The Associated Press reported in April that the Department of Justice (DOJ) had cancelled roughly $800 million in grants to nonprofit groups so it could focus on "more directly supporting certain law enforcement operations."

While that move was challenged in court, a federal judge just handed President Donald Trump a major win by allowing it to proceed. 

Lawsuit was filed on behalf of five nonprofit grant recipients

According to the Associated Press, the lawsuit was filed by the Democracy Forward Foundation and the Perry Law firm on behalf of five groups.

The organizations in question were the Vera Institute of Justice, the Center for Children & Youth Justice, Chinese for Affirmative Action, FORCE Detroit, and Health Resources in Action.

Deputy Assistant Attorney General for Operations and Management Maureen Henneberg heads the Office of Justice Programs, and the aforementioned plaintiffs alleged that she lacked "constitutional, statutory, and regulatory authority" to cancel the grants.

Specifically, the lawsuit maintained that Henneberg violated Article I, Section 9, Clause 7 of the U.S. Constitution, which is known as Appropriations Clause.

The nonprofit groups noted how it provides that Congress holds authority over appropriating funds, and they argued that this includes the $800 million worth of grants which the assistant attorney general rescinded.

Democracy Forward CEO claims grant cuts do "irreparable harm to communities"

What's more, the plaintiffs went on to contend that her cancellation order lacked sufficient clarity and denied due process to the grant recipients.

Skye Perryman serves as president and CEO of Democracy Forward, and she denounced the cancellation of grants in a statement provided to the Associated Press.

"The sudden and unlawful termination of these public safety grants makes neighborhoods everywhere less safe and does irreparable harm to communities across the country," Perryman was quoted as saying.

However, Fox News reported that U.S. District Judge Amit Mehta moved on Monday to deny the plaintiffs' request for a preliminary injunction.

Judge says grant rescission is "shameful" and "likely to harm communities"

Fox News observed that Mehta, who was nominated to the United States District Court for the District of Columbia by former President Barack Obama, condemned the Trump administration's decision as "shameful."

DOJ lands legal victory as federal judge allows $800M in grants to be clawed back https://t.co/mbxItgwk3X

— Fox News Politics (@foxnewspolitics) July 9, 2025

"It is likely to harm communities and individuals vulnerable to crime and violence," he continued before adding, "But displeasure and sympathy are not enough in a court of law."