JONATHAN COHN AUGUST 15, 2011
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No, I haven't finished analyzing last week's decision, by the 11th Circuit Court of Appeals, invalidating the Affordable Care Act's individual mandate. But plenty of other legal observers have.
Conservatives are elated about the opinion, not least because, as Ilya Somin writes at the Volokh Conspiracy, "The decision further undermines claims that the individual mandate suit is a sure loser that goes against a supposed expert consensus that the mandate is clearly constitutional." The Cato Institute's Ilya Shapiro agrees:
One of the striking things about today’s ruling is that, for the first time in one of these cases, a Democrat-appointed judge, Frank Hull, has ruled against the government. Just as the Sixth Circuit Judge Jeffrey Sutton made waves by being the first Republican appointee to rule in the government’s favor, today’s 300-page ruling shows that the constitutional issues raised by the healthcare reform—and especially the individual mandate—are complex, serious, and non-ideological.
I fear they are correct about the perception this decision will create: The validation of a Democratic judicial appointee, even a conservative one made to appease Republicans in the Senate, makes striking down the law seem less radical. But that doesn't mean striking down the law wouldn't be radical. And Andrew Cohen, of the Atlantic, helps to explain why.
Cohen notes that Joel Dubina and Frank Hull, the two judges in the majority, actually reject the supposed distinction between activity and inactivity. That's the foundation of the case against the law, since, according to its critics, the Commerce Clause of the constitution does not give Congress the authority to regulate inactivity. But Dubina and Hall proceed to reject the mandate because, they say, it would "direct and compel an individual's spending in order to further its overarching regulatory goal." The problem, Cohen writes, is that
when you put it that way any regulation is suspect which takes money (and the choice to save or invest) away from Americans. ... directly and indirectly, the government all the time forces individuals to "redirect" their "funds" for "other purposes." This is true on a federal level and at the state level. If anything, then, the 11th Circuit may have just struck down the Affordable Care Act with a less viable legal theory than the one with which it was presented by U.S. District Judge Roger Vinson. And that's saying something. ...
I don't know how all the votes will fall when all these Affordable Care Act cases come to the Supreme Court. It's not hard to believe, for example, that Justice Anthony Kennedy will determine the matter with a "fifth" vote. But even if he does, and votes against the new law, I can't imagine him drafting a majority opinion that tracks the language of Friday's ruling. If he writes it, it will instead be closer to the center of the debate and certainly more moderate in its tone.
Over at Balkinization, Andrew Koppelman, the Northwestern law professor familiar to TNR readers, thinks Dubina and Hull mischaracterize the mandate, in ways that would weaken its constitutional case:
The joint opinion of Judges Dubina and Hull responds by declaring that it is none of Congress’s business if people go without insurance and transfer their health care costs to others: “An individual’s uninsured status in no way interferes with Congress’s ability to regulate insurance companies.” (slip op. 164) This presumes that Congress is indifferent to the consequences of its regulatory scheme: it just likes to regulate insurance companies. Congress’s declared aim in the statute, however, is to reduce the number of the uninsured. Without the mandate, the law’s protection of people with preexisting conditions would mean that healthy people could wait until they get sick to buy insurance. Because insurance pools rely on cross-subsidization of sick people by healthy participants, that would bankrupt the entire health insurance system. The individual mandate charges those people for at least some of the costs they impose on their fellow citizens. The joint opinion presupposes that these catastrophic effects are irrelevant to the regulatory scheme.
Elsewhere at Balkinization, Mark Hall, a law professor at Wake Forest, traces the contradictions of the decision, step by step.
More soon...
7 comments
I'm probably different from most people in the sense that I feel safer when government fails in its efforts to convict someone of a crime. And I like the idea that government cannot do whatever it damn well pleases. But nothing bothers me more than legal reasoning which appears to have been pulled out of a judge's political ass. The idea that government can not make people pay for something they might not want is bizarre considering that we have been paying for all sorts of things that I didn't want for years, like the war in Iraq. And I don't like paying more in taxes on my earnings so someone who sells stock can pay less in taxes. When will they fix that?
- Nusholtz
August 15, 2011 at 1:26pm
I admit I have not read a single page of this decision. Okay. If it's true that the current individual mandate is somehow contrary (repugnant) to the "taking" provisions of the Fifth Amendment to the Constitution of the United States, and invoking the provisions of the Commerce Clause don't quite add up, why not give people a tax credit as the necessary compensation to any one oppressed by the individual mandate? Present day constitutional law seems to advance one constitutional theory while another lurks in the background. Sort of like that 2nd Amendment case involving possession of firearms in the District of Columbia that started out with a Ninth Amendment analysis.
- Doug12
August 15, 2011 at 2:05pm
What are the chances of an en banc hearing?
- sighthnd
August 15, 2011 at 5:33pm
As a political issue, the reasonable person's approach would consider the alternative: accept a flawed but essentially conservative HCR or precipitate adoption of the radical alternative, the single-payer system. Consider social security, a flawed but essentially conservative attempt to end wide-spread poverty among seniors or precipitate the adoption of the radical alternative, a national retirement program common in Europe. Today those who don't believe in democracy, a surprisingly large number of opinion leaders, they are confident that they can avoid the radical alternative by, for example, election laws that make it increasingly more difficult for working Americans to vote and procedural rules in Congress that confer control on the minority. Layered on top of a flawed federal structure that gives small, mostly conservative states a significant advantage. I'm no radical, and would prefer conservative HCR as I prefer the conservative social security system. But at some point, the cynicism of the right will be too much for even moderates like myself, and the radical alternative, including single-payer, will become the only acceptable alternative.
- rayward
August 15, 2011 at 5:34pm
What rayward said, except that I favour the socialized systems. A single payer system is not radical. Full expropriation of the health care system is radical. It's not like there's not going to be prices and choices in a single payer system. The point of payment is just not going to be in your hands, just as it generally isn't if you have employer-based health insurance.
- chaitless
August 15, 2011 at 9:21pm
Agree with chaitless; could this be a blessing in disguise?
- Sophia
August 15, 2011 at 10:40pm
The rather obvious flaw in this so-called legal reasoning is that Congress can quite clearly collect whatever taxes it wants and provide a tax credit to anyone who buys health insurance. Although formally the structure of the mandate is different, its practical effect is exactly the same. Not in more than a hundred years has there been jurisprudence that so completely exalts form over substance and tells the Congress it can do X if it gets the names right but cannot do X if it doesn't get the names right. I predict the ACA will be upheld because even the conservative justices won't be able to figure out how to overrule it without all sorts of unintended consequences that they, and oil companies, won't like a bit. They would not have the nerve to do what they did in Bush v Gore and simply declare that the holding has no value as precedent.
- roidubouloi
August 15, 2011 at 11:56pm