Judge Says Case Against ACA Subsidies Can Proceed, Refuses To Grant Injunction

On Tuesday, U.S. District Court Judge Paul Friedman ruled that a lawsuit challenging the legality of subsidies provided to U.S. residents through the federally run health insurance exchanges can move forward, but he refused to grant a temporary injunction halting the subsidies. The ACA states that subsidies will be provided to help residents purchase health policies offered "through an exchange established by the state." However, a 2012 IRS rule challenged by the lawsuit allows the subsidies to be used in an exchange administered either by a state or the federal government.

• "Judge Declines To Halt 'Obamacare' Insurance Subsidies" (Ingram/Drawbaugh, Reuters, 10/22).
• "Washington Judge Won't Block Federal Payments for Subsidized Coverage" (Carlson, Modern Healthcare, 10/22).