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Consumer Affairs

Another Court Rules Against Health Care Law

Judge in Florida declares Individual mandate unconstitutional


The U.S. District Court for Northern Florida has overturned the national health care law passed by Congress last year. The ruling follows similar action by a federal judge in Virginia late last year.

Senior U.S. District Court Judge Roger Vinson's order granted a motion by 26 states asking for a summary judgment, finding the new law unconstitutional. The Obama administration has announced that it will appeal the judge's ruling.

"Today's ruling is a victory for federalism," Colorado Attorney General John Suthers said. "The judge's well-reasoned order clearly lays out why the individual health insurance mandate included in the president's health care overhaul law far exceeds the bounds of the federal government's enumerated powers."

Second ruling against the law

Vinson is the second judge to rule that the individual mandate and Congress's ability to penalize consumers for their economic inactivity --not buying a product or service it deems beneficial -- goes beyond the powers granted to the federal government in the Commerce Clause of the U.S. Constitution.

"This ruling and other decisions from across the country all but assure that this critical constitutional question will eventually be heard by the U.S. Supreme Court," Suthers said. "This ruling also rebuts the contention among critics of the lawsuit that this question is somehow frivolous or without merit. To the contrary, this ruling underlines that this case confronts a significant constitutional question that could reshape how the federal government interacts with its citizens and the states on a wide variety of issues."

Colorado is one of 28 states participating in this and other similar lawsuits. The National Federation of Independent Business (NFIB) also is a co-plaintiff on the multistate lawsuit.

Business group pleased

"NFIB is extremely pleased with Judge Vinson's decision," said Bill Herrle, executive director of NFIB/Florida. "NFIB joined this case to protect the rights of small-business owners to own, operate, and grow their businesses free from unconstitutional government intervention. The individual mandate gives the federal government entirely too much power."

It remains to be seen if the Florida case will be combined with the Virginia case. A federal judge in Virginia in December ruled that the main tenet of the recent health care overhaul is unconstitutional. In a 42-page opinion, Judge Henry E. Hudson found that "Section 1501 of the Patient Protection and Affordable Health Care Act -- specifically the Minimum Essential Coverage Provision -- exceeds the constitutional boundaries of Congressional power."

That provision, perhaps the bill's most controversial, is the so-called "mandate," which requires citizens to carry health insurance and charges an annual penalty for failure to do so. Despite the already-robust debate that has surrounded health care reform, section 1501 isn't slated to take effect until 2014.

Virginia case moves to appellate court

Late last week the U.S. Court of Appeals for the Fourth Circuit granted a joint motion from Virginia Attorney General Ken Cuccinelli and the federal government to expedite the hearing of Virginia's suit against the federal health care law.  The case is tentatively scheduled for hearing sometime between May 10 and 13.  This replaces a briefing order previously issued by the court.

"Right now, there is a great deal of uncertainty for states, individuals, and businesses," said Cuccinelli.  Major decisions are already being made and money is already being spent to comply with a law that may not be around two years from now.  We need this suit resolved as quickly as possible, for the good of our citizens and our economy."

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