Federal Reserve governor Lisa Cook filed a lawsuit against President Donald Trump on Thursday, marking the start of a significant legal conflict over what she describes as Trump’s “unprecedented and illegal” actions to remove her from the Federal Reserve and its rate-setting committee.

Cook is also requesting an “emergency temporary restraining order, to remain in effect until such time as the Court can further consider the merits of her claims.”

In her legal action, Cook is seeking a “declaration that President Trump’s August 25, 2025 purported firing … is unlawful and void and that Governor Cook remains an active member of the Board of Governors of the Federal Reserve.”

Cook is also asking for a court declaration stating that “an unsubstantiated allegation of mortgage fraud prior to a Governor’s confirmation is not cause for removal.” Trump has attempted to dismiss her based on allegations first made by Bill Pulte, Director of the Federal Housing Finance Authority, on Aug. 20.

Cook is the first Black woman to serve on the board of the central bank, which is regarded as the world’s most influential. She has not been charged with any crime.

According to the Federal Reserve Act, Federal Reserve governors can only be removed for “cause,” which implies some form of wrongdoing. Trump’s letter to Cook indicated that the administration suspects she “may have made false statements on one or more mortgage applications.”

“The ‘for cause’ standard is not defined in the [Federal Reserve Act], but statutes establishing the standard for other independent agencies expressly limit cause to the standard that … there must be a specific finding of ‘inefficiency, neglect of duty, or malfeasance in office,'” Thursday’s filing states.

“President Trump did not purport to remove Governor Cook for ‘inefficiency, neglect of duty, or malfeasance in office,’ or for any actions that were carried out in the course of her official duties.”

Cook’s lawsuit also names the Federal Reserve Board of Governors and Chair Jerome Powell as defendants because the lawsuit says they are required to take action to effectuate a lawful removal order from the president.

The Fed, in a statement on Tuesday, said “Lisa Cook has indicated through her personal attorney that she will promptly challenge this action in court and seek a judicial decision that would confirm her ability to continue to fulfill her responsibilities as a Senate-confirmed member of the Board of Governors of the Federal Reserve System. As always, the Federal Reserve will abide by any court decision.”

The Fed did not immediately respond to a comment on Cook’s filed lawsuit on Thursday.

The White House said Trump “exercised his lawful authority to remove a governor on the Federal Board of Governors for cause.”

Her lawsuit also says that “an independent Federal Reserve is essential for a stable economy.”

“An independent Federal Reserve also prevents presidential administrations from using monetary policy for self-serving political ends in other ways, such as ensuring the government cannot simply print more money to finance debt. This practice, when unchecked, can lead to economic collapse and hyperinflation,” her case goes on to say.

The lawsuit notes that a recent Supreme Court decision made clear that the Fed is a “uniquely structured, quasi-private entity” that has its own distinct historical tradition.

“Allowing the President to remove members of the Board over policy disagreements would also render illusory the Board’s independence,” the suit adds.

Trump’s attempted removal of Cook and Pulte’s allegations are the latest moves in an unrelenting pressure campaign against the Fed, Powell and now Cook. Trump has sought lower interest rates since before he took office for a second term and has attacked Powell and the Fed’s rate-setting committee on an almost constant basis.

Trump has said the board should be “ashamed” of itself and has fired off dozens more insults at Powell in interviews and on social media, calling him everything from “stupid” to someone who “hates me” and a “low IQ” person.

Cook’s lawsuit cites Trump’s long history of attacks against the Fed and the president’s many threats this year to fire Powell.

Pulte’s allegations against Cook closely echo similar unsubstantiated claims against other top Democrats.

“Each of Director Pulte’s criminal referrals have notably been, at one time or another, political targets of President Trump’s ire prior to any mortgage fraud allegations,” Cook’s lawyers write.