US Governance — 2026-05-08

DOGE ChatGPT-Driven Mass Grant Purge Ruled Illegal in Federal Court

U.S. District Judge Colleen McMahon in Manhattan on Thursday permanently barred the Trump administration from enforcing the April 2025 cancellation of more than $100 million in congressionally approved humanities grants. McMahon ruled the terminations violated the First Amendment and the Fifth Amendment's equal protection clause, and that DOGE lacked the statutory authority to cancel the funding. Her 143-page opinion found that DOGE staff used ChatGPT to flag more than 1,400 grants on DEI grounds without reviewing any underlying applications, with responsible officials described as workers in their 20s with no relevant expertise. She rejected the government's argument that ChatGPT's role absolved officials of constitutional liability, writing that the tool was "the Government's chosen instrument" for unconstitutional viewpoint discrimination.

Analysis
McMahon's three-pronged ruling, covering First Amendment, Fifth Amendment equal protection, and statutory authority, requires the government to overturn all three grounds on appeal to restore the cancellations, substantially narrowing its litigation pathway. The core holding that the automation layer confers no liability shield, corroborated across three outlets including the AHA as a party, extends the ruling's reach well beyond the NEH. The documented AI-screening record without individual-application review gives plaintiffs a ready template for challenging other DOGE-driven terminations across federal programs. An administration appeal to the Second Circuit is likely within 60 days. The administration may instead pursue a human-led re-review on non-ideological grounds, restoring terminations without appellate victory and constraining precedential reach.

4 sources

Federal judge finds DOGE elimination of humanities grants unlawful - CBS News
Judge rules DOGE's cuts to humanities grants were unconstitutional - The Washington Post
Judge rules Trump administration's cancellation of humanities grants was unconstitutional - NBC News
Major Update in our NEH Lawsuit - American Historical Association