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On January 21, 2025, President Trump signed Executive Order 14173 to end what he termed “illegal DEI discrimination,” requiring federal contractors to certify they don’t operate programs promoting DEI that violate anti-discrimination laws, and this certification, if deemed false, could lead to FCA (False Claims Act) violations.

On March 10, 2025, in National Association of Diversity Officers in Higher Education v. Trump, the Court clarified its ruling of February 21, 2025, to temporarily block the Trump administration from terminating or changing federal contracts they consider equity-related. The Court clarified that its injunction applies to “defendants other than the President, as well as all other federal executive branch agencies, departments, and commissions, and their heads, officers, agents, and subdivisions.” Along with other provisions, the Court specifically enjoined the “Certification Provision,” in Executive Order 14173.

The “Certification Provision” required federal contractors to certify they do not “operate any programs promoting DEI that violate any applicable Federal anti-discrimination laws.” According to the Court, “the government refused to even attempt to clarify what the Certification Provision means.” As a result, the Court held the Certification Provision “induce[s] … federal contractors to apply an over inclusive definition of illegal DEI to avoid risking liability.” The Court further noted that the Certification Provision is also likely unconstitutional under the First Amendment because it is viewpoint discrimination and retaliatory punishment to government contractors for engaging in speech on matters of public concern.

The Court’s order does not change any existing requirements for DEI programs to be non-discriminatory. Anti-discrimination laws are created through acts of Congress and state legislatures, not executive orders. Employers have always been required to ensure their DEI programs comply with these anti-discrimination laws, and most current DEI programs are not intended to and do not breach these laws.

For more guidance regarding your DEI policies, please contact George R.A. Doumar, Kellie Budd, or Raj Patel.

A three-judge panel of the Virginia Court of Appeals unanimously affirmed the Fairfax County Circuit Court’s decision dismissing a multi-count lawsuit against our clients seeking more than $20 million. The case, Riordan Limited et al v. Gallois Invest et al. was filed in 2020 by two venture funds and their billionaire principal in connection with commercial real estate investments and projects in Ukraine’s Kyiv and Mykolaiv regions. Our clients were a Ukrainian advisory group and two Ukrainian citizens who had moved to Fairfax County, Virginia.  Throughout litigation, our team challenged the validity of these claims and argued the matter should be heard in Ukraine, where related litigation had been brought.     The trial court granted a motion to dismiss on forum non conveniens grounds, after extensive discovery, briefing and evidence. At an evidentiary hearing, expert witnesses testified by video on Ukrainian law and our client representative testified by video from Ukraine.   

The Virginia Court of Appeals upheld the dismissal, underscoring the Virginia courts' resistance to forum shopping and the importance of local procedural expertise for lawsuits filed in Virginia and related appeals. This outcome underscores our firm’s commitment to defend clients and ensure that justice is served, even in complex cross-border legal matters.

For more information, please contact: George R.A. Doumar or Raj H. Patel.

Kellie Budd was selected to the faculty of the Virginia State Bar’s Harry L. Carrico Professionalism Course. Kellie was nominated by the Professionalism Committee and confirmed by the Chief Justice of the Virginia Supreme Court to join Virginia’s esteemed attorneys and judges in teaching a professionalism course to newly barred attorneys. 

George Doumar argues before the District of Columbia Court of Appeals in Farris v. District of Columbia. Watch Video.