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11/21/2024 05:19:50 pm

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Obamacare Hits Snag Following Opposing Verdicts in District of Columbia, Virginia

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(Photo : REUTERS/Luke Sharrett ) U.S. President Barack Obama makes a statement about the Supreme Court's decision on his Administration's health care law in the East Room of the White House in Washington, June 28, 2012.

President Barack Obama's health care initiative was halted on Tuesday following the opposing verdicts on two federal appeals of whether the administration can subsidize the policy using federal insurance exchanges.

White House officials said the 4.5 million subsidiaries of the law can still receive their benefits even as the court continues to sort out the legalities of the policy.

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The first ruling, decided by the Court of Appeals for the District of Columbia, rejected the federal coverage of the subsidies, saying that Obama overlooked the proper implementation of the law.

Hours after the first ruling, judges from Virginia reversed the decision. Now, Republicans are ready to rebut with a new strategy.

"It's just the tip of the iceberg with a law that's also destined to either crush patients with obscenely high costs, lead to a taxpayer bailout of health-insurance companies, or both," said Sen. Marco Rubio, of Florida. "With two conflicting appellate court rulings on Obamacare today, I reaffirm my belief that this law ultimately will fall apart."

If the first decision would stand, Obama's legacy as a leader and policy maker will be damaged, and in effect, could weaken the Democrats' chances in the upcoming November midterm election. The first ruling also threatened the main purpose of the act, which is to provide Americans affordable health care insurance.

White House spokesperson John Earnes said providing Americans with the subsidies covered by the health care act is just a "common-sense" interpretation of the law.

"You don't need a fancy legal degree to understand that Congress intended for every eligible American to have access to tax credits that would lower their health-care costs, regardless of whether it was state officials or federal official who were running the marketplace," Earnest said.

U.S. Solicitor General Walter Dellinger said that if the opposing federal appeals would need further review, then the U.S. Supreme Court would take over.

"If there's a split, the Supreme Cour will definitely take it," Dellinger said, according to Bloomberg.

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