A federal appeals court on Thursday reinstated a lawsuit by Maryland and D.C. that alleges President Trump is illegally profiting from the presidency through his D.C. hotel, according to AP.
What's happening: A three-judge panel of the 4th U.S. Circuit Court of Appeals originally told a district court to dismiss the lawsuit, alleging the jurisdictions lacked standing to sue. But its full 15-judge court overturned that Thursday and said the panel overstepped its authority.
Why it matters: The lawsuit centers around the Constitution's emoluments clause, which forbids the president from receiving anything of value from foreign and state governments.
- It alleges the Trump International Hotel has an unfair advantage over its competitors because foreign governments have sought to use Trump-owned properties to seek favor with the president.
