U.S. SUPREME COURT CASE UPDATE ON TEXAS V. AZAR
In a long-awaited decision in
Texas v. Azar,
the Fifth Circuit held that the Affordable Care Act's (ACA) individual mandate is unconstitutional. This decision has no practical effect because no one is currently required to pay the shared-responsibility payment. A year ago, a federal district court held the individual mandate is inseverable from the ACA rendering the entire law unconstitutional. The Fifth Circuit sent the case back to the lower court for "additional analysis" on the severability question.
The ACA individual mandate required the uninsured who didn't purchase health insurance to pay a "shared-responsibility" payment. The Tax Cuts and Jobs Act of 2017 reduced the payment to $0 as of January 1, 2019. A number of states argued, and the Fifth Circuit agreed, that the individual mandate is no longer constitutional as a result.