Parallel Lawsuit Over Indirect Costs Also in Play
This is not NIH’s only courtroom skirmish. A separate lawsuit—filed in February and led by 22 states—challenges NIH’s move to cap indirect research costs at 15%, a cut expected to save $4 billion but potentially gut university funding for labs, utilities, and equipment.
In that case, another Massachusetts judge also blocked the cuts, with the federal government currently appealing to the First Circuit.
What’s Next?
With legal pressure mounting, federal agencies including HHS and the White House declined to comment on the ongoing litigation. Meanwhile, the fate of billions in research funding now hinges on further court rulings and a fast-moving appeals process.
