4th Circuit Stays Injunction of Trump DEI Executive Orders

Posted: March 18, 2025 in Executive Order , Diversity Equity and Inclusion

On March 14, 2025, the U.S. Court of Appeals for the 4th Circuit stayed a nationwide preliminary injunction that temporarily blocked certain provisions of Executive Orders (EO) 14151 and 14173 issued by President Donald Trump on Jan. 20, 2025, and Jan. 21, 2025, respectively. The EOs aim to combat “illegal diversity, equity and inclusion (DEI) programs” in the federal and private sectors.

Overview of DEI EOs

EOs 14151 and 14173 seek to terminate all illegal DEI mandates, policies, programs, preferences and activities in the federal and private sectors. The following orders are among those included in the EOs:

EO 14151 directs executive agencies to terminate “equity-related” grants or contracts (“Termination Provision”); and
EO 14173 directs:
- Executive agencies to include in every contract or grant award a certification that the contractor or grantee does not operate any programs promoting DEI that violate applicable federal antidiscrimination laws (“Certification Provision”); and
- The U.S. attorney general to take appropriate measures to end illegal DEI in the private sector, deter such programs or principles, and identify potential civil compliance investigations (including a requirement that the U.S. attorney general submits a report recommending measures to combat illegal private-sector DEI initiatives) (“Enforcement Threat Provision”).

Highlights and Important Dates

On Jan. 20, 2025, and Jan. 21, 2025, Trump issued two EOs aimed at combating illegal DEI in the federal and private sectors.
On Feb. 3, 2025, a group of plaintiffs filed a complaint alleging that certain provisions of the EOs were unconstitutional.
On Feb. 21, 2025, the U.S. District Court for the District of Maryland temporarily blocked parts of Trump’s DEI EOs.
On March 14, 2025, the 4th Circuit stayed the preliminary injunction pending a ruling on the merits.

Prior Court Rulings

In National Association of Diversity Officers in Higher Education v. Trump, the plaintiffs argue that the above provisions are unconstitutional and should be vacated. In a Feb. 21, 2025, ruling, the U.S. District Court for the District of Maryland temporarily blocked the Termination and Certification Provisions and part of the Enforcement Threat Provision. In its ruling, the court reasoned that the provisions were likely unconstitutionally vague and restricted free speech.

On March 3, 2025, the Maryland District Court declined to stay the preliminary injunction, and on March 10, 2025, clarified that the injunction applied to all federal executive branch agencies, departments and commissions, not just those named in the complaint.

4th Circuit Ruling

In its March 14, 2025, ruling, the 4th Circuit granted the government’s request to stay the nationwide preliminary injunction. Therefore, the Trump administration may continue to enforce the previously blocked provisions of the EOs while the court considers the merits of the case.

Employer Takeaways

While the 4th Circuit ruling allows the Trump administration to continue its enforcement activity under the EOs, including the Termination and Certification Provisions for government contractors, employers should prepare for uncertainty, as the case is still pending, and such provisions may yet be blocked in a final ruling on the merits.

Moreover, neither the initial EOs nor the 4th Circuit ruling alter employers’ legal obligations, as employers are still prohibited from considering an individual’s protected trait (e.g., race, color, sex, religion, age or national origin) in employment decisions. Therefore, employers may consider reviewing existing DEI practices to ensure they do not discriminate on the basis of a federally protected trait.

Contact SSG for additional information.