Court Agrees to Temporary Delay of GOP Obamacare Lawsuit

A federal appeals judge said House Republicans’ lawsuit challenging Affordable Care Act subsidies would be placed on hold until Feb. 21, 2017, a move that will give the Trump administration time to decide its next steps.

The U.S. Court of Appeals for the District of Columbia issued the order Monday afternoon. A federal judge in May ruled in favor of House Republicans, who argued the subsidies that help many Obamacare customers afford health insurance were unconstitutional because the subsidies were not specifically funded. While the Obama administration has appealed the ruling, Republicans asked last month that a court pause the lawsuit.

Republicans asked for the delay last month after winning control of the White House and both chambers of Congress. How the incoming Trump administration and the GOP-controlled Congress decide to handle the cost-sharing payments could have major implications for the marketplace created under the ACA.

“A temporary stay of the briefing schedule will provide the President-Elect and his future Administration time to consider whether to continue prosecuting or to otherwise resolve this appeal,” said the appeal.

Morning Consult