New court fight over health care law

WASHINGTON (AP) — There’s another legal battle involving President Barack Obama’s health care law.

Two federal appeals courts today have issued contradictory rulings on a key financing issue. The rulings came within hours of each other.

A divided court panel in Washington called into question the subsidies that help millions of low- and middle-income people pay their premiums. The court said financial aid can only be paid in states that have set up their own insurance exchanges.

But in Virginia, another appeals panel unanimously came to the opposite conclusion. That court said the IRS had correctly interpreted the will of Congress when it issued regulations allowing consumers nationwide to purchase subsidized coverage.

The White House says policyholders will keep getting financial aid as the administration sorts out the legal implications.

Both cases are part of a long-running political and legal campaign to overturn the health care law.

%@AP Links

176-c-19-(Ricardo Alonso-Zaldivar, AP correspondent)-“of government overreach”-AP correspondent Ricardo Alonso-Zaldivar reports opponents of the Affordable Care Act are persistent in efforts to derail it, despite rulings from the nation’s highest court. (22 Jul 2014)

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174-c-15-(Ricardo Alonso-Zaldivar, AP correspondent)-“in the law”-AP correspondent Ricardo Alonso-Zaldivar reports the Obama administration is confident the ruling by two members of a three-judge panel will be overturned. (22 Jul 2014)

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APPHOTO DCEV102: A view of the E. Barrett Prettyman Federal Courthouse that houses the U.S. Court of Appeals for the D.C. Circuit, on Tuesday, July 22, 2014, in Washington. Obama’s health care law is enmeshed in another big legal battle after two federal appeals courts issued contradictory rulings on a key financing issue within hours of each other Tuesday. (AP Photo/ Evan Vucci) (22 Jul 2014)

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Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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