Thomson Reuters News & Insight
Featured Content from WESTLAW
Beginning in June, Thomson Reuters News & Insight content will be available exclusively on WestlawNext®, as part of its Practitioner Insights offering. On June 21, the Thomson Reuters News & Insight website, iPhone® app and newsletters will be discontinued. See Frequently Asked Questions to learn more.

Legal

  •  
  •  

A box of Tri-Cycle Lo birth control, file 2008. REUTERS Mark Blinch

Exemptions to birth control mandate unlikely to defuse lawsuits

2/8/2013 COMMENTS (0)

By Terry Baynes 

Feb 8 (Reuters) - When the Obama administration last week announced which employers would be exempt from the healthcare act's birth control mandate, it intended to mollify the faith-based institutions that objected to providing coverage to employees for contraception. But the exemptions are unlikely to eliminate the more than 40 lawsuits filed by opponents who say the law violates their religious liberty, critics from the religious community said this week.

Under the clarified rule, the government chose to use the Internal Revenue Code's definition of "religious employer," which means churches and other houses of worship are exempt from providing contraceptive coverage to their employees.

The government also introduced an accommodation for religious non-profits so that eligible organizations would not have to contract, arrange or pay for contraception coverage. Instead, their insurance companies would have to allow plan participants to opt for separate individual health insurance policies that include free birth control coverage, with the insurers picking up the tab. For religious non-profits that are self-insured, the third party that administers claims would have to coordinate free birth control coverage.

But far from pacifying religious non-profits and for-profit businesses with religious owners, the accommodation and exemption language, unveiled on Feb. 1, has fueled the various institutions' determination to pursue relief in the courts.

The critics say the new exemptions continue to infringe on their religious liberty because they are being forced to facilitate access to birth control.

"We will continue to stand united with brother bishops, religious institutions and individual citizens who seek redress in the courts for as long as this is necessary," Cardinal Timothy Dolan of New York, president of the U.S. Conference of Catholic Bishops, said in a statement on Thursday.

The contraception mandate, which requires employers to provide free birth control as a benefit in their healthcare plans under the Affordable Care Act of 2010, ignited a firestorm of protest as soon as it was issued by the Obama administration in August 2011.

The government backed down soon after, carving out an exception for churches and other houses of worship, provided they meet certain conditions, including that they employ and serve people with the same religious beliefs.

Opponents continued to file new challenges to the law, but courts either dismissed them as premature or put them on hold while the administration was finalizing the rule.

Lawyers said the Feb. 1 proposal is unlikely to reduce the number of lawsuits since most of the cases brought by churches or houses of worship included multiple plaintiffs, such as church-affiliated hospitals and schools.

One or more plaintiff in each lawsuit may now be exempt under the clarified rule, said Larry Hansen of Locke Lorde, who represents health plans sponsored by religious groups affected by the regulations. But other plaintiffs in the same lawsuit may still be required to facilitate free contraceptive coverage through their insurance plans, and those plaintiffs are likely to continue with their effort to overturn the law.

A lawyer for Wheaton College, a Christian school near Chicago, said it would likely forge ahead with its lawsuit, which is pending in the U.S. Court of Appeals for the District of Columbia Circuit. He said the new rule provided no guidance for self-insured non-profits like Wheaton on how to proceed.

"This accommodation doesn't really resolve the moral problem for religious organizations," said Kyle Duncan, the lawyer for Wheaton, as well as the five other religious nonprofits in similar suits. The proposed new rule leaves clients tangled up with practices that they don't support, he said.

The Roman Catholic Archdiocese of Washington, which sued alongside an affiliated high school, charity and college, said on Thursday that it would follow the recommendation of the U.S. Conference of Catholic Bishops, which vowed to support the lawsuits.

The Justice Department did not immediately respond to a request for comment.

Numerous for-profit businesses whose religious owners have sued to challenge the contraceptive mandate are expected to continue their lawsuits because the new rule does not give them protection from the birth control coverage mandate.

The majority of those businesses have won temporary relief from the law in district court, said Duncan, who represents the family-owned arts and crafts chain Hobby Lobby.

"From our point of view, the new rule will likely raise more questions than it answers and not satisfy many," Duncan said.

Follow us on Twitter @ReutersLegal | Like us on Facebook 


Register or log in to comment.

© 2013 Thomson Reuters