Rubbish Check
ABC News Business (AP wire) · July 25, 2026 source

“Small businesses file lawsuits against Trump’s new sweeping tariffs”

R2/ 10
Lightly altered
Rubbish Rating — 1 = base fact, 10 = pure rubbish
12345678910
In short
Rubbish Talk rates ABC News/AP's headline that "small businesses file lawsuits against Trump's new sweeping tariffs" a 2/10 because the headline is a plain, accurate description of two real Court of International Trade filings, though it omits that legal experts see a tougher path than prior wins.
The Verdict
Lightly altered. The headline states exactly what happened, two lawsuits, small businesses, new tariffs, with no loaded verbs or cherry-picked framing. Its only shortfall is a missing forward-looking caveat: the article itself notes experts think this round is harder to beat in court than the tariffs Learning Resources previously defeated at the Supreme Court.

What actually happened

Two separate lawsuits were filed in the U.S. Court of International Trade challenging tariffs Trump announced imposing double-digit levies on 60 trading partners under Section 301 of the Trade Act of 1974, justified as penalizing countries for failing to prevent forced-labor imports. The tariffs, implemented under Section 301 of the Trade Act of 1974 for what the Trump administration says is countries' failure to prevent imports produced by forced labor, cover 99% of U.S. imports. One suit was brought by Learning Resources and other small businesses; the other by spice company Burlap and Barrel and watch retailer Collective Horology, represented by the Liberty Justice Center.

Key facts

  • Two lawsuits filed by small businesses are challenging Trump's sweeping tariffs announced Thursday that impose double-digit levies on 60 trading partners.
  • Educational toy company Learning Resources, which was part of the tariff lawsuit that won in the Supreme Court, filed a new suit along with several other small businesses in the Court of International Trade on Friday over the current round of tariffs.
  • The second lawsuit was filed by Burlap and Barrel, a New York-based spice company, and Collective Horology, a watch retailer based in Ventura, California, represented by Liberty Justice Center, a libertarian advocacy group.
  • Both lawsuits argue that the government didn't adequately establish its case against each specific economy or spell how the tariffs will eliminate the specified practice they are being levied for, as required by Section 301.
  • The new tariffs came just as temporary 10% worldwide tariffs, that had also been challenged in court, expired.

What to watch for

  • Whether the Court of International Trade grants any injunction before the tariffs bite, given experts say it might be tougher to successfully challenge the current round of tariffs than previous rounds.
  • A lawyer described these Section 301 tariffs as tariffs that will be with the country "for the long haul," unlike the expired Section 122 levies, so watch for any signal of a quick settlement or country-by-country carve-out.
  • Whether the White House ever responds publicly, since it had not done so at publication.
About this scoreThe R-Score is Rubbish Talk's editorial opinion on how far a headline's framing sits from what the underlying facts support. It is a judgement about presentation and emphasis, not an allegation that any outlet has acted dishonestly. Every figure we rely on is linked under Receipts so you can check it yourself.
Share this CheckXFacebookLinkedInEmail