Tag Archives: Affordable Care Act

Supreme Court — Thursday Blockbusters

Normally, at this time of the year, I am posting a look at the big cases to be decided in the last two to three weeks.  I got a little delayed this year by the redistricting posts, and  The Supreme Court beat me to the punch by releasing two of the biggest opinions of the term  — Texas vs. California and Fulton vs. Philadelphia.  

Texas is the latest, and hopefully last, round of the Republicans attempts to use the courts to accomplish what they can’t do in Congress — repeal the Affordable Care Act.  The latest theory was that, by repealing the tax penalty that is part of the individual mandate, Congress effectively repealed the entire Affordable Care Act.

Understanding the issues in the case requires a brief detour into the back history of the case and some basic things that most lawyers learn in law school (but which the dissent kindly forgets).  Before the New Deal, there were a lot of doctrines that a conservative Supreme Court used to block progressive legislation.  And, as will be discussed in the post on the remaining cases, it is important to understand that many in the Federalist Society think that the “Old Court” got it right and oppose the changes that the Supreme Court made in the 1940s to those doctrines.  One of those changes was a much broader definition of the power of the federal government to regulate economic matters under the Commerce Clause.  And when the Affordable Care Act was enacted, most thought that the individual mandate was authorized by the Commerce Clause.  And when the Republicans first challenged the individual mandate, the defense of the mandate relied, in part, on its significance in the overall scheme.  Unfortunately for the future of the Affordable Care Act, when the Supreme Court first analyzed the Affordable Care Act, the Chief Justice sided with the conservatives on the Commerce Clause issue but was willing to find that it was authorized as a tax.  When Republicans managed to repeal the tax in 2017, conservatives saw an opportunity to use that repeal to take a second run at the individual mandate and the Affordable Care Act. Continue Reading...

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Affordable Care Act Back at the Supreme Court

Now that we know that our long national nightmare is almost at an end, it’s time to return to looking at the mess that he has left behind.  And on Tuesday, the Supreme Court will be looking at one of the messes that Trump created — the continued validity of the Affordable Care Act.

While the exact issue arises from the “Cut Trump’s Taxes” tax legislation passed in 2017 by some very unusual procedural maneuvers, the core of the issue comes from the Court’s decision upholding the Affordable Care Act, in part, in 2012.   Extreme conservative lawyers are partially right about that decision.  It was an atrocious decision, but not for the reasons identified by the far right.

For seventy-five years, from 1938 to 2012, the Supreme Court had taken a very expansive view of the Commerce Clause (which allows the federal government to regulate interstate and foreign commerce) and the Necessary and Proper Clause (which allows the federal government to pass legislation that is related to the fields expressly allocated to the federal government).  This interpretation is what allows the federal government to criminalize the growing of marijuana for personal use or street level drug offenses.  Somehow, the Supreme Court decided that even though people with health insurance (or without health insurance) may travel in interstate commerce and have to use that insurance in other states, the individual mandate was not authorized by either the Commerce Clause or the Necessary and Proper Clause.  Now, if the Supreme Court had struck down the Affordable Care Act (requiring the average American to purchase health insurance), Congress would have had to turn to an alternative like a single payer system.  So, the Chief Justice wanting to both deliver a victory for the far right (by selectively restricting the scope of the Commerce Clause) without destroying the insurance industry found an alternative justification for the Affordable Care Act — classifying the individual mandate as a tax authorized by Congress’s power to raise taxes. Continue Reading...

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The Confirmation Hearings

In the past five years, we have seen the Turtle (Senator Mitch McConnell) go from the unprecedented blocking consideration of a Supreme Court nomination made eight months before an election change into the Hare trying to force an unprecedented vote on a Supreme Court nomination made after Labor Day prior to the election.  While the Senate did not have to approve the nomination of Merrick Garland in 2016, the very rules that the Republicans are relying on now to justify their consideration of Amy Coney Barrett mandated giving Judge Garland a hearing and a vote (at least a procedural vote).   And given the modern procedures, giving Judge Barrett a vote before the election requires cutting the process short.  The simple fact is that conservative Republicans are trying to pack the court.  While, barring some type of miracle, Democrats will not be able to prevent a vote from taking place before the election, there are some issues that should be front and center at the confirmation hearings that will take place this week.

At the top of the list is health care.  While the nominee will probably try to evade the question, it is important to make crystal clear that — if confirmed on the current schedule — Judge Barrett may be the one vote that removes the current protection for people with preexisting conditions.  In the November argument session, the Supreme Court will consider the constitutionality of the Affordable Care Act.  This case arises from the 2012 decision upholding the Affordable Care Act.  In that decision, after rewriting the law to avoid finding that the Affordable Care Act was authorized by the impact on interstate commerce, the 5-4 majority found that the individual mandate was authorized as a tax.  When the Republican Congress failed to repeal the entire act but did repeal the tax, Texas and other red states filed the current suit alleging that the repeal of the tax also repealed the individual mandate and the rest of the Affordable Care Act.

While Judge Barrett will probably try to avoid talking about the merits of the case (as she will be sitting on the Supreme Court when this case is heard), she should be at least forced to explain her approach to one of the key issues in the case.   That issue is “severability.”  Stripped of legal jargon, severability is about whether one invalid clause in a bill or statute requires the courts to reject the entire bill.  Under most of the recent decisions, there is no plausible basis for the Supreme Court to strike the entire Affordable Care Act because Congress expressly decided to repeal one part and leave the rest intact. Continue Reading...

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October Term 2020 — Supreme Court Preview (Part One)

Last night, Justice Ruth Bader Ginsburg lost her fight against cancer.  In the upcoming days, much will be written commemorating her long fight for justice.  Much will also be written about the politics of appointing her replacement (and I will almost certainly be putting in my two cents).  But very little pauses the Supreme Court calendar, and the Supreme Court’s term effectively begins next week when the justices will meet (either with appropriate social distancing in a large conference room or via teleconferencing) for the annual “long” conference that reviews all of the applications for review that have piled up over the summer.  The following week — on the First Monday in October — the Supreme Court will commence hearing argument on this term’s cases.

Before starting a look at the cases on the docket, three key things to note.  First, until the Ginsburg vacancy is filled, there will only be eight justices on a case (barring a recusal).  That creates the possibility of a 4-4 tie.  In the case of a 4-4 tie, there are two options.  On the one hand, the Supreme Court can “affirm by an equally divided court.”  Such a decision leaves the lower court ruling in place for the parties involved in the case, but is not a precedent for future cases.  On the other hand, the Supreme Court can set the case for re-argument when there is a full court.  It is really up to the justices to decide which option to take.   Second, who ultimately fills the vacancy will impact the outcome of a small number of cases, but those cases tend to be the most significant.  Third, at least for the October argument session (the Supreme Court term typically consists of seven argument sessions of two weeks each) and probably for most of this term, the Supreme Court will be holding its arguments by teleconference with each justice, taking turns by seniority, getting approximately three minutes per party to ask questions to the attorney.  The audio from these arguments will be livestreamed by several news organizations.

October is likely to be the calm before the storm.  Back last Spring, the Supreme Court had to cancel the March and April argument sessions.  The Supreme Court decided to hold a special May argument session, but only put the most important (and politically sensitive) cases into that argument session.  That left about half of the cases that would have been heard in March or April on the docket.  Those cases are being heard in October.  The biggest case in October is probably the first case up for argument — Carney v. Adams.  This case arises from Delaware.  Delaware requires that judges on the top three courts be balanced with no more than a one-judge majority for either major party with the other judges coming from the other major party.  So, on a seven judge court, there would likely be four Democratic judges and three Republican judges.   The claim presented to the Supreme Court is that conditioning eligibility for a judicial vacancy on an applicant’s partisan affiliation violates the First Amendment rights of potential judicial applicants. Continue Reading...

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Pardon this Interruption

Pardon this interruption to the viewing of tonight’s speeches from President Obama and Senator Harris, but the United States Supreme Court has, in its unintentional way, given us a reminder about what this election is about.

Today, the United States Supreme Court announced its November argument session.  That session begins on November 2, the day before the election, and continues until November 10.   (While the argument session usually has six argument days, the last day would fall on Veteran’s Day; so there will only be five argument days.)

While the United States Supreme Court normally tries to avoid doing anything overtly political on election day, this year’s docket brings political issues to the center more than some on the Court would probably like.  While one of the two cases being heard on election day is a typical federal criminal law statutory dispute of the type that puts non-lawyers to sleep, the other case (Jones vs. Mississippi) is a continuation of the Supreme Court’s examination of what sentences are appropriate for juveniles tried as an adult. Continue Reading...

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Religious Freedom (for some) — Supreme Court Overtime Edition 2

The big news out of the Supreme Court today is that Thursday is the last opinion day of the court.  Under normal practice, the justices would hold a public session in their courtroom to announce the opinions.  Opinions would be announced in reverse order of seniority (with some exceptions for companion cases) with the justice who wrote the opinion reading a brief summary of the opinion and (sometimes) a dissenting justice reading a statement as well (but such a statement is a rare event).  With the Supreme Court not being open to the public (and no public information office handing out copies to reporters), the opinions are merely being posted on-line but at roughly the same pace (one every ten minutes) as would be true if the Supreme Court was actually proceeding as normal with the opinions being released in the courtroom.  As we have already seen this term, sometimes the Supreme Court’s website  is not quite up to the traffic associated with a major opinion.  But, if you wish to go to www.supremecourt.gov at 10am EDT and repeatedly refresh, you can see the opinions as they are being released.   As discussed further below, my expectation is that the Chief Justice will have one of the two (or maybe both) of the Trump tax cases.  If that is the case, I would expect the Oklahoma opinion to be released at 10 (regardless of who has the opinion) followed by two Trump tax cases at 10:10 and 10:20., but there is a chance of one of the two Trump tax cases at 10:00 followed by the Oklahoma case at 10:10 and the Chief Justices opinion at 10:20.  It all depends on how closely connected the holding in the two Trump tax cases are.

Today, the Supreme Court released the two remaining “religion” cases.  The first case, written by Justice Alito, concerned the “ministerial exception” as it applies to school teachers.  The ministerial exception has its roots in the Free Exercise Clause.  Basically, under the Free Exercise Clause, the government has no power over the religious leaders of a religious organization.  Courts only play a limited role in deciding intra-faith disputes and only when the issue to be resolved is a secular matter like which group of opposing claimants to leadership actually has title to the assets of a religious organization (including the right to use the name).  Today’s case, however, takes the exception to (and arguably past) the breaking point.  The issue is whether teachers at a parochial school are covered by the ministerial exception.  On the one hand, teachers at a parochial school — especially an elementary school where one teacher handles all subject matters — do teach some religious materials and are expected to comply with a code of conduct.  On the other hand, many parochial schools — while having a preference that teachers belong to the same sect that runs the school — do not expressly mandate that teachers are members of the religious group running the school.  The majority — in a 7-2 decision — essentially held that all teachers in religious schools are minister based solely on the school’s assertion that it views them as ministers and that the decision to fire was based on non-religious grounds.  As the purpose of the ministerial exception is to avoid courts from having to decide whether a particular minister is sufficiently “orthodox,” this broadening of the exception is significantly divorced from the purpose behind the exception.   In this consolidated case, the two teachers claimed that they were fired based on age (violating the law against discriminating based on age) and medical condition (breast cancer, violating the laws governing medical leave).  The schools — while asserting an absolute bar to proceeding on the merits due to the ministerial exception — asserted that they were fired because they were not good teachers.  In short, religious issues had nothing to do with the case, and a court could have decided which secular reason was the main motivating factor in the decision to fire these two teachers.

The other case involved the contraception mandate.  Amazingly, the majority opinion by Justice Thomas only made a passing reference to the Religious Freedom Restoration Act.  Instead, the gist of the opinion was whether the Affordable Care Act gave the government discretion to create a religious exemption to the contraception mandate.  Technically, the majority opinion does not resolve the final issue of whether the current regulation is valid.  Instead, it merely held that the Affordable Care Act granted the government the discretion to create an exception for religious groups (and private companies) with moral objections to the mandates and that the government complied with the procedural requirements of the Administrative Procedure Act.   The case is sent back to the lower court to decide if the regulation was adequately supported by the administrative record.  (Which means that the future of the contraceptive mandate and this religious exemption depends on the results of the election.) Continue Reading...

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Political Robocalls and Faithless Electors — Supreme Court Overtime Edition 1 (UPDATED — 7/8)

On Monday, the Supreme Court went into what is essentially overtime.  We are now the latest for issuing opinions since 1974 (the year of Watergate) when the last opinion from the regular term was issued the day after the Supreme Court heard the Watergate arguments.  It is unlikely that we will reach that July 25 date this year, but anything is possible.  (Given that the Watergate opinion is a key precedent on the still pending Trump Organization subpoena cases, the poetic irony has to be appreciated.)  We do have a second opinion day this week scheduled for Wednesday; so potentially Wednesday could be the last day or there could still be additional opinion days to come.  (With five cases still outstanding, getting all five on Wednesday would be somewhat surprising given the pace of opinions so far this term, but anything is possible, but there already has been one five-opinion day this term.)

Monday’s two opinions both concerned the process of elections.  On the one hand, the Barr case was brought by the lobbying group for political consultants challenging the barriers that the federal robocall statute places to even more repetitive phone calls from campaigns.  On the other hand, the Chiafalo case (and the companion case from Colorado) involves the very rules governing the conduct of the electors chosen by the various states to actually cast the “real” votes in the presidential election.

In the long run, Barr may be the more important of the two.  The federal robocall statute dates back to the early 90s (and, yes, it has been close to an utter failure).  In 2015, Congress amended the statute to pass an exception allowing the federal government to have people make robocalls seeking to collect debt owed to the government.  Some political consultants and other groups saw this amendment as an opening to raise a First Amendment complaint against the robocall statute.  The bottom line of this decision is they won the battle, but lost the war. Continue Reading...

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Supreme Court — The COVID-19 Term (Updated)

In normal years, the Supreme Court would probably have wrapped up business for the term by now.  It has been a long time since the last time that the Supreme Court was still issuing opinions in an argued case after June.  There is still a chance that the Supreme Court might finish this term by June 30, but we are getting mixed messages from the court.  (I do expect to see opinions in all of the cases before the Supreme Court recesses, but there is a chance that some cases could be set for reargument in the fall.)

On the one hand, we have yet to get any opinions from the May arguments.  While the May arguments were two weeks later than the usual time for the April arguments, it is usual to have some of the April opinions by the early part of June.  We also have not seen the pace of opinions pick up.  In the last weeks of the term, it is not unusual to see three or more opinion days per week, and multiple opinions on each opinion day.   At the present time, while we have had second opinion days for the last two weeks, we have only gotten a total of five opinions over the last two weeks (as opposed to the more usual eight to ten opinions per week).  And the Supreme Court has only announced two opinion days for this upcoming week.

On the other hand, the Supreme Court has announced that they will have a conference on Wednesday and release orders on Thursday (rather than the normal Monday order day).  That sounds like Wednesday could be the “wrap-up” conference. Continue Reading...

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The Supreme Court and the Affordable Care Act

A continuing story of the past decade has been the multiple rounds of litigation involving the Affordable Care Act.  While politicians have been discussing next steps (Medicare for All, Public Option, Repeal & Replace, etc.), businesses and states and other groups have been fighting out particular provisions in the courts.  Between this term and the next, there are three significant cases (or sets of cases to be more accurate) involving particular aspects of the Affordable Care Act.  One — decided this past week — involved the attempt of Congress to cut off the payments to insurance companies by not appropriating the money for those payments.  The second — to be argued in the May teleconference center — is the latest round of the fight over how to cover contraceptives for employees of those who object to contraceptives on moral grounds.  The final — probably to be argued after the election — concerns the impact of reducing the penalty for violating the individual mandate to $0.

When the Affordable Care Act passed, it included a provision intended to make participation in the exchanges less risky for insurance companies during a transition period.  It did this by creating a mechanism for making payments to insurance companies if the premiums that those companies charged were insufficient to cover claims.  This program was funded in part by requiring the insurance companies that overcharged to pay in part of the excess.  However, before the transition period ended, Congress — in its annual appropriations bills — expressly barred any tax dollars from being used to cover these payments.  The issue in the case was whether — due to the mandate in the Affordable Care Act — the government still owed the insurance companies the money promised by the statutory formula notwithstanding the refusal of Congress to appropriate the money.  In an 8-1 decision, the Supreme Court decided that the insurance companies had a legally enforceable claim against the government.  While this decision is a small defeat to the Republican attempt to frustrate the working of the Affordable Care Act, the reasoning in the decision may be useful in the much bigger case to be heard next term.

One part of the argument in the forthcoming case is that, by repealing the penalty on the individual mandate, Congress not only repealed the individual mandate but effectively repealed the entire Affordable Care Act.  Technically, the argument is that the individual mandate is now unconstitutional (because the Supreme Court upheld it under the taxing power and there is no tax now), and that the rest of the Affordable Care Act is not “severable” from the individual mandate.   One of the arguments in the case decided this week was that the language in the appropriations bills barring payments to insurance companies implicitly repealed the mandate for those payments in the Affordable Care Act.    In its discussion of that argument, the Supreme Court noted the general rule that courts rarely find that the language in one act constitutes an implied repeal of a different statute.  Under this rule, unless the two acts are so contradictory that one must prevail over the other, courts will find ways to give effect to both laws. Continue Reading...

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Supreme Court October 2019 Term — COVID 19 Reset

As with other institutions of government, COVID 19 has caused a degree of chaos in the court system.  The judicial system requires a degree of interaction between parties and judges, and social distancing requires finding new ways to handle these interactions.

The Supreme Court, like every other judicial institution, has had to find ways to cope.  Of course, the Supreme Court has been a notoriously slow institution to adapt to modern technology.  It was the last federal court to accept electronic filing.  As recently as a few years ago, everything but emergency petitions were filed by mailing (or having somebody personally deliver them) to the Supreme Court.

As this site has discussed over the years, the Supreme Court is what lawyers call a discretionary court.  That means that, with a limited number of exceptions, a party has to request that the Supreme Court take a case (the formal name for the request is a petition for writ of certiorari).  The Supreme Court then decides if it wants to hear the case.  So most of the decisions of the Supreme Court are decisions to not take a case.  There are also two small categories of cases in which the Supreme Court takes and immediately decides the case — both involving a reversal of the lower court.  One category is frequently referred to as “grant, vacate, and remand.”  Those cases typically involve an issue that the Supreme Court decided while the application for review is pending.  In these cases, the Supreme Court grants review, vacates the decision on that issue by the lower court, and remands (sends the case back) for the lower court to reconsider in light of the recently decided Supreme Court case on the issue.  The other is summary reversal.  These cases typically involve the unanimous conclusion that the lower court simply ignored the prior decisions of the Supreme Court.    But every year, the Supreme Court decides that it wants to fully hear approximately 70 cases per year (representing about 1% of the applications that the Supreme Court receives). Continue Reading...

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