Ford Faces Class-Action Suit Over $1.3 Billion Tariff Refunds

A San Diego resident and Mustang Mach-E owner, Jason Bullock, filed a proposed class-action lawsuit against Ford Motor Company in a Michigan federal court. The suit alleges that Ford improperly passed the costs of tariffs—including a 25-percent fee on imported vehicles and parts implemented in April 2025—to consumers through higher base prices and destination charges between March 2025 and February 2026.

Following a February 2026 ruling by the Supreme Court of the United States, which determined that tariffs imposed under the International Emergency Economic Powers Act were illegal, the federal government began issuing refunds to impacted companies. Ford expects to receive approximately $1.3 billion in these rebates. The lawsuit argues that because customers absorbed the initial price increases, the company is receiving a double recovery by keeping both the consumer payments and the government refunds.

Ford has maintained that customers who paid tariff-related markups will not be reimbursed. Similar legal challenges have been initiated against other corporations, including Amazon, Costco, and Nike. Additionally, General Motors stated it will not refund customers for tariff-related price increases.