Federal District Court Issues Nationwide CTA Injunction

BakerHostetler – In granting the preliminary injunction, the court held that plaintiffs had established (i) a substantial likelihood of success on the merits of their claims that the CTA is unconstitutional, finding that the CTA was not likely to be justified under either the Commerce Clause or the powers to regulate foreign affairs or collect taxes, in each case as supplemented by the Necessary and Proper Clause; (ii) a substantial threat that they will suffer irreparable harm absent injunctive relief; (iii) that the threatened injury outweighs any damage that the injunction might cause the government; and (iv) that the injunction will not harm the public interest.