Obamaâs Law Professor Laurence Tribe: âI Wouldnât Betâ on Obamacare Surviving Next Legal Challenge
By Joel Gehrke
July 11, 2014 3:54 PM
President Obamaâs old Harvard Law professor, Laurence Tribe, said that he âwouldnât bet the family farmâ on Obamacareâs surviving the legal challenges to an IRS rule about who is eligible for subsidies that are currently working their way through the federal courts.
âI donât have a crystal ball,â Tribe told the Fiscal Times. âBut I wouldnât bet the family farm on this coming out in a way that preserves Obamacare.â
The lawâs latest legal problem is that, as written, people who enroll in Obamacare through the federal exchange arenât eligible for subsidies. The text of the law only provides subsidies for people enrolled through âan Exchange established by the State,â according to the text of the Affordable Care Act. Only 16 states decided to establish the exchanges.
The IRS issued a regulation expanding the pool of enrollees who qualify for the subsidies. Opponents of the law, such as the Cato Instituteâs Michael Cannon and Jonathan Adler, argue that the IRS does not have the authority to make that change. (Halbig v. Burwell, one of the lawsuits making this argument, is currently pending before the D.C. Circuit Court; the loser will likely appeal the decision to the Supreme Court.)
âThere are specific rules about when and how the IRS can deviate from the plain language of a statute,â Cannon explained to National Review Online, arguing that the subsidies regulation fails to comply with those rules.
The IRS can deviate from âabsurdâ laws, in theory, but the subsidies language is not absurd. âIt might be stupid, but thatâs not the test for absurdity,â Cannon says. Similarly, the IRS can deviate in the case of scrivenerâs errors â typos, basically â but this is not a typo, Cannon says, because the language was written into repeated drafts of the law.
âThey not only keep that language in there, but they even inserted it, this same phrase again, right before passage while the bill was in [Senate Majority Leader] Harry Reidâs office,â Cannon says. âSo, itâs not a scrivenerâs error, either.â
Finally, the IRS could fill in ambiguous gaps in a law. The problem for the IRS, though, is that the subsidies language is not ambiguous. Even Tribe acknowledged that the language is clear, according to the Fiscal Times.
âYet in drafting the law, Tribe said the administration âassumed that state exchanges would be the norm and federal exchanges would be a marginal, fallback positionâ â though it didnât work out that way for a plethora of legal, administrative and political reasons,â the Fiscal Times writes.
Tribe suggested that the case will, like the individual mandate challenge before it, hinge on Chief Justice John Robertsâs decision. âHe would be asking himself the hard question: âIs it so clear under existing law that it has to be construed in this literal and somewhat bizarre way . . . that subsidies or tax credits cannot be provided on the federal exchanges, or is it sufficiently ambiguous that it gives me the necessary legal wiggle roomâ [to side with the administration once again?]â Tribe said.
Forbes contributor Jeffrey Dorman notes that a recent ruling in a case involving the Environmental Protection Agency could make it harder for Roberts to conclude that he has that wiggle room.
https://www.nationalreview.com/corner/382550/obamas-law-professor-i-wouldnt-bet-obamacare-surviving-next-legal-challenge-joel


