New court fight over health care law

Updated: Wednesday, July 23, 2014
New court fight over health care law story image

WASHINGTON (AP) - There's another legal battle involving President Barack Obama's health care law.

Two federal appeals courts today have issued contradictory rulings on a key financing issue. The rulings came within hours of each other.

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

But in Virginia, another appeals panel unanimously came to the opposite conclusion. That court said the IRS had correctly interpreted the will of Congress when it issued regulations allowing consumers nationwide to purchase subsidized coverage.

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

Both cases are part of a long-running political and legal campaign to overturn the health care law.

U.S. | World News

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