Layla Reynolds, Chris Mullen, Stephenie Gosnell Handler
February 23, 2026
DOJ Takes Unprecedented Action to Enforce CFIUS Divestment Order in U.S. District Court

5 min
AI-made summary
- • On February 9, 2026, the U.S
- Department of Justice filed a federal complaint to enforce a presidential divestment order against Suirui Group Co., Ltd
- and Suirui International Co., Ltd. • The order requires the Suirui Purchasers to divest their interests in Jupiter Systems, a California-based visualization technology manufacturer, due to national security concerns. • The Suirui Purchasers acquired Jupiter Systems in 2020, and the divestment deadline was extended to February 3, 2026, but the interests have not been divested. • This is the first time the U.S
- government has sought judicial enforcement of a CFIUS-related presidential divestment order in federal court.
For the first time in CFIUS history, DOJ has filed a federal civil complaint seeking to enforce a presidential order requiring a foreign investor to divest its interests in a U.S. business.~~On February 9, 2026, the U.S. Department of Justice (DOJ) filed a complaint in federal district court requesting judicial enforcement of a presidential order requiring Suirui Group Co., Ltd. and Suirui International Co., Ltd. (collectively, the Suirui Purchasers) to divest their interests in Jupiter Systems, LLC (Jupiter Systems).
The Suirui Purchasers’ acquisition of Jupiter Systems was completed in 2020, but four years later, the Committee on Foreign Investment in the United States (CFIUS or the Committee) initiated a review of the transaction over national security concerns. In July 2025, President Trump issued an order directing the Suirui Purchasers and their affiliates to divest their interests in the California-based manufacturer of visualization technology due to significant national security risks posed by the transaction, which could not be sufficiently mitigated. Based on publicly available information, the perceived risks appear to arise from Jupiter Systems’ relationships with several government agency customers critical to national security, including the Central Intelligence Agency, National Security Agency, and National Aeronautics and Space Administration. The divestment order originally provided the Suirui Purchasers 120 days to divest all tangible and intangible equity and assets in Jupiter Systems, a deadline that was eventually extended until February 3, 2026, following two extension requests from the Suirui Purchasers. According to the DOJ complaint and accompanying press release, such interests have not yet been divested, and Jupiter Systems continues to be owned by the Suirui Purchasers.
DOJ’s February 2026 complaint seeks seven counts of relief, asking the district court for the following:~~This complaint represents the first time the U.S. government has initiated a judicial enforcement action against transaction parties who failed to comply with a divestment order under the CFIUS regulations. Courts rarely handle cases involving substantive CFIUS issues, and until now, the small handful of such cases have been initiated by the parties to a transaction subject to CFIUS review.[1]
The complaint and underlying transaction offer a few lessons for CFIUS practice:~~How the district court responds to the complaint remains to be seen, but one thing is for certain—the U.S. government appears willing to seek judicial enforcement against parties that defy its CFIUS authority.
[1] See Ralls Corp. v. Committee on Foreign Investments, et al., No. 13-5315 (D.C. Cir. 2014); TikTok Inc. v. Garland, No. 24-1113 (D.C. Cir. 2024); United States Steel Corp. et. al. v. Committee on Foreign Investment in the United States et. al., No. 25-1004 (D.C. Cir. 2025).
[2] The White House, America First Investment Policy § 2(f) (Feb. 2025), https://www.whitehouse.gov/presidential-actions/2025/02/america-first-investment-policy/ (“The United States will use all necessary legal instruments, including the Committee on Foreign Investment in the United States (CFIUS), to restrict [Chinese]-affiliated persons from investing in United States technology, critical infrastructure, healthcare, agriculture, energy, raw materials, or other strategic sectors”).~~The following Gibson Dunn lawyers prepared this update: Layla Reynolds*, Chris Mullen, and Stephenie Gosnell Handler.~~Gibson Dunn’s lawyers are available to assist in addressing any questions you may have regarding these issues. For additional information about how we may assist you, please contact the Gibson Dunn lawyer with whom you usually work, any leader or member of the firm’s International Trade Advisory & Enforcement practice group, or the authors:~~United States: Adam M. 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Layla Reynolds, Chris Mullen, Stephenie Gosnell Handler
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