challenging the sudden termination of federal funding have gone to the courts seeking the restoration of grant awards. But they have seen their options for relief narrow, after a Supreme Court decision effectively pushed such complaints outside of the main federal court system to a different federal court, the Court of Federal Claims, that offers more limited relief.

Kelley, an appointee of former President Joe Biden, concluded that the question of whether to restore the individual canceled teacher-training grants—which fell under two congressionally authorized programs—lies in the federal claims court. But she contended in her ruling that she retains the ability to rule on the legality of the Trump administration’s terminations.

“When all is said and done, grants to fund certain educational programs were terminated. Today’s holding indicates this court lacks any power to bring these grants back. However, plaintiffs are not without remedy,” she wrote in her 36-page opinion, going on to say that if she found the government’s actions unlawful, “the grantees in plaintiff states can file suit in the Court of Federal Claims to request their money damages under the contract.”

The Court of Federal Claims provides less sweeping relief for plaintiffs, and grantees who are successful can only recoup monetary damages rather than have contracts and grants fully reinstated. It’s a more difficult road for plaintiffs to go down, with a heavier burden of proof for lesser reward, experts have said.

And that court has been a linchpin of the Trump administration’s legal arguments as it defends itself against lawsuits from school districts, universities, states, and others over funding terminations.

As district court judges have sided with plaintiffs and ordered the Education Department to restore funds, the Trump administration has pursued appeals to higher courts and the Supreme Court, which have more frequently sided with the president.

See Also

Vector illustration of a man in a suit with flashlight looking into hole in the shape of a dollar sign.
DigitalVision Vectors
Law & Courts Schools Sue Trump, But It's Getting Harder for Them to Recoup Money
Brooke Schultz, September 10, 2025
7 min read

At the heart of this case are more than 40 teacher-training programs in the eight plaintiff states, with grant awards totaling more than $250 million. The Education Department cited an emphasis on diversity, equity, and inclusion when it ended the grants in February.

The grant awards have been tied up in the courts for months after appeals and the Supreme Court’s intervention. Another district court judge originally halted the department’s termination of the grants through a temporary order. But the Trump administration took the issue to an appeals court and then the Supreme Court, which ultimately sided with the president. The temporary block was lifted, and the Trump administration moved to have the case transferred to federal claims court.

The eight states amended their initial complaint, maintaining that there had been regulatory and constitutional violations that the district court could rule on.

The eight states, all with Democratic attorneys general, are California, Colorado, Illinois, Maryland, Massachusetts, New Jersey, New York, and Wisconsin.

Kelley was swayed, arguing that the new assertions in the updated complaint warrant her court’s deliberation.

“As it turns out, this case extends well beyond that single dispute. Specifically, this case requires this court to identify, untangle, and apply precedent. Faced with several Supreme Court … opinions and conflicting persuasive authority, this court grapples with a contested issue: does this case belong in this court or the Court of Federal Claims?” she wrote. “... This court holds it belongs in both.”

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
Managing AI in Schools: Practical Strategies for Districts
How should districts govern AI in schools? Learn practical strategies for policies, safety, transparency, and responsible adoption.
Content provided by Lightspeed Systems
Jobs Virtual Career Fair for Teachers and K-12 Staff
Find teaching jobs and K-12 education jubs at the EdWeek Top School Jobs virtual career fair.
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Absenteeism Webinar
Turning Attendance Data Into Family Action
This California district cut chronic absenteeism in half. Learn how they used insight and early action to reach families and change outcomes.
Content provided by SchoolStatus

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Law & Courts Supreme Court’s Gender Identity Ruling Leaves Schools Seeking Clarity
Advocates say they would welcome more from the Supreme Court on gender-notification policies.
7 min read
The Supreme Court is photographed, Friday, Feb. 27, 2026, in Washington.
The Supreme Court is photographed, Friday, Feb. 27, 2026, in Washington. The high court recently ruled that California policies that sometimes limit or discourage schools from disclosing information to parents about children’s gender transitions and expressions at school likely violate parents’ constitutional rights
Rahmat Gul/AP
Law & Courts Supreme Court Backs Parents in School Gender Disclosure Fight
The Supreme Court restored an injunction blocking California policies on student gender transitions
8 min read
Teacher’s aide Amelia Mester, wrapped in a Pride flag, urges Escondido Union High School District not to have employees notify parents if they believe a student may be transgender in November 2025. A policy on the issue in the city’s elementary school district is the subject of a federal class-action lawsuit in which a judge just sided against the district.
Teacher’s aide Amelia Mester, wrapped in a Pride flag, urges Escondido Union High School District not to have employees notify parents if they believe a student may be transgender at a meeting in November 2025. Two parents and two teachers from the district sued in 2023, challenging California state guidance concerning student gender transitions and parental notification. The U.S. Supreme Court has now reinstated a lower-court decision overturning those state policies.
Charlie Neuman for The San Diego Union-Tribune/TNS
Law & Courts Appeals Court Allows Louisiana Ten Commandments Displays to Proceed
The court said it was premature to rule on the constitutionality of La. Ten Commandments displays.
3 min read
Students work under Ten Commandments and Bill of Rights posters on display in a classroom at Lehman High School in Kyle, Texas, Thursday, Oct. 16, 2025.
Students work under Ten Commandments and Bill of Rights posters on display in a classroom at Lehman High School in Kyle, Texas, Oct. 16, 2025. A federal appeals court has lifted a lower-court injunction blocking a Louisiana law that requires Ten Commandments displays, clearing the way for the law to take effect.
Eric Gay/AP
Law & Courts Supreme Court Strikes Trump Tariffs in Case Brought by Educational Toy Companies
Two educational toy companies were among the leading challengers to the president's tariff policies
3 min read
Members of the Supreme Court sit for a new group portrait following the addition of Associate Justice Ketanji Brown Jackson, at the Supreme Court building in Washington, Oct. 7, 2022. Bottom row, from left, Associate Justice Sonia Sotomayor, Associate Justice Clarence Thomas, Chief Justice of the United States John Roberts, Associate Justice Samuel Alito, and Associate Justice Elena Kagan. Top row, from left, Associate Justice Amy Coney Barrett, Associate Justice Neil Gorsuch, Associate Justice Brett Kavanaugh, and Associate Justice Ketanji Brown Jackson.
Members of the U.S. Supreme Court sit for a new group portrait following the addition of Justice Ketanji Brown Jackson, at the court building in Washington, Oct. 7, 2022. On Feb. 20, 2026, the court ruled 6-3 to strike down President Donald Trump's broad tariff policies, ruling that they were not authorized by the federal statute that he cited for them.
J. Scott Applewhite/AP