A Florida federal judge nullified a settlement between the government and Donald Trump on Sunday, ruling that his $10 billion lawsuit against the Internal Revenue Service was brought for an improper purpose to gain judicial legitimacy for an agreement that shielded him from tax audits.
U.S. District Judge Kathleen Williams barred Trump, the Justice Department, and others from using the settlement in any proceedings, concluding there was no genuine legal controversy because Trump, as president, controlled the defendants. The May 2026 deal had included a fund of nearly $1.8 billion and permanent protection from IRS claims, provisions the judge struck down.
Williams imposed professional penalties against Trump's legal team, referring attorney Alejandro Brito to the Florida Bar and banning Daniel Epstein from practicing in the Southern District of Florida for a year. She also directed that Acting Attorney General Todd Blanche and Associate Attorney General Stanley Woodward be referred to bar authorities in New York and the District of Columbia.