Here we go again – another CTA update hot off the press.
- In our last update, we reported that the U.S. Department of Justice (DOJ) filed with the U.S. Supreme Court an emergency application to stay the injunction preventing FinCEN from enforcing the CTA, asking the Court to either stay the Texas district court’s December 3, 2024, injunction pending the Fifth Circuit’s merits review in Texas Top Cop Shop v. Garland (4:24-cv-00478-ALM), or, in the alternative, to treat the application as a “petition for a writ of certiorari before judgment presenting the question whether the district court erred in entering preliminary relief on a universal basis.”
- On January 7, 2025, in a separate Texas case – Smith v. United States Department of Treasury (6:24-cv-00336) – a federal judge in the Eastern District issued a separate order enjoining enforcement of the CTA against the plaintiffs in that case and staying the Reporting Rule on a nationwide basis. At this time, the government has not appealed in that matter.
- But, on January 23, 2025, the Supreme Court granted the DOJ’s application in Texas Top Cop Shop, staying the nationwide injunction against FinCEN’s enforcement of the CTA. The stay will apply through the appeal process before the Fifth Circuit Court of Appeals and disposition of a petition for a writ of certiorari.