U.S. District Judge Theodore Chuang ruled on March 18, 2025, that Elon Musk and his “Department of Government Efficiency” (Doge) likely violated the U.S. Constitution by orchestrating the shutdown of USAID, the U.S. government’s international development agency. The ruling, a significant blow to the Trump administration’s ongoing efforts to dismantle federal agencies, mandates that the administration reverse some actions taken to terminate USAID officials, restore access to government systems for former employees, and allow USAID to return to its shuttered headquarters.
A Major Setback for the Trump Administration’s Efforts
Judge Chuang’s ruling, which includes a sweeping injunction, halts the administration’s attempts to fire USAID workers and mandates the reinstatement of terminated employees’ access to essential government systems such as email, security, and payments. The court has ordered USAID to return to its headquarters at the Ronald Reagan Building in Washington, D.C., pending the outcome of an ongoing lawsuit that challenges the closure of the agency. While the Trump administration plans to appeal the ruling, the decision marks a dramatic setback for its efforts to streamline or dissolve parts of the federal bureaucracy.
Musk’s Role in the Shutdown
The lawsuit, filed by more than two dozen former USAID employees, revolves around Musk’s controversial role in the agency’s closure. The judge concluded that Musk, acting through his role at Doge, likely overstepped constitutional boundaries by making decisions that should have been reserved for Senate-confirmed officials. Judge Chuang argued that Musk’s involvement in the decision to shutter USAID’s headquarters and erase its website violated the Appointments Clause of the U.S. Constitution, which mandates Senate confirmation for federal officers with significant authority.
Chuang emphasized that, while the administration claimed Musk was simply advising, the evidence suggested that he played a central role in these decisions. “Under these circumstances, the evidence presently favors the conclusion that Musk made the decisions to shutdown USAID’s headquarters and website even though he lacked the authority to make that decision,” the judge stated.
USAID’s Collapse and its Aftermath
The shutdown of USAID has already caused immense disruption. Over the past six weeks, more than 5,200 of USAID’s 6,200 global programs were abruptly terminated, and staff members were locked out of facilities and vital systems. Employees were even reportedly ordered to destroy classified documents, using shredders and “burn bags” — actions that could lead to further legal ramifications for Musk and Doge, especially given potential violations of the Federal Records Act.
As part of the administration’s broader restructuring, USAID’s workforce has been slashed from over 10,000 employees to just 611. The agency’s remaining programs have been absorbed into the State Department, a move that Secretary of State Marco Rubio hailed as “historic reform” but which critics argue could lead to reduced effectiveness in addressing global issues like poverty and health crises.
Tensions Over USAID Headquarters
The controversy surrounding USAID’s headquarters has grown increasingly heated. Reports surfaced in February that U.S. Customs and Border Protection (CBP) had conducted extensive “walkthrough” tours of the building, with the apparent intention of taking over the space. Politico later confirmed that CBP had signed a lease agreement for the facility, further fueling speculation about the agency’s fate.
The judge’s order gives the Trump administration just 14 days to confirm that USAID can return to its building. However, with the lease agreement signed and the building already under CBP control, it is unclear whether the agency will ever regain access to its headquarters.
The Injunction’s Broader Impact
In addition to reversing actions related to employee terminations and office closures, the injunction prevents Doge from publishing personal information about USAID contractors and halts any further dismantling efforts. The administration is also prohibited from deleting electronic records that could be critical in ongoing investigations.
This ruling underscores the broader legal challenges faced by Musk and Doge. An internal email recently obtained by the Guardian revealed that staff had been instructed to destroy “SECRET” government documents, potentially breaching federal regulations. The destruction of such records could carry significant consequences under the Federal Records Act, which mandates the retention of certain government documents for a specified period before they can be destroyed.
What’s Next for USAID and the Trump Administration?
As the Trump administration prepares to appeal the court ruling, questions remain about the future of USAID and the broader implications for federal agency restructuring. If the decision stands, it could reshape the administration’s approach to governance and force a reevaluation of the role private sector figures like Musk play in influencing government policy.
While the administration frames the changes as necessary reforms, critics argue that the shutdown of USAID could severely undermine the U.S.’s ability to lead global development efforts. As the legal battle continues, the future of U.S. foreign aid and diplomatic outreach hangs in the balance, with Musk’s role in these decisions under intense scrutiny.
In the meantime, the fight to restore USAID continues, with both former employees and international allies of the agency pushing for a reversal of the administration’s actions. The legal and political fallout from this case is sure to reverberate for months, potentially setting a significant precedent for how the U.S. government handles its international development programs in the future.
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