Lexology December 20, 2019
On December 18, the U.S. Court of Appeals for the Fifth Circuit (“Fifth Circuit”) issued its long-awaited decision in Texas v. United States. [1] The Fifth Circuit held that the Affordable Care Act’s (“ACA”) individual mandate to maintain health insurance is unconstitutional because it can no longer be justified under Congress’ taxing power after the penalty for failing to comply with the mandate was set to zero dollars. The Fifth Circuit, however, did not rule on the impact of such decision on the rest of the ACA. The Fifth Circuit remanded the case to the district court to determine what provisions of the ACA are inseverable from the individual mandate as well as the proper scope of relief. Although the...
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