Labor & Employment Law Daily Wrap Up, LITIGATION NEWS, TRENDS—Faculty unions file lawsuit over Columbia University federal funding withdrawal threat, (Mar 26, 2025)
Organizations Mentioned:Columbia University
According to the complaint, “The Trump administration is coercing Columbia University to do its bidding and regulate speech…by holding hostage billions of dollars in congressionally authorized federal funding…”
In a lawsuit filed in a New York federal district court on March 25, the American Association of University Professors (AAUP) and the American Federation of Teachers (AFT) allege that the Department of Justice (DOJ), the Department of Education (DOE), the Department of Health and Human Services (HHS), the National Institutes of Health (NIH), the General Services Administration, and government officials have unlawfully made demands and threatened to terminate federal financial assistance to Columbia University. The complaint comes just days following Columbia agreeing to calls from the Trump Administration to make changes after $400 million in federal funds were held, and more funds were threatened to be cancelled.
Uncertainty. The university changes were outlined in a letter by Columbia’s interim President, Dr. Katrina Armstrong. The lawsuit acknowledges the university’s response, “On March 21, 2025, Columbia shared updated policies appearing to give in to nearly all of Defendants’ demands.” However, also noted in the complaint is that in response to Columbia’s actions, a March 24 press release by the DOE does not state that Columbia’s federal funding will be restored, but rather that “Columbia’s compliance with the Task Force’s preconditions is only the first step in rehabilitating its relationship with the government, and more importantly, its students and faculty.”
Complaint. The AAUP and AFT allege that the cancellation of federal grants without observance of statutory and regulatory requirements and the imposition of demands with a threat of withholding future federal funding are in violation of the First, Fifth, and Tenth Amendments of the U.S. Constitution. The allegations also accuse the executive branch of government of violating the separation of powers, going beyond the scope of its power, and creating an unconstitutional condition on federal financial assistance. According to the complaint, “Over the course of ten days, and in direct contravention of the relevant law, the administration (1) announced it was commencing an investigation of Columbia for its asserted but unspecified failure to address antisemitism on campus, (2) summarily canceled approximately $400 million in critical federal research funding without prior notice, explanation, or any form of due process, and (3) demanded that the University adopt a list of sweeping programmatic and structural changes within one week as ‘a precondition’ for the University’s ‘continued financial relationship with the United States government,’ valued at approximately $5 billion.” Also alleged is that the Trump administration is threatening other universities with similar funding withdrawals with the goal of chilling speech.
Government actions. On March 7, the DOJ, HHS, DOE, and GSA announced the cancellation of approximately $400 million in federal grants and contracts to Columbia University. On March 13, 2025, HHS, DOE, and GSA sent a letter to Columbia stating that Columbia should “consider this a formal response to the current situation on the campus of Columbia University and a follow up to our letter of March 7, 2025, informing you that the United States Government would be pausing or terminating federal funding.”
Relief requested. According to the complaint, the March 13 letter, “provided no further definition of the ‘current situation on the campus of Columbia University,’ did not explain its reference to Columbia’s ‘other alleged violations of Title VI and Title VII,’ and invoked no statutory or regulatory authority other than Title VI and Title VII,” among other deficits. Among other requests, the AAUP and AFT ask that the government’s actions be declared unlawful and for the court to enter an injunction requiring the immediate reinstatement of grants and contracts.
The case is No. 1:25-cv-02429.
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