Ca_Law

case_law | United States Federal

California v. Texas

Summary

Plaintiffs lack standing to challenge the Patient Protection and Affordable Care Act’s minimum essential coverage provision.

Text

Retrieval chunks

  • #1

    PRELIMINARY PRINT Volume 593 U. S. Part 2 Pages 659–715 OFFICIAL REPORTS OF THE SUPREME COURT June 17, 2021 REBECCA A. WOMELDORF reporter of decisions Page Proof Pending Publication NOTICE: This preliminary print is subject to formal revision before the bound volume is published. Users are requested to noti…

  • #2

    a plaintiff must “allege personal injury fairly traceable to the defend- ant's allegedly unlawful conduct and likely to be redressed by the re- quested relief.” DaimlerChrysler Corp. v. Cuno, 547 U. S. 332, 342. No plaintiff has shown such an injury “fairly traceable” to the “allegedly unlawful conduct” challenged…

  • #3

    Article III remedy. Article III guards against federal courts assuming this kind of jurisdiction. See Carney v. Adams, 592 U. S. 53, 58–59. The Court also declines to consider federal respondents' novel alterna- tive theory of standing frst raised in their merits brief on behalf the individuals, as well as the dis…

  • #4

    other provisions of the Act, not the minimum essential coverage provi- sion, impose these requirements. These provisions are enforced with- out reference to § 5000A(a). See 26 U. S. C. §§ 6055, 6056. A conclusion that the minimum essential coverage requirement is unconstitutional would not show that enforcement of…

  • #5

    Blake, Deputy Attorney General, Maura Healey, Attorney General of Massachusetts, Dana Nessel, Attorney General of Michigan, Fadwa A. Hammoud, Solicitor General, Keith Ellison, Attorney General of Minnesota, Scott Ikeda, Assist- ant Attorney General, Aaron D. Ford, Attorney General of Nevada, Heidi Parry Stern, So…

  • #6

    Alan Wilson of South Carolina, Jason R. Ravnsborg of South Dakota, Herbert H. Slatery III of Tennessee, Sean Reyes of Utah, and Patrick Morrisey of West Virginia. Robert Henneke, Tyler R. Green, and Bryan Weir fled briefs in both cases for the private respondents. Acting Solicitor General Wall argued the cause fo…

  • #7

    State of Maryland et al. by Brian E. Frosh, Attorney General of Maryland, Steven M. Sullivan, Solicitor General, and Sarah W. Rice and Jeffrey P . Dunlap, Assistant Attorneys General, and by the Attorneys General and other offcials for their respective States as follows: Aaron M. Frey, Attorney General of Maine, G…

  • #8

    and for the Landmark Legal Foundation by Matthew C. Forys, Michael J. O'Neill, and Richard P . Hutchison. Briefs of amici curiae were fled in both cases for the State of Ohio et al. by Dave Yost, Attorney General of Ohio, Benjamin M. Flowers, Solicitor General, Michael J. Hendershot, Chief Deputy Solicitor General…

  • #9

    questions of the Act's validity, however, for Texas and the other plaintiffs in this suit lack the standing necessary to raise them. I A We begin by describing the provision of the Act that the plaintiffs attack as unconstitutional. The Act says in rele- vant part: “(a) Requirement to maintain minimum essentia…

  • #10

    Exemptions, will no longer be used as the shared responsibil- ity payment is reduced to zero”). B In 2018, Texas and more than a dozen other States (state plaintiffs) brought this lawsuit against the Secretary of Health and Human Services and the Commissioner of Inter- nal Revenue, among others. App. 12, 34. The…

  • #11

    “Cases” and “Controversies.” Art. III, § 2. That power in- cludes the requirement that litigants have standing. A plaintiff has standing only if he can “allege personal injury Page Proof Pending Publication Cite as: 593 U. S. 659 (2021) 669 Opinion of the Court fairly traceable to the defendant's allegedly unlaw…

  • #12

    other federal employees could do so either. In a word, they have not shown that any kind of Government action or con- duct has caused or will cause the injury they attribute to § 5000A(a). The plaintiffs point to cases concerning the Act that they believe support their standing. But all of those cases con- cerne…

  • #13

    later enforcement. Here, the plaintiffs say, they have al- ready suffered a pocketbook injury, for they have already bought health insurance. They also emphasize the Court's statement in Lujan that, when a plaintiff is the “ `object' ” of a challenged Government action, “ `there is ordinarily little question that…

  • #14

    also Mellon, 262 U. S., at 488 (“If a case for preventive relief be presented the court enjoins, in effect, not the execution of the statute, but the acts of the offcial, the statute notwithstanding”). This suit makes clear why that is so. The Declaratory Judgment Act, 28 U. S. C. § 2201, alone does not provide a…

  • #15

    diction otherwise absent. See Nashville, C. & St. L. R. Co. v. Wallace, 288 U. S. 249, 262 (1933) (inquiring whether a suit for declaratory relief “would be justiciable in this Court if presented in a suit for injunction”); Medtronic, Inc. v. Mirow- ski Family Ventures, LLC , 571 U. S. 191, 197 (2014) (noting tha…

  • #16

    insurance programs. Second, they claim a direct injury re- sulting from a variety of increased administrative and re- lated expenses required, they say, by the minimum essential coverage provision, along with other provisions of the Act that, they add, are inextricably “ `interwoven' ” with it. Brief for Responde…

  • #17

    stage, such a party can no longer rest on . . . mere allega- tions, but must set forth . . . specifc facts” that adequately support their contention. Clapper, 568 U. S., at 411–412 (in- ternal quotation marks omitted). The state plaintiffs have not done so. The programs to which the state plaintiffs point offer t…

  • #18

    sippi]”); id., at 154 (decl. of Jennifer R. Tidball) (noting that “Missouri residents were required to seek health care cover- age or pay a penalty to the federal government,” and while “it is diffcult to quantify the exact number of Medicaid en- rollees that can be attributed to the [Act], during the time Cite a…

  • #19

    Opinion of the Court not increase the relevant costs to the States of furnishing coverage.) Nor does it explain why they might do so. The CBO statement does not adequately trace the necessary con- nection between the provision without a penalty and new enrollment in Medicaid and CHIP. We have found no other sign…

  • #20

    show that the minimum essential coverage requirement is unconstitutional would not show that enforcement of any of these other provisions violates the Constitution. The state plaintiffs do not claim the contrary. The Government's con- duct in question is therefore not “fairly traceable” to enforce- ment of the “a…

  • #21

    statutory provision they attack as unconstitutional. They have failed to show that they have standing to attack as un- constitutional the Act's minimum essential coverage provi- sion. Therefore, we reverse the Fifth Circuit's judgment in respect to standing, vacate the judgment, and remand the cases with instruct…

  • #22

    insurers from charging individuals higher premiums for simi- lar reasons. Brief for Respondents in National Federation of Independent Business v. Sebelius, O. T. 2011, No. 11–393, pp. 44–54; see 42 U. S. C. §§ 300gg–1, 300gg–3, 300gg–4(a), 300gg(a)(1), 300gg–4(b). According to the Government, the mandate was “nec…

  • #23

    ways is on the relief to which the plaintiffs are entitled. The Constitution gives this Court only the power to resolve “Cas- es” or “Controversies.” Art. III, § 2. As everyone agrees, we have interpreted this language to require a plaintiff to present an injury that is traceable to a particular “unlawful” action…

  • #24

    Page Proof Pending Publication Page Proof Pending Publication 684 CALIFORNIA v. TEXAS Thomas, J., concurring brief before this Court, see Brief for Respondent/Cross- Petitioner States 18–30, 1 and they did not even clearly raise it in reply. 2 Third, this Court has not addressed standing- through-inseverability…

  • #25

    at least “arguable” that a statute links the lawfulness of one provision to the lawfulness of another. See Steel Co. v. Citizens for Better Environ- ment, 523 U. S. 83, 89 (1998). Thus, a failure to develop a standing- through-inseverability argument poses a signifcant obstacle to review. Cite as: 593 U. S. 659 (2…

  • #26

    the mandate was found to be a “tax” and thus to be justifed as an exercise of Congress's taxing power. Id., at 575 (opin- ion of Roberts, C. J.); see also id., at 574 (opinion of the Court); see U. S. Const., Art. I, § 8, cl. 1. By a vote of 5 to 4, the individual mandate—and with it the rest of the ACA— lived on…

  • #27

    U. S. –––, ––– – ––– (2019). The States' theory was that the citizenship question might cause some residents to violate their obligation to complete a census questionnaire and that this, in turn, might decrease the States' allocation of House seats and their share of federal funds. Id., at –––. Last Term, Pennsyl…

  • #28

    healthcare laws. The Act itself totals 906 pages, and thou- sands of pages of regulations have been issued to implement it. At its core, the ACA includes a series of “closely interre- lated” provisions, NFIB, 567 U. S., at 691 (joint dissent), that impose a bevy of new legal obligations on individuals, insur- ers…

  • #29

    alties. See §§ 6721, 6722. B Although the ACA survived this Court's decisions in NFIB and King, it remained controversial, and in 2017, a major effort was made to repeal much of it. A bill to do just that passed the House of Representatives in May, but soon after failed in the Senate. See American Health Care Ac…

  • #30

    Governor Paul LePage attempted to represent Maine as a plaintiff in the District Court, but was subsequently dismissed from the lawsuit. 4 The state intervenors are California, Connecticut, Delaware, Hawaii, Illinois, Kentucky (via its Governor), Massachusetts, Minnesota, New Jer- sey, New York, North Carolina, Or…

  • #31

    692 CALIFORNIA v. TEXAS Alito, J., dissenting (2) that this injury “is fairly traceable to the challenged con- duct of the defendant”; and (3) that the injury “is likely to be redressed by a favorable judicial decision.” Spokeo, Inc. v. Robins, 578 U. S. 330, 338 (2016); see also, e. g., Carney v. Adams, 592 U. …

  • #32

    U. S., at 338 (“The plaintiff must have (1) suffered an injury in fact, (2) that is fairly traceable to the challenged conduct of the defendant”); Hein v. Freedom From Religion Founda- tion, Inc., 551 U. S. 587, 598 (2007) (plurality opinion) (“A plaintiff must allege personal injury fairly traceable to the defen…

  • #33

    Lujan, when a party is “an object of the action . . . at issue,” “there is ordinarily little question that the action . . . has caused [that party] injury”—i. e., that the injury is traceable to that action—“and that a judgment preventing . . . the action will redress it.” 504 U. S., at 561–562. That is pre- cise…

  • #34

    in heavy penalties. Section 6721(a)(1) of the Internal Reve- nue Code, for example, provides “a penalty” for the failure to complete an “information return,” which includes reports required by §§ 6055(a) and 6056(a). See 26 U. S. C. §§ 6724(d) (1)(B)(xxiv), (xxv). And § 6722(a)(1) provides “a penalty” for the fai…

  • #35

    U. S. C. § 4980H, and the failure to comply would expose the States to penalties of thousands of dollars per employee each year, see §§ 4980H(a), (b), (c)(1). Similarly, the failure to cover adult children would expose many state health plans to penalties under 42 U. S. C. § 300gg–22(b)(2), and those pen- alties …

  • #36

    ment means is that the plaintiff 's “injury” must be traceable to the defendant's conduct, and that conduct must be “alleg- edly unlawful.” 7 “Allegedly unlawful” means that the plain- tiff must allege that the conduct is unlawful. (The States allege that the challenged enforcement actions are unlawful using a t…

  • #37

    is illegal” (internal quotation marks and alterations omitted)). C The Court's distortion of the traceability requirement is bad enough in itself, but there is more. After imposing an obstacle that the States should not have to surmount to es- tablish standing, the Court turns around and refuses to con- sider w…

  • #38

    jurisprudence”). In Seila Law LLC v. Consumer Financial Protection Bu- reau, 591 U. S. ––– (2020), a law frm resisted the CFPB's efforts to enforce a civil investigative demand. The frm Page Proof Pending Publication 700 CALIFORNIA v. TEXAS Alito, J., dissenting argued that (A) it was harmed by actions taken un…

  • #39

    tained this argument on the merits, concluding that the removal restriction was unlawful, id., at 492–508, but reject- ing the argument that the removal provision was inseverable from the provisions authorizing the actions that directly harmed the frm, id., at 508–510. While the Court's sever- ability determinati…

  • #40

    able. Id., at 186–187; see Printz v. United States, 521 U. S. 898, 935 (1997) (explaining that New York “address[ed] sever- ability where remaining provisions at issue affected the plain- tiffs”). In other words, the Court considered whether New York could obtain relief from the enforcement of independ- ently con…

  • #41

    delegated legislative powers to the President by permitting him to suspend the free importation of other types of goods; and (C) § 3 was inseverable from the provisions imposing tariffs on the goods they imported. The Court heard the argument on the merits and, after extensive analysis, re- jected the non-delegat…

  • #42

    The concurrence invokes the rule that merits decisions that do not dis- cuss jurisdiction are not of precedential value on jurisdictional issues. Ante, at 684. This argument is apparently a response to the many cases (141 years' worth) in which this Court reached the merits of claims struc- tured like those of the…

  • #43

    intervened to defend the ACA, see Brief in Opposition 17, and in their merits brief, see Brief for Respondent/ Cross-Petitioner States 20–22. They specifcally identifed the consequences of noncompliance to which these injuries are traceable, id., at 22 (“Employers can be sanctioned by the IRS for failing to submi…

  • #44

    Wheat. 316, 405 (1819) (Marshall, C. J., for the Court). Arti- cle I of the Constitution does not give Congress “plenary legislative power.” Murphy v. National Collegiate Athletic Assn., 584 U. S. 453, 471 (2018). Instead, it enumerates cer- tain legislative powers that, while “sizable,” are not “unlim- ited.” Ib…

  • #45

    feature of any tax” is that it “produces at least some revenue for the Government.” 567 U. S., at 564 (opinion of the Court). That limitation follows from the text of the provi- sion. A tax cannot assist in paying debts or providing for the general welfare or defense if it raises no money. More- over, the concept…

  • #46

    they suggest that we should interpret the individual man- date as an exercise of the taxing power based solely on the precedential effect of the Court's decision in NFIB. But The Chief Justice's opinion for the Court in NFIB con- strued the mandate as a tax only because the individual man- date “produce[d] at lea…

  • #47

    word “should” to signify that they are not mandatory, e. g., 4 U. S. C. § 8(c) (“The fag should never be carried fat or hori- zontally, but always aloft and free”), or make clear that they convey only the “sense of Congress,” e. g., 15 U. S. C. § 7807 Page Proof Pending Publication 710 CALIFORNIA v. TEXAS Alito,…

  • #48

    would pay. See NFIB, 567 U. S., at 547–548 (opinion of Rob- erts, C. J.); id., at 595–599 (opinion of Ginsburg, J.); id., at 648–651, 691–696 (joint dissent); see also King, 576 U. S., at 482 (“Congress found that the guaranteed issue and commu- nity rating requirements would not work without the” indi- vidual ma…

  • #49

    plained, it was not enough that the remaining provisions could operate by themselves “in some coherent way.” Ibid. The question, instead, was whether those provisions would operate as Congress wrote them. Ibid. If this require- ment was met, the second part of the test asked whether “Congress would have enacted […

  • #50

    sional intent to preserve the ACA in altered form. The 2017 Act would not have passed the House without the votes of the Members who had voted to scrap the ACA just a few months earlier, 10 and the repeal of the tax or penalty, which they obviously found particularly offensive, was their fall- back option. They …

  • #51

    ments, in turn, implement the mandate—indeed, they explic- itly cross-reference § 5000A—by requiring employers to provide information about such coverage. §§ 6055(e), 6056(b)(2)(B). And the adult-children coverage requirement works as part of a cohesive set of insurance reforms central to the ACA's overall struct…

  • #52

    State. And 18 States who bear costly burdens under the ACA cannot even get a foot in the door to raise a constitu- tional challenge. So a tax that does not tax is allowed to stand and support one of the biggest Government programs in our Nation's history. Fans of judicial inventiveness will applaud once again. B…