Divided Court of Appeals Issues Ruling on ObamaCare Lawsuit

Liberty Counsel
NEWS RELEASE
Contact: PUBLIC RELATIONS DEPARTMENT - 800-671-1776 or Media@LC.org 
FOR IMMEDIATE RELEASE: September 8, 2011

Richmond, VA – Today, the Fourth Circuit Court of Appeals issued a ruling on the Patient Protection and Affordable Care Act (commonly known as “ObamaCare”) in the case of Liberty University v. Geithner and issued a separate opinion on the case of Commonwealth of Virginia v. Sebelius. Liberty Counsel represents Liberty University and two private individuals, challenging both the individual and the employer mandates in ObamaCare.

The panel of judges for the case included one judge appointed by President Clinton, Judge Diana Gribbon Motz, and two judges appointed by President Obama, Judges Andre M. Davis and James A. Wynn Jr. Judge Motz wrote the opinion, in which Wynn concurred. Judge Davis wrote a dissenting opinion.

In the case of Liberty University, the divided court ruled that the mandate is a “tax” under the Anti-Injunction Act (AIA), and thus the court does not have jurisdiction to rule on the merits until the “tax” is paid and a refund sought by the taxpayer. Thus, the case could not be brought until the mandate becomes effective in 2014. Every court which has considered this question has found that the mandate is a “penalty,” not a tax, and the AIA does not apply. Even the federal government defendants argued that the AIA does not apply and that the statutory intent clearly indicated that the AIA was inapplicable.

In the Virginia case, the court ruled 3-0 that Virginia does not have standing to bring a challenge to the individual mandate, because that right is for individuals affected by the mandate.

In the case of Liberty University, the next and final stop in the battle over ObamaCare will be the United States Supreme Court. Liberty Counsel will file a petition with the High Court.

Mathew Staver, Founder and Chairman of Liberty Counsel and Dean of Liberty University School of Law, presented oral argument in early May. Staver said:

“From the beginning everyone knew that the final frontier in the battle over ObamaCare would be the United States Supreme Court. The court’s ruling goes against every court in America that considered this case. Even the United States Government argued that the Anti-Injunction Act does not apply to this case. We look forward to the final round in this battle over ObamaCare at the United States Supreme Court.”