"De-banking" is just the trigger? Trump sues Dimon as decade-old feud resurfaces
U.S. President Donald Trump has launched a legal offensive against one of Wall Street's most influential figures. Although this $5 billion lawsuit ostensibly concerns banking access, in reality it represents yet another fierce clash in the complex, decade-long relationship between two strong personalities.
On January 22 local time, Trump sued JPMorgan Chase and its CEO Jamie Dimon, accusing America's biggest bank of illegally "debanking" his businesses due to political motives and blacklisting them, thereby blocking access to other lenders. Speaking to reporters on Air Force One, Trump said:
"They’re not allowed to do that—what Dimon did, he’s not allowed to do that."
JPMorgan Chase responded, stating the company follows federal regulations that require banks to “close accounts that pose legal or regulatory risk to the company.” Like other banks, JPMorgan withdrew business support to Trump in the weeks following the January 2021 Capitol attack by his supporters. JPMorgan expressed support for the Trump administration’s recent efforts to improve banking laws and prevent "weaponization of the banking industry."
The lawsuit marks the latest rift in Trump’s relationship with Wall Street. Following Trump’s tax cuts and deregulation, which brought U.S. banks one of the most profitable years in history, he has recently launched a series of attacks on financial institutions—including calls to drastically cut credit card interest rates to levels that could severely impact earnings. Dimon, a veteran industry figure who long played peacemaker between Wall Street and the White House, now finds himself the target of a presidential lawsuit.
“Debanking” Accusations and Regulatory Struggles
The suit is filed by lawyer Alejandro “Alex” Brito, who previously assisted Trump in lawsuits against major media outlets. The complaint alleges that Dimon and his "woke" Wall Street institution severed ties with Trump’s business empire after his first term for political reasons.
In response, JPMorgan points out it's following federal rules intended to avoid reputational risk. Previously, under Comptroller Jonathan Gould, the Trump administration’s OCC found that major lenders had restricted services or imposed stricter review on certain clients between 2020 and 2023, citing “improper discrimination.” The FDIC now proposes a regulation expressly barring examiners from pressuring banks to close accounts for political or social reasons. JPMorgan says it has repeatedly requested government initiatives to revise the rules that landed it in its current predicament.
Such legal battles are not unique. Trump’s group has previously sued Capital One Financial Corp., alleging it closed hundreds of accounts after his first term ended, damaging his real estate business. Capital One denied wrongdoing, claiming it did not consider political factors and had provided additional time to transfer assets.
From Allies to Rivals: A Decade of Evolving Relations
This lawsuit brings the decade-long feud between Trump and Dimon to a climax. Their relationship over the past ten years has swung through episodes of cooperation, confrontation, and final rupture.
During the 2016 election, Dimon hinted Hillary Clinton would win, but after Trump’s victory quickly adjusted his stance, urging business to respect voters’ desire for change. Dimon joined Trump’s CEO advisory board, and at the 2017 Davos Forum urged business leaders to focus on “very serious people” in the president’s team rather than Trump’s “wisecracks.” However, the brief honeymoon ended after the Charlottesville racial violence in summer 2017, leading to the dissolution of the CEO advisory board. Dimon told employees there was “no room for ambiguity here.”
Their hostilities became public in late 2018. Dimon declared he could beat Trump in an election since he was “smarter” and “tough like Trump.” Dimon also mocked, “This wealthy New Yorker earned his money, not from daddy’s gifts.” Though Dimon apologized, Trump hit back on social media, saying Dimon lacked talent, “isn’t smart,” and is a “terrible speaker” and a “nervous wreck.”
During the January 6, 2021 Capitol riot, Dimon called for a peaceful transition of power, and banks including JPMorgan subsequently distanced themselves from Trump—now the impetus for the current “debanking” lawsuit.
As the 2024 presidential campaign heats up, their relationship seemed for a moment to improve. Dimon said Trump was “a little right” on some policy issues; in June Trump said he would consider Dimon for Treasury Secretary if elected, though weeks later he denied it.
After his election win, Trump declared on social media that he would not invite Dimon to join his cabinet. Mere minutes later, Dimon replied at a conference:
“I haven’t had a boss in 25 years, and I’m not about to start now.”
Davos Response and Mutual Positions
As news of the lawsuit broke, Dimon was wrapping up his visit to the World Economic Forum in Davos. Pressed by the media about Trump’s legal action, Dimon appeared notably calm.
On the Davos stage, Dimon attempted to balance his comments on Trump’s recent actions. He said that some of Trump’s actions might lead to a stronger NATO and Europe, but others not. When The Economist’s editor-in-chief pressed executives about a culture of fear around Trump, Dimon bluntly replied:
“What do you want me to say? Get ready, here’s your headline: I am a globalist.”
Meanwhile, on Air Force One, when asked about the lawsuit, Trump claimed Dimon had “begged” him, though he gave no details of when or about what. JPMorgan and other institutions named in related suits deny wrongdoing and are preparing to contest the charges in court.
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