Judge rejects Trump administration bid to toss California high-speed rail suit

Source: Reuters

December 10, 2025 4:13 PM EST Updated 11 hours ago


Dec 10 (Reuters) - A U.S. judge rejected on Wednesday a bid by President Donald Trump's administration to throw out a lawsuit filed by a California agency to challenge the cancellation of more than $4 billion in federal grants for the state's high-speed rail project linking Los Angeles and San Francisco.

Sacramento-based U.S. District Judge Dale Drozd rejected the Justice Department argument that the July lawsuit by the California High Speed-Rail Authority was brought in the wrong legal venue and should have been filed in the U.S. Court of Federal Claims.

The lawsuit by the state agency responsible for developing the high-speed rail system challenged the grant cancellation as an "arbitrary and capricious" abuse of authority.

In August, the Transportation Department canceled another $175 million for four projects that are part of California's high-speed rail project, following the cancellation of $4 billion in federal grants. The department did not immediately respond to a request for comment. California Governor Gavin Newsom, a Democrat, is a prominent critic of the Republican president.

Read more: https://www.reuters.com/world/us/judge-rejects-us-bid-toss-california-high-speed-rail-lawsuit-2025-12-10/