DEI in Federal Contracting

On June 10, 2026, a coalition of attorneys general filed a lawsuit in Maryland against the Trump Administration challenging an executive order, issued March 26, 2026, directing federal agencies to adopt new contract terms prohibiting federal contractors – including state agencies and instrumentalities – from engaging in “racially discriminatory DEI activities” in connection with their contract work. We argue that the federal agencies implementing the executive order violates the Administrative Procedure Act.

Maryland, et al v. Hegseth