SCOTUS Tariff Ruling: What It Means and What Happens Next for Ecommerce Merchants

Key takeaways:

• The SCOTUS tariff ruling invalidates many IEEPA-based tariffs, but refunds require proactive action through CBP and possibly the Court of International Trade.
• Refund recovery isn’t automatic and may take months or years, with strict deadlines and detailed documentation required.
• Tariff uncertainty isn’t over, so merchants should adjust pricing, diversify sourcing, and plan for continued policy shifts.

A big Supreme Court ruling just came down, and ecommerce merchants have a narrow window to act.

If you’ve paid IEEPA-related import duties in 2025, the SCOTUS tariff ruling is a big deal: the Supreme Court held that the International Emergency Economic Powers Act (IEEPA) does not authorize the President to impose tariffs.

Let’s recap the decision, fill you in on what that means for merchants, and how to plan for what likely comes next.

But first, let’s cover what you really need to know: pursuing refunds.

Can I Get My Refunds After the New Ruling?

If you’re wondering whether you can pursue refunds, the short answer is likely yes. There’s a pathway, but know that it’ll probably take a long time before you get them.

The long answer is that while it is possible, the process of getting refunds could take months and even years. Stick around to see what that process looks like and why it might not be worth it.

The SCOTUS Tariff Ruling: A Quick Recap for Merchants

Simply put, the Court ruled that the IEEPA doesn’t authorize tariffs.

That matters because the Trump administration used IEEPA, a national emergency law, to impose sweeping tariffs. The Court rejected the idea that IEEPA’s power to “regulate… importation” silently includes the power to impose duties.

Two practical implications for ecommerce:

• Many IEEPA-based tariffs are invalid. Other tariffs imposed under different laws can remain.
• Refunds are possible, but not automatic. The ruling doesn’t hand you a refund process on a silver platter. It sets the legal foundation, and now merchants have to pursue recovery through CBP procedures and, in some cases, the Court of International Trade (CIT).

SCOTUS Tariff Ruling Refund Checklist

To get your refunds, accept that it will be a bit of a process. Here’s a look at what’s ahead.

1) Talk to the right experts

To be very clear: ecommerce merchants seeking a refund on tariffs paid should consult professional legal advice.

Procedural mistakes can lead to big costs, especially around liquidation timing, protests, and litigation strategy. Consider tapping a good customs broker, as well as a trade attorney, to avoid expensive rework or missed deadlines.

2) Check your entries in ACE

Log into CBP’s ACE portal (or ask your customs broker for an export) and review your 2025 imports tied to IEEPA-affected duties. When you pull entries, label each one as either unliquidated or liquidated. The latter is time-sensitive, so be advised that deadlines apply.

This is an important step, so it’s better to get going on it sooner rather than later.

3) If entries are unliquidated, pursue a PSC

For unliquidated entries, your most direct path is typically a Post-Summary Correction (PSC) filed via ACE to correct duties and claim overpayments, often including interest, depending on circumstances.

This is the “cleanest” refund path when it’s available because you’re correcting the entry before it’s final.

4) If entries are liquidated, file a protest fast

For liquidated entries, you generally need to file a formal protest (CBP Form 19) within 180 days of the liquidation date, commonly through the ACE Protest Module.

The argument here is that duties were collected under an emergency law that the Supreme Court has now said was unauthorized. Miss the protest window, and your options shrink.

5) If you get denied (or delayed), prepare for CIT

If CBP denies your protest, sits on it, or applies an overly narrow interpretation, the next stop is often the U.S. Court of International Trade (CIT), the court that handles many tariff disputes. This isn’t always the case, but it may be worthwhile to assume that larger claims, complex fact patterns, or delayed refunds may end up there.

6) Gather your documentation now

Create a folder for:

• Entry summaries
• Proof of payment
• Commercial invoices
• Duty calculations
• Broker communications
• Liquidation dates + timelines

Keep in mind that if you’ve got hundreds or even thousands of entries, “manual review” could almost become a second full-time job. This is where AI and automation could be handy.

On the Horizon: More Tariffs, Different Legal Routes

The reality is that this SCOTUS tariff ruling doesn’t end tariff risk. Tariffs have been a favored policy of the current administration, so they’ll likely be revisited in the near future.

Within hours, the administration signaled it would pivot to other tools, including Section 122 of the Trade Act of 1974 for a baseline tariff, plus potential new actions under Section 301 and Section 232.

A day after the SCOTUS decision, the Trump administration said they would instead implement a 15% global tariff using Section 122 of the Trade Act of 1974. Unlike the previous IEEPA tariffs, Section 122 is a "temporary import surcharge." It is legally capped at 15% and expires after 150 days unless Congress explicitly extends it.

So, for merchants, the questions that come up:

• Are we moving from country-based tariffs to commodity-based tariffs?
• Are we heading into investigations that take months, then land suddenly?
• How do we price products when duty rates feel like a moving target?

Andrei Quinn-Barabanov, Supply Chain and Risk Management Leader at Moody’s, put it bluntly: additional commodity-based tariffs could “prolong the tariff rate uncertainty” and create “sourcing paralysis well into 2026.”

Pricing and Sourcing Moves That Don’t Depend on Refunds

Refunds are worth pursuing, but getting them will likely be a long process and not a guarantee. Here’s how to protect against uncertain times.

Lower landed costs without racing to the bottom

If IEEPA duties drop off certain products, you’ll likely see reduced landed costs on certain categories such as apparel, electronics, furniture, and more.

Your options:

• Pass some savings to customers to boost conversion and volume
• Hold price and rebuild margin, especially as paid media gets pricier
• Reinvest in growth like inventory depth, creative, retention, and email/SMS

A good rule: don’t change prices across the board. Start with SKUs where price elasticity is real, and competition is tight.

Diversify and hedge

Whether you have or haven’t already started to diversify, here are the tactical moves to consider:

• Accelerate shifts to suppliers in places like Vietnam and India (where feasible)
• Negotiate shorter contract windows if tariff policy is unstable
• Build alternate bill of materials (BOMs) for high-risk categories
• Add tariff-change clauses so you’re not eating every surprise

Prepare for potential volatility ahead

Even with the SCOTUS decision, you’re still operating in a political environment where tariffs are a policy lever and are unlikely to go away.

That means:

• Track CBP guidance and CIT developments
• Keep a cash buffer if refunds are slow
• Treat refund timing as uncertain, even if eligibility looks strong

Final Thoughts for Merchants

The SCOTUS tariff ruling creates a refund opportunity, but the path runs through CBP process, strict deadlines, and may require taking things to court. Move quickly on entry triage, document everything, and get expert legal guidance so you don’t miss your window.

Lastly, assume tariff volatility continues under different statutes, and use this moment to strengthen pricing discipline and supplier flexibility.