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
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
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
College & Workforce Readiness Webinar
Climb: A New Framework for Career Readiness in the Age of AI
Discover practical strategies to redefine career readiness in K–12 and move beyond credentials to develop true capability and character.
Content provided by Pearson

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 Appeals Court Halts Ruling Letting Teachers Disclose Students' Gender Identity
A federal appeals court has temporarily paused enforcement of the ruling but has not yet decided whether to grant a longer-term stay.
Kristen Taketa, The San Diego Union-Tribune
3 min read
Students carrying pride and transgender flags leave Great Oak High School in Temecula, Calif., on Sept. 22, 2023, after walking out of the school in protest of the Temecula school district policy requiring parents to be notified if their child identifies as transgender.
Students carrying pride and transgender flags leave Great Oak High School in Temecula, Calif., on Sept. 22, 2023, after walking out of the school in protest of the Temecula school district policy requiring parents to be notified if their child identifies as transgender.
Anjali Sharif-Paul/The Orange County Register via AP
Law & Courts Schools Can’t Bar Teachers From Telling Parents If Kids Are Transgender, Judge Rules
The injunction bans any public school employee from misleading parents about their child’s gender presentation at school.
Kristen Taketa, The San Diego Union-Tribune
5 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. 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 ruled against the district.
Charlie Neuman for The San Diego Union-Tribune/TNS
Law & Courts Federal Appeals Court Upholds 8th Grader's Expulsion Over Gun Comments in Class
Shortly after a nearby mass school shooting, a student allegedly discussed bringing a gun to school.
3 min read
Photo of stone columns.
E+
Law & Courts Trump's Education Policies Spurred 72 Lawsuits in 2025. How Many Is He Winning?
The legal challenges show which policies have had a big impact and how 2026 could go.
5 min read
President Donald Trump holds up an executive order after signing it at an indoor Presidential Inauguration parade event in Washington, Jan. 20, 2025.
President Donald Trump holds up an executive order after signing it at an indoor presidential inauguration parade event in Washington on Jan. 20, 2025. Trump's executive actions prompted legal challenges virtually from the moment he took office, and education-related policies were not immune.
Matt Rourke/AP