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Obamacare hit by ruling, but subsidies to continue

By The Associated Press

This article was originally published July 22, 2014 at 9:48 a.m. Updated July 22, 2014 at 1:09 p.m.


President Barack Obama speaks about the My Brother’s Keeper Initiative, at the Walker Jones Education Campus in Washington on Monday, July 21, 2014. A U.S. appeals court has delivered a serious setback to President Obama's health care law, potentially derailing subsidies for many low-and middle-income people who have bought policies.

WASHINGTON — President Barack Obama's health care law is enmeshed in another big legal battle after two federal appeals courts issued contradictory rulings on a key financing issue within hours of each other Tuesday.

A divided court panel in Washington called into question the subsidies that help millions of low- and middle-income people pay their premiums, saying financial aid can be paid only in states that have set up their own insurance markets, or exchanges.

About 100 miles to the south in Richmond, Va., another appeals court panel unanimously came to the opposite conclusion, ruling that the Internal Revenue Service correctly interpreted the will of Congress when it issued regulations allowing consumers in all 50 states to purchase subsidized coverage.

The White House immediately declared that policyholders will keep getting financial aid as the administration sorts out the legal implications.

Spokesman Josh Earnest said the adverse decision in Washington would have "no practical impact" on tax credits as the case works its way through the courts.

Both cases are part of a long-running political and legal campaign to overturn Obama's signature domestic legislation by Republicans and other opponents of the law.

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RoyDaMercer says... July 22, 2014 at 10:14 a.m.

Oh darn; how are we going to insure all of these immigrants flooding into our country!

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Dontcallmenames says... July 22, 2014 at 11:41 a.m.

The press secretary just basically said screw the law and what the court said, we're going to keep giving subsidies. All hail El Presidente...he knows best!

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SUPERDUTY says... July 22, 2014 at 1:17 p.m.

Why is he and his cohorts not in jail? How are they crapping on the Constitution and Bill of Rights and getting away with it?

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DontDrinkDatKoolAid says... July 22, 2014 at 1:39 p.m.

What? There's a rule of Law?

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AmericasDoomed says... July 22, 2014 at 1:46 p.m.

Yes, but only with legal Americans. If you're an illegal alien or work for the Obama administration then the laws don't apply.

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carpenterretired says... July 22, 2014 at 1:51 p.m.

Republicans have worked to get rid of social security since FDR and failed, they have worked to get rid of Medicare since LBJ and failed now they keep working to get rid of the ACA which is the greatest healing of the sick and ministering to the poor since Medicare will they fail again?

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djigoo says... July 22, 2014 at 2:07 p.m.

Desperate move by a desperate party with a failed agenda.

Nothing new.

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Got2Kids says... July 22, 2014 at 2:38 p.m.

I think the point is not so much about the ACA, but about summarily deciding that you will NOT comply with an order of the court. The Executive branch cannot applaud certain court rulings and then decide not to follow those they don't like, period. It is not a two way street. Federal judges made this ruling, not Dems or Repubs. Praising or blaming either party for it is ridiculous. As for the ACA, no matter what side you are on it will be a few more years before the Dems can claim success or the Repubs can claim it to be a failure.

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3rdWorldState says... July 22, 2014 at 3:01 p.m.

See Pat, this is what I was talking about. Wacko Fringe nutjobs retorts. Respectfully.

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tenpoint says... July 22, 2014 at 3:07 p.m.

if the congress had their head screwed on right they would not have voted for this mess of so called insurance. it is a disgrace for congress to pass this.

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