Lisa Cook sues Trump in unprecedented showdown over Federal Reserve firing

The Governor of the United States Federal Reserve, Lisa Cook, has filed a lawsuit against President Donald Trump after he announced her dismissal.

Since assuming office for his second term earlier this year, President Trump has pursued an aggressive shake-up of federal institutions, dismissing a number of senior officials.

Among them was Gwynne Wilcox, the first Black woman to serve on the National Labour Relations Board, which oversees disputes in the private labour sector.

He has also removed several officials from agencies traditionally regarded as independent of the White House—moves that have drawn sharp criticism, including from Cook herself.

Cook was ousted from her position at the Federal Reserve on August 25, 2025 allegedly over a 2021 mortgage fraud case.

In her lawsuit, Cook argues that Trump has no authority to remove her from office, claiming he violated her constitutional right to due process by firing her without judicial review.

She further contends that Trump breached federal law, which protects the independence of the Federal Reserve, and has taken steps unprecedented by any previous US president.