Legal News for Tues 1/7 - Trump's Failed Bid to Delay Sentencing, US Steel Sues Over Blocked Merger with Nippon, Congress Peacefully Certifies Trump's Victory

Minimum Competence

This Day in Legal History: US Recognizes Castro Government

On January 7, 1959, the United States formally recognized the new Cuban government led by Fidel Castro. This recognition followed the revolutionary forces' ousting of Cuban dictator Fulgencio Batista on January 1, 1959. The U.S. move reflected an initial acceptance of the political change in Cuba, as Batista's regime had become widely criticized for corruption and authoritarianism. Castro's rise to power was initially seen by some in the U.S. as a potential opportunity for reform and modernization in Cuba. However, underlying tensions between the two nations soon began to surface.

As Castro consolidated power, his government initiated sweeping land reforms and began nationalizing industries, including those with significant American investments. These actions created friction with U.S. business interests and policymakers. By 1960, relations deteriorated further when Cuba aligned itself with the Soviet Union, entering the Cold War as a communist ally. The U.S. responded with economic sanctions, including a trade embargo, which severely strained diplomatic ties.

The growing ideological divide culminated in January 1961, when President Dwight D. Eisenhower severed formal diplomatic relations with Cuba. Shortly thereafter, the failed Bay of Pigs invasion and the Cuban Missile Crisis deepened hostilities. The recognition on January 7, 1959, marked the beginning of a complex and adversarial relationship that would define U.S.-Cuban interactions for decades. This moment remains a pivotal turning point in the history of both nations, highlighting the geopolitical struggles of the Cold War era.

Former President Donald Trump lost a bid to delay his sentencing in the Manhattan hush money case, despite his legal team's arguments citing presidential immunity and his upcoming January 20 inauguration. Judge Juan Merchan, who previously scheduled sentencing for January 10, rejected the request, stating that Trump’s motion repeated past arguments and emphasizing the need for finality in criminal proceedings. The judge noted he was not inclined to impose jail time, instead considering an unconditional discharge, which would mark a conviction without additional penalties.

The case involves a $130,000 payment made by Trump’s former lawyer, Michael Cohen, to adult film actor Stormy Daniels to silence her claims of an affair with Trump before the 2016 election—a claim Trump denies. Trump was found guilty in May 2024 on 34 felony counts of falsifying business records related to concealing this payment. His lawyers' appeals to dismiss the case, including citing the Supreme Court's ruling on presidential immunity for official acts, have been rejected as the charges pertain to Trump’s personal conduct.

Prosecutors argued against the delay, stressing the public interest in timely prosecution. This case marks the first time a U.S. president, sitting or former, has been convicted of a crime. Trump's legal team previously claimed that the case impedes his ability to govern, but the court maintained that upholding the jury's verdict is vital to the rule of law.

Trump loses bid to delay sentencing in hush money case as he appeals | Reuters

U.S. Steel and Nippon Steel have filed lawsuits against President Joe Biden's administration over its decision to block Nippon Steel's $14.9 billion bid to acquire U.S. Steel, alleging the national security review process was politically influenced. The companies claim Biden prejudged the outcome to gain political favor with the United Steelworkers (USW) union ahead of the presidential election, violating their right to a fair review. They seek a federal court's intervention to overturn the decision and enable a new, impartial review.

The merger was controversial, with both Biden and former President Donald Trump opposing the deal to keep U.S. Steel American-owned. Biden's administration cited national security concerns, while the companies argue the Committee on Foreign Investment in the U.S. (CFIUS) failed to conduct a proper review. U.S. Steel and Nippon Steel also filed a separate lawsuit against rival Cleveland-Cliffs, its CEO, and the USW for allegedly colluding to block the deal and monopolize the domestic steel market.

The lawsuits accuse CFIUS staff of barring negotiations on a security agreement and allege the review process was manipulated to align with Biden’s predetermined opposition. Cleveland-Cliffs CEO Lourenco Goncalves and the USW deny the allegations, calling the lawsuits baseless. Despite Biden's decision, U.S. Steel’s stock rose, as the company remains an attractive acquisition target amidst falling profits and revenues.

U.S. Steel, Nippon sue Biden administration over decision to block merger | Reuters

On January 6, Congress officially certified Donald Trump’s 2024 presidential election victory without objections, marking a stark contrast to the events of January 6, 2021, when a mob stormed the Capitol to disrupt the certification of Joe Biden's victory. Kamala Harris, the outgoing vice president and Trump’s defeated Democratic opponent, presided over the ceremony, emphasizing the "sacred obligation" of the peaceful transfer of power in American democracy.

Security at the Capitol was unprecedented, with heavy fortifications, bomb squads, snipers, and reinforcements from law enforcement agencies across the country. However, the atmosphere outside was calm due to a massive snowstorm that emptied the streets of Washington, D.C.

During the session, Harris received state certifications of electoral votes and announced Trump’s 312-vote victory total. Unlike the contentious 2020 certification process, no Democratic lawmakers objected. Trump decisively won both the popular vote and key swing states, defeating Harris, who had replaced Biden as the Democratic nominee after his withdrawal.

The 2024 certification was designated a "national special security event," reflecting lessons learned from the violent 2021 attack. That event, which left numerous police officers injured and one dead shortly after, remains a symbol of threats to democracy. Trump, now reelected, has vowed to pardon those convicted in the 2021 Capitol attack, describing them as "patriots."

Trump Declared Election Winner in Ceremony Four Years After Riot

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