On December 26, 2025, a panel of the Fifth Circuit Court of Appeals issued a critical ruling in the ongoing, back-and-forth litigation surrounding the Corporate Transparency Act (CTA), reinstating the nationwide injunction against enforcement of the Act. As a result, the CTA is not currently in effect.
This decision is the latest in a series of back-and-forth rulings on the CTA throughout the month of December. On December 3, 2025, a judge with the U.S. District Court for the Eastern District of Texas put in place the original nationwide injunction. On December 23, 2025, a motions panel of the U.S. Court of Appeals for the Fifth Circuit issued a ruling to lift the injunction and put the CTA back into effect. Now, with this latest ruling from the merits panel of the same appellate court, the injunction is back in place and the CTA is again on hold. The Fifth Circuit has scheduled an en banc (full court) oral argument on the issue for March 25, 2025.
This latest decision underscores the broader uncertainty surrounding the CTA and its enforcement. For businesses, the nationwide injunction is both a relief and a reminder of the need to prepare for potential changes as litigation unfolds and as a new administration is set to take office in January.
FGKS Law is closely monitoring the legal developments surrounding the CTA. If you have questions or need legal guidance, our law firm is here to help. Contact your FGKS attorney today.
Original Publish Date: December 30, 2024
