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SUBJECT:
Health Reform Update - Second District Court Finds Individual Mandate Unconstitutional
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FROM:
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agnews@info.akingump.com
DATE:
2011-02-03 04:08:48
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<2a3d7d57920c4708b25cda0d203e619a@info.akingump.com>
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H
Biden, Hunter
<hbiden@senecaga.com>
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To view this email as a web page, click the link below: http://info.akingump.com/rs/vm.ashx?ct=24F76C19D1E00AEDC1D180ADDA2E941DDDBE7BB3D38714DD4CF371647BF8D90DDD78037 February 2, 2011 SECOND DISTRICT COURT FINDS INDIVIDUAL MANDATE UNCONSTITUTIONAL On January 31, 2011, federal Judge Roger Vinson of the Northern District of Florida issued his widely anticipated ruling http://info.akingump.com/rs/ct.aspx?ct=24F76C19D1E00AEDC1D180ADDA2E941DDDBE4F8CF0A in the litigation brought by the attorneys general or governors of 26 states, along with other plaintiffs, challenging the 2010 health care reform legislation. Judge Vinson held unconstitutional the individual mandate provision. That provision, section 1501 of the Patient Protection and Affordable Care Act, requires everyone (with limited exceptions) to purchase federally approved health insurance, or pay a monetary penalty, beginning in 2014. Judge Vinson’s ruling brings to two the number of district courts that have held the individual mandate unconstitutional. (Two other district courts have held the law constitutional). Unlike Judge Henry E. Hudson of the U.S. District Court for the Eastern District of Virginia, however, whose decision invalidating the individual mandate http://www.oag.state.va.us/press_releases/Cuccinelli/Health%2520Care%2520Memorandum%2520Opinion.pdf was issued on December 13, 2010, Judge Vinson found that the individual mandate could not be severed from the Act’s remaining provisions and, thus, declared the entire health care reform law unconstitutional. Judge Vinson reasoned that there are “simply too many moving parts in the Act and too many provisions dependent (directly and indirectly) on the individual mandate ... for me to try and dissect out the proper from the improper, and the able-to-stand-alone from the unable-to-stand-alone.”[1] To attempt such a task would be “tantamount to rewriting a statute in an attempt to salvage it;”[2] better to leave to “the watchmaker” the task of redesigning and reconstructing the “defectively designed watch.”[3] Thus, although Judge Vinson upheld the Act’s expansions of the Medicaid program against constitutional challenge by the states, in the end his opinion holds that those provisions must fall—along with the entire Act—because, in the court’s view, they are not severable from the individual mandate. [1] Slip op., at 73-74. [2] Slip op., at 73. [3] Slip op., at 74. Click here http://info.akingump.com/rs/ct.aspx?ct=24F76C19D1E00AEDC1D180ADDA2E941DDDBE4B8CE3B6210 to read the full alert. Contact Information If you have any questions concerning this alert, please contact— Patricia A. Millett pmillett@akingump.com mailto:pmillett@akingump.com?subject=Alert%20Query 202.887.4450 Washington, D.C. Hyland Hunt hhunt@akingump.com mailto:hhunt@akingump.com?subject=Alert%20Query 214.969.2892 Dallas Jorge Lopez Jr. jlopez@akingump.com mailto:jlopez@akingump.com?subject=Alert%20Query 202.887.4128 Washington, D.C. http://info.akingump.com/rs/ct.aspx?ct=24F76C19D1E00AEDC1D180ADDA2E941DDDBE5D97E5A529FD69CE8 http://info.akingump.com/rs/ct.aspx?ct=24F76C19D1E00AEDC1D180ADDA2E941DDDBE5D97E5A529FD69CE8 © 2011 Akin Gump Strauss Hauer & Feld LLP. All rights reserved. This document is distributed for informational use only; it does not constitute legal advice and should not be used as such. IRS Circular 230 Notice Requirement: This communication is not given in the form of a covered opinion, within the meaning of Circular 230 issued by the United States Secretary of the Treasury. Thus, we are required to inform you that you cannot rely upon any tax advice contained in this communication for the purpose of avoiding United States federal tax penalties. In addition, any tax advice contained in this communication may not be used to promote, market or recommend a transaction to another party. If you would like to update your information or opt out from our mailing list, please click here http://info.akingump.com/reaction/RSGenPage.asp?RSID=joDodW9xnPrNYdHbdVYRkJhdUJGY1tFte60-Cx21P4k =2
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