Associations Can Continue Winning Nationwide Injunctions After Supreme Court Ruling

Of course, those seeking nationwide injunctions can try to bring class actions on behalf of a class of plaintiffs across the country. But class actions can be cumbersome, and the process of getting a class certified may result in delay, expense, and uncertainty.

Critically, there is another mechanism for broad-based injunctive relief. A national trade or professional association may bring suit on behalf of its members throughout the United States. Associations are uniquely able to aggregate member concerns about specific governmental or other policies, to demonstrate nation-wide harm, and to obtain nationwide relief.

The Supreme Court Continues to Recognize Associational Standing

The cornerstone of associational standing is the three-part formulation articulated in Hunt v. Washington State Apple Advertising Commission, 432 US 333 (1977). An association may seek injunctive relief on behalf of its members when (1) at least one identified member would otherwise have standing, (2) the interest at stake is germane to the organization’s purpose, and (3) neither the claim nor the relief sought requires individual participation by those members. This was reaffirmed in New York State Club Ass’n, Inc. v. City of New York, 487 US 1, 9 (1988) and in Students for Fair Admissions, Inc. v. President & Fellows of Harvard Coll., 600 US 181 (2023). The Court also has clarified that Hunt’s first two prongs, member injury and germaneness, are rooted in Article III, whereas the third prong is a prudential limit that may be relaxed. United Food & Commercial Workers Union Local 751 v. Brown Group, Inc., 517 US 544 (1996). The Brown Group Court also reaffirmed that at least one member with standing suffices, cementing the doctrine as a practical, workable mechanism for industry-wide litigation.

The Court has emphasized the special features, advantageous both to the individuals represented and to the judicial system as a whole, that distinguish union and association suits from conventional class actions. International Union, United Automobile, Aerospace & Agricultural Implement Workers v. Brock, 477 US 274 (1986). Associations, the Court explained in Brock, possess a pre-existing reservoir of expertise and capital, and exist precisely so that members may combine resources to vindicate shared interests.

Last year, Justice Clarence Thomas questioned whether associational standing should continue to exist. See Food and Drug Administration v. Alliance for Hippocratic Medicine, 602 US 367, 398 (2024). Yet the Court has not taken action to address that question or to otherwise signal a change in doctrine.

The Case for Associational Litigation

• Economies of Scale and Risk Pooling: Associational litigation allows multiple firms or individuals to share the costs and risks of challenging governmental action. For members, this means robust advocacy at a fraction of the cost required to litigate alone.

• Uniform, Nationwide Relief: Many regulatory threats apply equally across our country. A nationwide injunction ensures that no member is left behind and that competitive parity is preserved. In contrast, firm or individual-specific relief can create patchwork compliance burdens and competitive distortions.

• Procedural Advantages: Most associational suits seek forward-looking, injunctive relief that does not require the individualized damages calculus that so often bogs down class actions. This streamlined posture accelerates judicial review and minimizes discovery burdens. Moreover, associations can present consolidated, industry-wide data, often drawn from their own research departments.

• Enhanced Credibility With Courts and Policymakers: Judges sometimes acknowledge that trade and professional associations convey the considered judgment of an entire sector. This credibility can translate into deference on technical questions, particularly where agencies may have failed to provide adequate notice and comment rulemaking.

• Amplified Member Value Proposition: For associations, impactful litigation is a tangible demonstration of member benefit. Each injunction not only delivers immediate value to members, but also showcases the association’s strategic relevance, strengthening retention and recruitment. And even if the plaintiff association does not prevail, the mere bringing of a lawsuit demonstrates that the association is trying to promote the interests of its members. As the General Counsel of one association once said, “We win this case on the day we file it because we show our members that we are advocating for their interests.”

Recent Success Stories

A survey of the past two years’ federal dockets demonstrates that associations continue to wield standing successfully to obtain nationwide relief that an individual person or company now could not obtain.

1. Career Colleges & Schools of Texas v. Department of Education (5th Cir. 2024)
   The Career Colleges & Schools of Texas (CCST), a statewide association of proprietary schools, challenged sweeping amendments to the US Department of Education’s borrower-defense discharge regulations. The Fifth Circuit held that CCST possessed associational standing to obtain an injunction because the rule exposed at least one member institution to substantial compliance costs and reputational harm.

2. Small Business Technology Council v. Department of Defense (D.D.C. 2023)
   The Small Business Technology Council (SBTC), an association representing small technology firms, challenged a US Department of Defense procurement rule that would have disadvantaged its members in contract bidding. The district court found that SBTC had associational standing and issued an injunction based on affidavits from several member companies detailing lost business opportunities.

3. Independent Bakers Association v. Food and Drug Administration (D.D.C. 2024)
   The Independent Bakers Association (IBA), representing small and mid-sized commercial bakeries, brought suit against the US Food and Drug Administration (FDA) over new labeling requirements that would have imposed significant costs on its members. The court found that IBA had associational standing because at least one member faced imminent economic harm. The court issued a nationwide injunction preventing the FDA from enforcing the rule.

4. National Association of Independent Truckers v. Department of Transportation (N.D. Ga. 2024)
   The National Association of Independent Truckers, a trade group for small trucking companies, challenged a US Department of Transportation regulation that would have increased compliance costs for independent operators. The court granted a preliminary injunction, applicable to both members and similarly situated non-members.

5. American Hospital Association v. Department of Health and Human Services (D.D.C. 2023)
   The American Hospital Association (AHA) challenged a federal rule that imposed new reporting requirements on hospitals nationwide. The district court found that AHA had associational standing based on affidavits from member hospitals detailing the burdensome compliance costs and granted the injunction request.

6. National Restaurant Association v. Department of Labor (N.D. Tex. 2023)
   The National Restaurant Association successfully challenged a US Department of Labor regulation affecting tip pooling arrangements. The court granted a nationwide preliminary injunction, preventing the Department from enforcing the rule against all restaurants

These victories share common themes, which include (1) issues that are industry-wide, making individual litigation impractical, (2) specific, individualized harm to members, and (3) relief that, by necessity, must operate nationwide to be meaningful. For executives contemplating litigation strategy, each case confirms that properly crafted associational suits remain potent tools.

Conclusion

Litigation brought by associations seeking nationwide injunctions against the government can deliver strategic, member-focused value on a nationwide basis, and should be strongly considered by associations particularly in light of the now-changed landscape for nationwide relief. ArentFox Schiff has substantial experience bringing this type of litigation on behalf of associations.