The Justice Department said Friday it plans to take a dispute over the authority of a top federal prosecutor in New York to the Supreme Court after an appeals court upheld his disqualification from investigations involving state Attorney General Letitia James.

The U.S. Court of Appeals for the 2nd Circuit ruled 2-1 that John A. Sarcone III was not lawfully serving as acting U.S. attorney for the Northern District of New York when he obtained subpoenas targeting James’ office. The court upheld a lower court decision that quashed the subpoenas and disqualified Sarcone from the investigations.

The subpoenas, issued in August 2025, sought records related to James’ office’s investigations into the National Rifle Association, President Donald Trump and his family business. James challenged the subpoenas, arguing in part that Sarcone lacked the legal authority to issue them.

“We disagree with the court’s decision, and intend to take this case to the Supreme Court,” the Justice Department said in a statement posted to its rapid response account on X.

Sarcone was initially appointed interim U.S. attorney in March 2025 for a 120-day term. After that period expired and district judges declined to extend his tenure, then-Attorney General Pam Bondi appointed him as a special attorney and first assistant U.S. attorney, allowing the administration to designate him acting U.S. attorney under the Federal Vacancies Reform Act.

Biden appointee Maria Araújo Kahn and Clinton appointee Guido Calabresi formed the majority, while Judge Michael Park, a Trump appointee, dissented in a separate opinion. 

The appeals court rejected that arrangement in its 27-page ruling, finding the vacancies law allows a first assistant to automatically assume an acting position only if that person was already serving as first assistant when the vacancy occurred. 

“Designating a First Assistant after the vacancy is not automatic succession at all; it is a deliberate and discretionary choice made without any of the criteria Congress enacted,” the opinion said.

The ruling represents another setback for the Trump administration’s efforts to install preferred federal prosecutors without Senate confirmation. On Monday, an appeals court also ruled that Sigal Chattah was unlawfully serving as Nevada’s acting U.S. attorney. A federal appeals court also previously found that Alina Habba had been unlawfully serving as New Jersey’s top federal prosecutor.

Casey Gannon contributed to this report.

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