President Donald Trump officially nominated Alina Habba, his former personal lawyer, to serve a full four-year term as U.S. Attorney for the District of New Jersey in early July 2025. The nomination faced opposition from New Jersey's two Democratic senators, who stated that Habba "does not meet the standard to serve." Despite the nomination, a panel of federal judges in New Jersey declined to permanently appoint Habba, instead appointing Desiree Leigh Grace as U.S. Attorney effective June 22, 2025. Following the court's decision, Trump withdrew Habba's nomination but appointed her as First Assistant in the district, enabling her to continue as Acting U.S. Attorney for up to 210 days. The Justice Department cleared the way for Habba to remain in her role, employing a legal maneuver to extend her tenure temporarily. However, this extension sparked legal challenges, including a motion filed by a criminal defendant questioning the legality of Habba's authority as acting U.S. Attorney. This challenge led to the suspension of federal court hearings, grand jury proceedings, and plea deals in New Jersey amid concerns about the legitimacy of her appointment. A federal judge in Pennsylvania, Matthew Brann, was assigned to consider the dispute due to conflicts of interest among New Jersey judges. The controversy highlights ongoing tensions between the Trump administration's efforts to retain Habba and judicial scrutiny over the procedural legitimacy of her appointment.