The White House indicated Tuesday that it was ready to battle with Gov. Gavin Newsom, who has threatened to sue over UCLA grant freezes. On the line are $584 million in frozen federal funds to campus.

California Gov. Gavin Newsom has already wagged his finger at the Trump White House for demanding “ransom” and changes to the admissions and hiring policies. The federal administration, in return, would unfreeze more than $500 million in frozen federal grants.

The University of California says it is reviewing a $1 billion settlement offer by the Trump administration for UCLA after the government froze hundreds of millions of dollars in funding over pro-Palestinian protests.