Federal Reserve governor Lisa Cook filed a lawsuit against President Donald Trump Thursday over her firing, setting up a legal battle with major implications for the independence of the central bank.

The lawsuit, filed in federal court in Washington, D.C., has the potential to make its way to the Supreme Court. Through it, Cook seeks an injunction to stop Trump's attempt this week to fire her over allegations that she committed mortgage fraud.

Cook is challenging Trump’s legal authority to fire her. Through her lawyer, she contends that Trump’s attempt to show cause subverts the Federal Reserve Act. The lawsuit said that an “unsubstantiated allegation about private mortgage applications” doesn’t meet that burden.

“This case challenges President Trump’s unprecedented and illegal att

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