February 7, 2026
The Fourth Circuit lifted the lower court block on executive orders targeting diversity programs at federal agencies and government contractors.
A federal appeals court on Jan. 6 ruled in favor of the Trump administration, allowing it to move forward with executive orders aimed at dismantling diversity, equity, and inclusion (DEI) initiatives across federal agencies and among businesses that receive government contracts.
In a decision issued by a three-judge panel of the 4th U.S. Circuit Court of Appeals in Richmond, Virginia, the court overturned a lower court injunction that had temporarily halted enforcement of the policies. The ruling clears the way for President Donald Trump’s administration to implement directives signed shortly after he returned to office that seek to eliminate DEI programming in both the public sector and parts of the private sector tied to federal funding.
The appeals court had already paused the injunction in March 2025 at the government’s request while it reviewed the case. That injunction was originally issued by U.S. District Judge Adam Abelson in Baltimore, who had sided with a group of plaintiffs challenging Trump’s presidential orders.
Those plaintiffs included the city of Baltimore, the National Association of Diversity Officers in Higher Education, and the American Association of University Professors. Their lawsuit argued that the executive orders unlawfully targeted DEI efforts by directing federal agencies to dismantle such programs, requiring contractors and grant recipients to certify that they do not operate DEI initiatives, and instructing agencies to coordinate with the Justice Department to deter and investigate organizations that implement such policies.
Judge Abelson previously found that the directives were likely unconstitutional, concluding they infringed on free speech protections under the First Amendment and relied on vague standards that could violate Fifth Amendment due process rights.
However, writing for the appellate panel, U.S. Circuit Judge Albert Diaz rejected that reasoning. Diaz said the DEI executive orders themselves could not be broadly challenged in court, but could instead be contested later based on how they are enforced against specific grant recipients or contractors.
“President Trump has decided that equity isn’t a priority in his administration and so has directed his subordinates to terminate funding that supports equity-related projects to the maximum extent allowed by law,” Diaz wrote. “Whether that’s sound policy or not isn’t our call.”
Diaz, an appointee of former Democratic President Barack Obama, also issued a separate concurring opinion expressing unease with the outcome. He described the record as suggesting a “sinister story” in which programs were eliminated based on keyword searches rather than substantive review.
“For those disappointed by the outcome, I say this: Follow the law,” Diaz wrote. “Continue your critical work. Keep the faith. And depend on the Constitution, which remains a beacon amid the tumult.”
Democracy Forward, the progressive legal organization representing the plaintiffs, said it is reviewing the ruling and considering next steps. The White House did not immediately respond to requests for comment.
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