Petition for Writ of Certiorari — March for Life Education and Defense Fund, Petitioner v. California, et al.
Supreme Court briefFeb 19, 2020
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NO. __________
IN THE
Supreme Court of the United States
MARCH FOR LIFE EDUCATION AND DEFENSE FUND,
Petitioner,
v.
CALIFORNIA, ET AL.,
Respondents.
On Petition for Writ of Certiorari to the
United States Court of Appeals for the Ninth Circuit
PETITION FOR A WRIT OF CERTIORARI
KEVIN H. THERIOT
KENNETH J. CONNELLY
ALLIANCE DEFENDING
FREEDOM
15100 N. 90th Street
Scottsdale, AZ 85260
(480) 444-0020
BRIAN R. CHAVEZ-OCHOA
CHAVEZ-OCHOA LAW
OFFICES, INC.
4 Jean Street, Suite 4
Valley Springs, CA 95252
(209) 772-3013
KRISTEN K. WAGGONER
JOHN J. BURSCH
Counsel of Record
DAVID A. CORTMAN
RORY T. GRAY
ALLIANCE DEFENDING
FREEDOM
440 First Street, N.W.
Suite 600
Washington, D.C. 20001
(616) 450-4235
jbursch@ADFlegal.org
Counsel for Petitioner
i
QUESTIONS PRESENTED
This Court recently granted review in Little
Sisters of the Poor Saints Peter and Paul Home v.
Pennsylvania, No. 19-431, and Trump v. Pennsylvania, No. 19-454, to determine whether the federal
government lawfully exempted religious and moral
objectors from federal regulatory requirements to
provide health plans that include abortifacient and
contraceptive coverage. This case raises the identical
issue for Petitioner March for Life, which holds a nonreligious, moral conviction that all humans have
worth and all abortions are wrong. If the Court rules
for the petitioners in Little Sisters and Trump, the
decision will be outcome dispositive of the second
question presented here, warranting a GVR. But
there is also a threshold standing issue that the Court
could address either in Little Sisters and Trump or
here.
The questions presented are:
1. Whether states have Article III standing to
challenge the religious and moral exemptions based
on a hypothetical increase in their discretionary,
voluntary healthcare spending.
2. Whether the federal government lawfully
exempted religious and moral objectors from the
federal regulatory requirement to provide health
plans that include abortifacient and contraceptive
coverage.
ii
PARTIES TO THE PROCEEDING AND
CORPORATE DISCLOSURE
Petitioner is March for Life Education and
Defense
Fund,
Intervenor-Defendant-Appellant
below.
The state Respondents are the States of
California, Connecticut, Delaware, Hawaii, Illinois,
Maryland, Minnesota, New York, North Carolina,
Rhode Island, Washington, and Vermont, the
Commonwealth of Virginia, and the District of
Columbia, Plaintiffs-Appellees below.
The federal Respondents are the U.S. Department
of Health & Human Services; Alex M. Azar II, in his
official capacity as Secretary of the U.S. Department
of Health & Human Services; U.S. Department of
Labor; R. Alexander Acosta, in his official capacity as
Secretary of the U.S. Department of Labor; U.S.
Department of the Treasury; and Steven Terner
Mnuchin, in his official capacity as Secretary of the
U.S. Department of the Treasury; DefendantsAppellants below.
The private Respondent is the Little Sisters of the
Poor Jeanne Jugan Residence, Intervenor-DefendantAppellant below.
Petitioner March for Life Education and Defense
Fund is a non-profit corporation with no parent
entities that does not issue stock.
iii
LIST OF ALL PROCEEDINGS
U.S. Court of Appeals for the Ninth Circuit, Nos.
19-15072, 19-15118, 19-15150, California v. U.S.
Department of Health & Human Services, judgment
entered October 22, 2019.
U.S. Court of Appeals for the Ninth Circuit, Nos.
18-15144, 18-15166, 18-15255, California v. Azar,
judgment entered December 13, 2018.
U.S. District Court for the Northern District of
California, No. 17-cv-05783-HSG, California v.
Health & Human Services, final judgment entered
January 13, 2019.
U.S. District Court for the Northern District of
California, No. 17-cv-05783-HSG, California v.
Health & Human Services, final judgment entered
December 21, 2017.
iv
TABLE OF CONTENTS
QUESTIONS PRESENTED ....................................... i
PARTIES TO THE PROCEEDING AND
CORPORATE DISCLOSURE .............................. ii
LIST OF ALL PROCEEDINGS ................................ iii
TABLE OF AUTHORITIES ................................... viii
DECISIONS BELOW................................................. 1
STATEMENT OF JURISDICTION .......................... 2
PERTINENT CONSTITUTIONAL,
STATUTORY, AND REGULATORY
PROVISIONS........................................................ 2
INTRODUCTION ...................................................... 3
STATEMENT OF THE CASE ................................... 7
A. The ACA’s “preventive care and
screenings” requirement for women. .............. 7
B. The widespread litigation sparked by the
agencies’ choice and the modifications the
agencies made pre-Zubik. ............................... 9
C. Zubik and its aftermath ................................ 13
D. March for Life and its lawsuit ...................... 15
E. The agencies reconsider and create broader
conscience exemptions................................... 16
v
F. The plaintiff States sue, and the Ninth
Circuit affirms an injunction against the
final rules. ...................................................... 18
REASONS FOR GRANTING THE WRIT............... 20
I. Article III standing is a basic constitutional
requirement, and this Court has an
independent duty to ensure it exists.................. 21
II. The States lack standing to challenge the final
rules, and the Ninth Circuit erred in refusing
to dismiss their suit. ........................................... 22
A. The States bear the burden of proving
standing’s three elements. ............................ 22
B. Because the States have no rights or
obligations at stake, and their standing
theory depends on rank speculation and
self-imposed harm, they cannot show an
injury in fact. ................................................. 23
1. The States have no right to an indirect
financial windfall. .................................... 24
2. Any injury to the States’ fiscs is entirely
self-imposed…….… .................................. 25
3. The States’ claimed fiscal injury is
abstract and not certainly impending. .... 26
4. The States allege a non-particularized
harm that treats federal courts as
general complaint bureaus. ..................... 28
vi
C. Because the States’ alleged injury is selfinflicted and depends on the presumed
choices of multiple third parties, they
cannot show causation or redressability. ..... 29
III.The agencies had statutory authority to issue
the moral and religious exemptions, which are
legally permissible (if not required) and not
arbitrary or capricious. ....................................... 30
A. The final regulations are within the
agencies’ gap-filling authority. ..................... 31
B. The agencies’ conscious exemptions are not
arbitrary or capricious................................... 33
IV.The questions presented require this Court’s
resolution. ........................................................... 34
CONCLUSION ......................................................... 36
APPENDIX TABLE OF CONTENTS
United States Court of Appeals
for the Ninth Circuit,
Opinion in 19-15072, 19-15118, and 19-15150
Issued October 22, 2019 ........................................... 1a
United States District Court
Northern District of California,
Opinion in 17-cv-05783-HSG
Issued January 13, 2019 ........................................ 53a
U.S. Constitutional Provisions ............................ 122a
vii
5 U.S.C. 706(2)(A) ................................................ 123a
26 U.S.C. 4980D ................................................... 124a
26 U.S.C. 4980H ................................................... 131a
26 U.S.C. 5000A ................................................... 139a
42 U.S.C. 300gg-13(a) .......................................... 154a
42 U.S.C. 2000bb-1............................................... 156a
42 U.S.C. 2000bb-2(1) .......................................... 157a
42 U.S.C. 2000bb-3(a) .......................................... 157a
45 C.F.R. 147.131(a) (2013) ................................. 158a
45 C.F.R. 147.131 ................................................. 159a
45 C.F.R. 147.132 ................................................. 167a
45 C.F.R. 147.133 ................................................. 171a
Excerpt from 83 Fed. Reg. 57592
(Nov. 15, 2018) ..................................................... 175a
Excerpt from 83 Fed. Reg. 57536
(Nov. 15, 2018) ..................................................... 179a
viii
TABLE OF AUTHORITIES
Cases
Alfred L. Snapp & Son, Inc. v. Puerto Rico
exrel. Barez,
458 U.S. 592 (1982) .............................................. 28
Allen v. Wright,
468 U.S. 737 (1984) ....................................... passim
Arizona Christian School Tuition Organization
v. Winn,
563 U.S. 125 (2011) ........................................ 21, 26
Arizonans for Official English v. Arizona,
520 U.S. 43 (1997) .......................................... 21, 22
Burwell v. Hobby Lobby Stores, Inc.,
573 U.S. 682 (2014) .................................. 7, 8, 9, 11
California v. Azar,
911 F.3d 558 (9th Cir. 2018) .................... 18, 19, 24
Clapper v. Amnesty International USA,
568 U.S. 398 (2013) ....................................... passim
Department of Commerce v. New York,
139 S. Ct. 2551 (2019) .......................................... 19
Diamond v. Charles,
476 U.S. 54 (1986) .................................... 27, 28, 35
Doe v. Bolton,
410 U.S. 179 (1973) ................................................ 3
ix
FCC v. Fox Television Stations, Inc.,
556 U.S. 502 (2009) .............................................. 33
Gill v. Whitford,
138 S. Ct. 1916 (2018) .......................................... 28
Gillette v. United States,
401 U.S. 437 (1971) .............................................. 32
Hein v. Freedom From Religion Foundation, Inc.,
551 U.S. 587 (2007) .............................................. 28
Little Sisters of the Poor Home for the Aged,
Colorado v. Sebelius,
571 U.S. 1171 (2014) ............................................ 11
Lujan v. Defenders of Wildlife,
504 U.S. 555 (1992) ....................................... passim
March for Life v. Azar,
No. 15-5301, 2018 WL 4871092
(Sept. 17, 2018) .................................................... 17
March for Life v. Burwell,
128 F. Supp. 3d 116 (D.D.C. 2015) ...................... 16
Mayo Foundation for Medical Education &
Research v. United States,
562 U.S. 44 (2011) .......................................... 31, 32
New Jersey v. Sargent,
269 U.S. 328 (1926) .............................................. 24
Pennsylvania v. New Jersey,
426 U.S. 660 (1976) .............................................. 25
x
Pennsylvania v. President United States,
930 F.3d 543 (3d Cir. 2019) ................................. 35
Roe v. Wade,
410 U.S. 113 (1973) ................................................ 3
Spokeo, Inc. v. Robins,
136 S. Ct. 1540 (2016) .......................................... 22
Steel Company v. Citizens for a Better
Environment,
523 U.S. 83 (1998) ................................................ 21
Summers v. Earth Island Institute,
555 U.S. 488 (2009) .............................21, 23, 25, 27
Town of Chester v. Laroe Estates, Inc.,
137 S. Ct. 1645 (2017) .......................................... 21
United States v. Mead Corp.,
533 U.S. 218 (2001) .............................................. 31
United States v. Texas,
136 S. Ct. 906 (2016) ............................................ 34
United States v. Texas,
136 S. Ct. 2271 (2016) .......................................... 34
Vermont Agency of Natural Resources v. United
States ex rel. Stevens,
529 U.S. 765 (2000) ................................................ 6
Virginia House of Delegates v. Bethune-Hill,
139 S. Ct. 1945 (2019) .............................. 21, 23, 35
Warth v. Seldin,
422 U.S. 490 (1975) .............................21, 22, 24, 27
xi
Welsh v. United States,
398 U.S. 333 (1970) .............................................. 32
Wheaton College v. Burwell,
573 U.S. 958 (2014) .............................................. 12
Whitmore v. Arkansas,
495 U.S. 149 (1990) ........................................ 26, 27
Wittman v. Personhuballah,
136 S. Ct. 1732 (2016) .................................... 23, 35
Zubik v. Burwell,
135 S. Ct. 2924 (2015) .......................................... 13
Zubik v. Burwell,
136 S. Ct. 1557 (2016) .......................................... 14
Statutes
26 U.S.C. 4980D ......................................................... 9
26 U.S.C. 4980H ......................................................... 9
26 U.S.C. 9833 ...................................................... 8, 31
28 U.S.C. 1254(1) ....................................................... 2
28 U.S.C. 1291 ............................................................ 2
28 U.S.C. 1331 ............................................................ 2
29 U.S.C. 1003(b)(2) ................................................. 11
29 U.S.C. 1132 ............................................................ 9
29 U.S.C. 1191c .................................................... 8, 31
xii
42 U.S.C. 300gg-13 ........................................... 7, 8, 31
42 U.S.C. 300gg-92 ............................................... 8, 31
42 U.S.C. 2000bb et seq. ............................................. 9
Other Authorities
U.S. Department of Labor, FAQs About
Affordable Care Act Implementation Part 36
(Jan. 9, 2017), https://bit.ly/2Sv6Q3z .................. 14
Regulations
29 C.F.R. 2510.3-16(b)&(c)................................. 10, 12
45 C.F.R. 147.132 ..................................................... 17
45 C.F.R. 147.133 ..................................................... 17
77 Fed. Reg. 8,725 (Feb. 15, 2012)......................... 8, 9
78 Fed. Reg. 39,870 (July 2, 2013)..................... 10, 15
79 Fed. Reg. 51,092 (Aug. 27, 2014) .................. 11, 12
80 Fed. Reg. 41,318 (July 14, 2015)......................... 13
81 Fed. Reg. 47,741 (July 22, 2016)......................... 14
83 Fed. Reg. 57,536 (Nov. 15, 2018) .......16, 17, 26, 33
83 Fed. Reg. 57,592 (Nov. 15, 2018) ................. passim
84 Fed. Reg. 7,714 (Mar. 4, 2019) ............................ 17
Executive Order No. 13,798, 82 Fed. Reg. 21,675
(May 4, 2017)........................................................ 16
1
DECISIONS BELOW
The district court’s decision granting the States’
motion for a preliminary injunction enjoining the
final rules is reported at 351 F. Supp. 3d 1267 (N.D.
Cal. 2019) and reprinted in the Appendix (“App.”) at
App.53a–121a.
The Ninth Circuit’s ruling affirming the
preliminary injunction is reported at 941 F.3d 410
(9th Cir. 2019) and reprinted at App.1a–52a.
2
STATEMENT OF JURISDICTION
On October 22, 2019, the Ninth Circuit issued its
opinion affirming the preliminary injunction. Lower
courts had jurisdiction under 28 U.S.C. 1331 and
28 U.S.C. 1291. On January 8, 2020, Justice Kagan
extended the time to file a petition for a writ of
certiorari to February 19, 2020. This Court has
jurisdiction under 28 U.S.C. 1254(1).
PERTINENT CONSTITUTIONAL,
STATUTORY, AND REGULATORY
PROVISIONS
Pertinent constitutional, statutory, and regulatory
provisions appear in the Appendix at App.122a–84a.
3
INTRODUCTION
This petition presents two questions arising out of
a multi-state lawsuit challenging the federal
government’s decision to exempt religious and moral
objectors from federal regulatory requirements to
provide health plans that include abortifacient and
contraceptive coverage. The second question—about
the validity of the exemptions—is likely to be
definitively resolved by this Court’s decision in Little
Sisters of the Poor Saints Peter and Paul Home v.
Pennsylvania, No. 19-431, and Trump v. Pennsylvania, No. 19-454. If so, a GVR is appropriate. But
either in Little Sisters and Trump or here, a threshold
question is also ripe for this Court’s review: whether
the plaintiff States have Article III standing to
challenge the religious and moral exemptions based
on a hypothetical increase in their discretionary,
voluntary healthcare spending. Because the States
have no legal right to a federal regulatory rule that
compels employers to provide abortifacients and
contraception, the States lack standing.
Many conflicts are unavoidable after this Court
created a constitutional right to abortion in Roe v.
Wade, 410 U.S. 113 (1973). The conflict here is wholly
avoidable. Moral or religious objections to abortion
are millennia old, and our country has always
respected them. In fact, the same day this Court
decided Roe, it lauded Georgia’s statutory exemption
for hospitals and employees with “moral or religious”
objections from facilitating or carrying out abortions.
Doe v. Bolton, 410 U.S. 179, 197–98 (1973). Corporate
and individual conscience protections like these kept
peace in Roe’s wake and served as a groundwork of
our Nation’s social policy for almost 40 years.
4
Earthshattering change came in 2011 when the
U.S. Department of Health and Human Services
(HHS) issued guidelines under the Affordable Care
Act that forced many employers to cover all
contraceptive methods approved by the Food and
Drug Administration (FDA) in their private health
plans. Some of these methods—including “emergency
contraception”—may stop an embryo from implanting
in the uterine wall, ending an early human life.
Appalled by this requirement to deliver abortifacient
drugs, dozens of employers with religious, pro-life
convictions sued, as did March for Life and one other
non-profit with equivalent moral beliefs.
Initially, objectors’ pleas fell on deaf ears. Federal
agencies’ religious exemptions were sparing and their
moral protections non-existent. But after years of
litigation, multiple trips to this Court, and mounting
legal losses, federal agencies returned to the Nation’s
status quo ante. They issued interim and then final
regulations exempting private employers with moral
or religious objections from offering objectionable
forms of contraception and counseling in their health
plans. The agencies retained a less protective “accommodation” that satisfied some, but not all, objectors
by authorizing their health plan issuer or third-party
administrator to provide contraception through their
health plans in their stead. HHS also ensured access
to government-subsidized contraception to any
woman who lacked it based on her employers’ moral
or religious beliefs.
This compromise should have ended the conflict.
But states that favor abortion subsidies and oppose
freedom of conscience could not let it rest and sued.
5
In ruling for the plaintiff States, the Ninth Circuit
made two critical mistakes. First, the Ninth Circuit
erred in holding that the States had Article III
standing. App.20a–22a. The States’ theory is that
when the federal government first promulgated the
abortifacient and contraceptive mandate, it shifted
the cost of providing abortifacients and contraceptives
from the States to private employers. When the
federal government created the limited religious and
moral exemptions, some small percentage of those
costs might shift back, because the States would
provide free abortifacients and contraceptives to
employees who no longer received them from their
employers. Those hypothetical “exemption costs,”
claim the States, are enough to create Article III
standing.
Not so. To begin, the States had no credible
evidence that exempting moral and religious objectors
would lead to the States voluntarily spending more
discretionary funds on optional healthcare programs.
Nobody knows how many employers the regulations
will impact, or in which states. Employers who invoke
the exemption are likely to have employees who also
object to abortifacients and contraceptives. And the
States have no obligation to provide abortifacients
and contraceptives anyway. The States’ “harm” was
only ever a theory.
More important, the States had no right to this
financial windfall in the first place. States have no
entitlement to a federal-government abortifacient
and contraceptive mandate. If the federal agencies
had eliminated the mandate, the States would have
no legal basis to complain. What the federal
government gives, it can also take away.
6
Instead, the Ninth Circuit should have asked
whether the States were seeking “compensation for,
or preventing, the violation of a legally protected
right.” Vt. Agency of Nat. Res. v. United States ex rel.
Stevens, 529 U.S. 765, 772 (2000) (emphasis added).
And the answer is an obvious no. HHS had no
obligation to force employers to cover all FDAapproved contraceptives; the mandate was a matter
of agency discretion, as was the agencies’ decision not
to impose it on conscientious objectors.
The States lack standing to challenge every
adjustment federal agencies make to discretionary
regimes that may collaterally aid the States’ voluntary social welfare spending. The regulations at issue
are not aimed at the States and do not require—or
prevent—the States from doing anything. The States
have a free hand to increase or decrease funding,
change eligibility requirements, eliminate their
healthcare programs altogether, or take any number
of intermediate steps without federal penalty. Thus,
any harm to the States’ fiscs is entirely self-imposed,
and they lack standing.
Second, the Ninth Circuit said that the federal
agencies probably lacked authority to issue the moral
and religious exemptions, and those rules are likely
arbitrary and capricious. App.28a–43a. Again, not so.
In enacting the Affordable Care Act, Congress said
nothing about requiring employers to provide abortifacients and contraception. Though the legislation left
agencies with discretion to include such a requirement, the agencies had concomitant discretion to
fashion religious and moral exemptions based on the
Constitution, the Religious Freedom Restoration Act,
and this Court’s decisions.
7
The final exemptions are balanced and address
concerns on all sides. They are not arbitrary or
capricious. This Court should so hold in the Trump
and Little Sisters cases and, at the very least, grant,
vacate, and remand this case to the Ninth Circuit so
that it can conform its views to this Court’s decision.
STATEMENT OF THE CASE
A. The
ACA’s
“preventive
care
and
screenings” requirement for women.
The Affordable Care Act, commonly referred to as
the ACA, regulates our Nation’s health-insurance
industry in unprecedented ways. It requires many
employers not just to offer health insurance but plans
that cover certain (1) items or services, (2) immunizations, (3) child preventive care and screenings, and
(4) preventive care and screenings for women,
without cost sharing. 42 U.S.C. 300gg-13. Exempt
from these requirements are employers with fewer
than 50 employees, who are not required to offer
health coverage, and employers with grandfathered
health plans that predated the ACA and have not
undergone certain changes. Burwell v. Hobby Lobby
Stores, Inc., 573 U.S. 682, 699 (2014).
Conscientious objectors have no quarrel with the
ACA’s mandatory-coverage provisions. They object
not to the health insurance or preventive-care-andscreening requirement but to the agency gap filling
that followed.
8
In the ACA itself, Congress provided that health
plans offer “with respect to women, such additional
preventive care and screenings . . . as provided for in
comprehensive guidelines supported by the Health
Resources and Services Administration,” a division of
HHS. 42 U.S.C. 300gg-13(a)(4). This discretionary
grant of authority is buttressed by provisions giving
federal agencies the power to “promulgate such
regulations as may be necessary or appropriate to
carry out” Congress’ broad decree. 42 U.S.C. 300gg92; 29 U.S.C. 1191c; 26 U.S.C. 9833.
In turn, HHS delegated the job of fleshing out the
women’s preventive-care-and-screenings requirement
to the Institute of Medicine, “a nonprofit group of
volunteer advisers.” Hobby Lobby, 573 U.S. at 697.
These consultants urged HHS to mandate free
coverage of all FDA “approved contraceptive methods,
sterilization procedures, and patient education and
counselling.” 77 Fed. Reg. 8,725, 8,725 (Feb. 15, 2012).
HHS generally followed this recommendation and
required many private employers to cover contraceptive methods that “may have the effect of preventing an already fertilized egg from developing any
further by inhibiting its attachment to the uterus.”
Hobby Lobby, 573 U.S. at 697–98.
Simultaneously, HHS and the Departments of
Labor and the Treasury granted the Health
Resources and Services Administration “discretion to
establish an exemption for group health plans
established or maintained by certain religious
employers,” i.e., churches and their integrated
auxiliaries. 77 Fed. Reg. at 8,726.
9
The agencies’ rationale was that churches’
employees “would be less likely to use contraceptives
even if contraceptives were covered under their
health plans.” Id. at 8,728. Though the same is true of
the employees of many religious and non-religious
non-profits opposed to abortion—including March for
Life—the agencies made no exception for them.
No state ever challenged the agencies’ church
exemption, which does not require qualifying entities
to do anything to obtain an exception. Hobby Lobby
573 U.S. at 698. In fact, many states provide similar
or broader religious exemptions to their own
contraceptive mandates. 77 Fed. Reg. at 8,726.
Originally, employers like March for Life who
offered health insurance but refused to cover
abortifacients in their health plans faced public or
private lawsuits under ERISA and fines up to $100
per plan participant per day. 29 U.S.C. 1132; 26
U.S.C. 4980D. While employers who dropped health
coverage altogether faced potential penalties of
$2,000 per employee each year. 26 U.S.C. 4980H.
B. The widespread litigation sparked by the
agencies’ choice and the modifications
the agencies made pre-Zubik.
The agencies’ decision to exempt only churches
and their integrated auxiliaries from the contraception mandate sparked intense backlash. Dozens of
non-profit organizations and closely held, for-profit
businesses sued, primarily under RFRA, the
Religious Freedom Restoration Act of 1993. 42 U.S.C.
2000bb et seq.
10
Because the agencies’ extreme position was legally
indefensible, they quickly began making regulatory
changes. They staunchly refused to exempt religious
non-profits opposed to abortion from the contraception mandate—as they did churches. But they
agreed to provide a regulatory “accommodation” or
alternative means of compliance by which religious
non-profits’ health insurance issuers or third-party
administrators could provide abortifacients and
contraceptives in their stead.
To access the accommodation, religious non-profits
had to submit a form to their health insurance issuer
or third-party administrator. This form was more
than just notice of a religious objection. It was an
instrument under which objectors’ health plans were
operated. 29 C.F.R. 2510.3-16(b)&(c). And for selfinsured plans, it served as a special designation of the
third-party administrator as plan and claims administrator for making payments for contraceptive
services. 78 Fed. Reg. 39,870, 39,880 (July 2, 2013).
Under this iteration of the regulatory scheme,
(1) churches and their integrated auxiliaries were
exempt from the contraception mandate, (2) religious
non-profits with objections to abortion could
authorize others to provide abortifacients via the nonprofits’ own health plans, (3) non-religious non-profits
with objections to abortion—like March for Life—had
to cover abortifacients directly, and (4) for-profit
businesses also had to cover abortifacients directly no
matter if their owners objected to abortion and their
companies were closely held.
11
Because the agencies imposed a third-party
administrator’s duty to provide contraceptives under
ERISA, and ERISA does not apply to church plans, 29
U.S.C. 1003(b)(2), the agencies effectively exempted
certain church-affiliated non-profits from the contraceptive mandate, including some hospitals and
universities. The agencies lacked any basis for
compelling these entities’ third-party administrators
to deliver contraceptives. 79 Fed. Reg. 51,092, 51,095
n.8 (Aug. 27, 2014).
But some objectors’ consciences were not
assuaged, and this Court was forced to intervene. It
first enjoined the agencies from enforcing the
contraceptive mandate or the accommodation against
a religious order pending appeal to the Tenth Circuit.
Expressing no view on the merits, this Court allowed
Little Sisters of the Poor to obtain an exemption by
informing the Secretary of HHS, in writing, that it
holds itself out as religious and has religious
objections to covering contraceptives. Little Sisters of
the Poor Home for the Aged, Colo. v. Sebelius, 571 U.S.
1171 (2014).
Several months later, this Court ruled on the
merits that it violated RFRA for the agencies to
impose the contraceptive mandate on closely-held,
for-profit businesses whose owners objected to
abortion on religious grounds. Hobby Lobby, 573 U.S.
at 736. Whether or not the accommodation satisfied
“RFRA for purposes of all religious claims,” it satisfied
Hobby Lobby’s and Conestoga’s objections and proved
that the agencies had less restrictive means of
obtaining their goals. Id. at 730–31.
12
This Court’s ruling in Hobby Lobby made two
things clear. First, the agencies could not impose the
mandate directly on religious objectors, either forprofit or non-profit. And second, the accommodation
suffices for those with no objection to it.
Not long after, this Court granted an injunction
pending appeal barring the agencies from enforcing
either the contraceptive mandate or the accommodation against a religious college. Wheaton College
could obtain an exemption by informing the Secretary
of HHS, in writing, that it is a non-profit that holds
itself out as religious and has religious objections to
covering contraceptives. Wheaton Coll. v. Burwell,
573 U.S. 958 (2014). Though this Court expressed no
view on the merits, ibid., this trend of granting
interim relief to objectors suggested the existing
accommodation could not pass muster.
The agencies went back to the drawing board. Still
refusing to exempt religious non-profits from the
mandate, they revised the accommodation. Religious
non-profits could comply with the mandate either by
submitting the official form to their health insurance
issuer/third-party administer or sending a “notice” to
HHS. The notice had to contain: (1) the entities’ name
and the reason it qualifies for the accommodation,
(b) a description of its religious objection to covering
contraceptives, (c) the name and type of its health
plan, and (d) the name and contact information of its
health insurance issuer or third-party administrator.
79 Fed. Reg. 51,092, 51,094–95 (Aug. 27, 2014). Then
HHS would notify a religious non-profit’s insurer or
third-party administrator, on the non-profit’s behalf,
of its new obligation to provide contraceptive coverage
to employees. Id. at 51,095; 29 C.F.R. 2510.3-16(b).
13
The agencies also made closely-held, for-profits
whose owners objected to covering abortifacients
eligible for the new accommodation. 80 Fed. Reg.
41,318, 41,324 (July 14, 2015). But they still offered
no exemption or accommodation to non-religious, nonprofits with moral objections to abortion. This gave
March for Life less conscience protection than Hobby
Lobby.
C. Zubik and its aftermath
Not all objectors’ consciences were assuaged by the
revised accommodation because it still required them
to authorize use of their own health plans to provide
abortifacient drugs. Dozens of lawsuits continued,
and this Court granted emergency relief to a group of
Catholic dioceses and related entities pending the
filing and disposition of their cert. petition. Zubik v.
Burwell, 135 S. Ct. 2924 (2015). Ultimately, this
Court took and consolidated seven cases brought
chiefly by religious non-profits.
Before this Court, the agencies admitted several
key facts about the accommodation. First, contraceptive services provided by a religious non-profit’s
health insurance issuer or third-party administrator
are “part of the same [health] plan as the coverage
provided by the employer.” Br. for Resp’ts at 38, Zubik
v. Burwell, 136 S. Ct. 1557 (2016) (No. 14-1418). They
are not “separate,” as the agencies had long claimed.
Second, the agencies claimed that they could not
ensure the delivery of abortifacients without religious
non-profits turning over the name and contact
information of their health insurance issuer or thirdparty administrator. Id. at 87–88. Providing this
14
data, besides stating a religious objection, was a “but
for” cause of abortifacients’ delivery.
Third, the agencies confessed the need for
religious non-profits to submit a written document
legally authorizing others to provide abortifacients
through their own private health plans. Id. at 16 n.4.
Either the official form or notice to HHS served as
religious non-profits’ designation of someone else to
provide abortifacients in their stead. Ibid.
Fourth, in a supplemental brief ordered by this
Court, the agencies admitted that the regulatory
scheme “could be modified” to better accommodate
objectors’ concerns. Suppl. Br. for Resp’ts at 3, 14,
Zubik v. Burwell, 136 S. Ct. 1557 (2016) (No. 141418). The accommodation was not the least
restrictive means of accomplishing their goals.
Given this, and religious non-profits’ assurance
they did not object to their health insurers providing
contraceptives without them, this Court vacated the
judgments below and remanded the cases. Zubik v.
Burwell, 136 S. Ct. 1557, 1560 (2016) (per curiam). It
gave the agencies “an opportunity” to better
accommodate religious non-profits’ objections. Ibid.
The agencies solicited public comments on options
to revise the accommodation yet again. 81 Fed. Reg.
47,741, 47,741 (July 22, 2016). But no regulatory
changes resulted. Shortly after the 2016 presidential
election, the agencies stated that it was impossible to
modify the accommodation to resolve objectors’
concerns. U.S. Dep’t of Labor, FAQs About Affordable
Care Act Implementation Part 36 (Jan. 9, 2017),
https://bit.ly/2Sv6Q3z. Dozens of lawsuits remained
pending, including one March for Life filed in 2014.
15
D. March for Life and its lawsuit
March for Life is one of the oldest and best-known
pro-life organizations in the country. It is a nonreligious, charitable organization that exists to
protect, defend, and respect human life at every stage,
and to promote the worth and dignity of all unborn
children. To say that March for Life opposes abortion
is an understatement: that opposition is the reason
the organization exists.
One of March for Life’s basic moral convictions is
that human life begins at conception/fertilization and
that a human embryo is a human life that should be
protected. Because hormonal oral and implantable
contraceptives, IUDs, and so-called “emergency
contraception” may prevent a human embryo from
implanting in the uterus, thereby causing an
abortion, March for Life cannot include them in its
health plan. Nor would its employees—all of whom
share those beliefs—use these abortifacients.
Yet the agencies required March for Life to violate
its reason for existence by paying for coverage of
abortifacient drugs. They made no allowance for
moral objections to abortion. So, March for Life was
forced to sue in the U.S. District Court for the District
of Columbia. It made a straightforward equalprotection claim. The agencies could not exempt
churches from the contraceptive mandate because
their employees were “more likely” to share their
religious, pro-life beliefs, 78 Fed. Reg. at 39,874
(emphasis added), but apply the mandate to March
for Life whose employees certainly do share its moral,
pro-life convictions.
16
The district court agreed and permanently
enjoined the agencies from enforcing the mandate
against March for Life. March for Life v. Burwell, 128
F. Supp. 3d 116, 134 (D.D.C. 2015). But the agencies
appealed and persuaded the D.C. Circuit to hold the
case in abeyance for years. Eventually, March for
Life’s lawsuit partially inspired the agencies to
reconsider their regulatory scheme. 83 Fed. Reg.
57,592, 57,595–96, 57,602–03 (Nov. 15, 2018).
E. The agencies reconsider and
broader conscience exemptions.
create
After prevailing in an election where the contraceptive mandate was a major matter, President
Trump issued an executive order directing the
agencies to consider regulatory changes “to address
conscience-based objections.” Exec. Order No. 13,798,
82 Fed. Reg. 21,675 (May 4, 2017).
The agencies later revisited the matter and issued
final rules concluding: (1) Congress has protected
moral and religious objectors in the healthcare
context for decades, (2) the agencies had exempted
many employers from the contraceptive mandate
from its inception, (3) the mandate and revised
accommodation violated RFRA in many instances,
(3) creating an exemption for employers with moral
objections and enlarging the existing religious
exemption was justified, and (4) these carve outs were
preferable to eliminating the contraceptive mandate
altogether. 83 Fed. Reg. 57,536 (Nov. 15, 2018); 83
Fed. Reg. 57,592 (Nov. 15, 2018).
17
The final rules, issued after notice and comment,
establish moral and religious exemptions from the
contraceptive mandate for which March for Life and
others had long advocated in court and the public
square. The agencies agreed to no longer force entities
such as churches, non-profits, for-profits that are not
publicly traded, and private colleges to establish,
maintain, provide, offer, or arrange for abortifacient
drugs. But the mandate otherwise remains in place
and qualifying employers must provide any FDAapproved contraceptive or sterilization items, procedures, services, and counseling to which they have no
moral or religious objection. 45 C.F.R. 147.132; 45
C.F.R. 147.133.
Furthermore, the agencies kept the religious
accommodation, which satisfied many employers, as
a voluntary option and made it available to moral
objectors. 83 Fed. Reg. at 57,561; 83 Fed. Reg. at
57,623–24. HHS also ensured that any low-income
woman who might lose access to contraceptives due to
her employer’s moral or religious objection could
receive them under Title X. 84 Fed. Reg. 7,714 (Mar.
4, 2019).
These regulatory changes eventually caused the
agencies to voluntarily dismiss the appeal in March
for Life’s case. The D.C. Circuit granted that motion,
leaving the district court’s permanent injunction in
place. March for Life v. Azar, No. 15-5301, 2018 WL
4871092, at *1 (Sept. 17, 2018).
18
F. The plaintiff States sue, and the Ninth
Circuit affirms an injunction against the
final rules.
This truce should have brought lasting peace. But
California, 12 other states, and the District of
Columbia (collectively, the “States”), sued to overturn
the agencies’ moral and religious exemptions,
claiming they violated the Administrative Procedure
Act (“APA”), Establishment Clause, and equal
protection. March for Life intervened to defend the
moral exemption.
The U.S. District Court for the District of
Northern California ruled that the States had Article
III standing because the final regulations were
reasonably probable to damage the States’ fiscs
“through increased reliance on [voluntarily] statefunded family-planning programs and through the
[voluntary] state-borne costs of unintended pregnancies.” App.78a. After reimagining the contraceptive
mandate as a statutory requirement, the district
court preliminarily enjoined the agencies from enforcing the final rules because (1) RFRA did not require
the religious exemption; (2) the religious accommodation was enough; and (3) the moral exemption was
inconsistent with the ACA. App.84a–111a.
A divided Ninth Circuit panel affirmed. The States
brought a substantive—not procedural—APA challenge to the final rules. Yet the Ninth Circuit held the
States had Article III standing based on an earlier
ruling that hinged on the States raising a procedural
APA claim. App.21a–22a; see also California v. Azar,
911 F.3d 558, 571 (9th Cir. 2018) (“We hold that the
states have standing to sue on their procedural APA
19
claim.”); id. at 573 (“causation and redressability
requirements are relaxed once a plaintiff has
established a procedural injury”) (cleaned up). The
only new grounds the majority gave for identifying
standing was that the States’ causation theory relied
on the “predictable effect of Government action on the
decisions of third parties.” App.22a (quoting Dep’t of
Commerce v. New York, 139 S. Ct. 2551, 2566 (2019)).
On the merits, the majority held that the agencies
likely (1) lacked statutory authority to establish the
moral or religious exemptions; (2) had no business
pre-emptively avoiding serial violation of RFRA,
which courts must litigate case-by-case; and
(3) successfully avoided any RFRA violation by
establishing the religious accommodation. App.28a–
42a.
Judge Kleinfeld dissented because he believed
that the Third Circuit’s affirmance of a nationwide
injunction against enforcing the final rules had
mooted the case. App.45a–52a. Judge Kleinfeld also
concluded that the States lacked Article III standing
because any fiscal harm they might experience was
entirely self-inflicted. App.50a (citing California, 911
F.3d at 585–88 (Kleinfeld, J., dissenting)).
On remand, the district court canceled summary
judgment proceedings due to the nationwide
injunction affirmed by the Third Circuit in Little
Sisters and Trump, and it effectively put this case on
hold.
20
REASONS FOR GRANTING THE WRIT
“Relaxation of standing requirements is directly
related to the expansion of judicial power.” Clapper v.
Amnesty Int’l USA, 568 U.S. 398, 408–09 (2013). The
Ninth Circuit’s decision all but erased Article III’s
criteria for suit, then redirected executive-branch
policy on conscientious objections to abortion. It is
hard to think of a recent federal case that has set the
standing bar lower.
The reality is that the States are just concerned
bystanders; no rights or obligations flow from the
ACA to them. The States’ standing theory is grounded
in speculation and choice: in theory, the agencies’
contraceptive mandate relieves them of healthcare
costs they voluntarily assumed and may stop paying
without consequence. And the States have no right to
the federal government continuing to force any
employer to cover abortifacients and contraception.
Besides the States’ lack of standing, certiorari is
warranted to correct the Ninth Circuit’s merits
analysis of the moral and religious exemptions. This
is the issue squarely before the Court in Little Sisters
and Trump, and any ruling in those cases should also
be applied here to protect those like March for Life.
21
I. Article III standing is a basic constitutional
requirement, and this Court has an independent duty to ensure it exists.
Article III asks if a litigant has standing to invoke
a federal court’s jurisdiction and obtain a ruling on
the merits. Warth v. Seldin, 422 U.S. 490, 498 (1975).
No inquiry is more central to sustaining federal
courts’ limited role in a democratic society. Summers
v. Earth Island Inst., 555 U.S. 488, 492–93 (2009).
Without it, courts would run roughshod over other
governmental branches, deciding not cases or controversies but “questions and issues” about hot-button
political topics. Ariz. Christian Sch. Tuition Org. v.
Winn, 563 U.S. 125, 132 (2011) (“ACSTO”). Standing,
then, is more than an academic concern. It guards the
separation of powers. Allen v. Wright, 468 U.S. 737,
752 (1984). Article III “preserves the tripartite
structure of our Federal Government, prevents the
Federal Judiciary from intruding upon the powers
given to the other branches, and confines the federal
courts to a properly judicial role.” Town of Chester v.
Laroe Estates, Inc., 137 S. Ct. 1645, 1650 (2017)
(cleaned up).
When a litigant lacks standing, “courts have no
charter to review and revise legislative and executive
action.” Summers, 555 U.S. at 492. They may only
dismiss the case. Steel Co. v. Citizens for a Better
Env’t, 523 U.S. 83, 94 (1998). And given its crucial
importance, standing “cannot be waived or forfeited.”
Va. House of Delegates v. Bethune-Hill, 139 S. Ct.
1945, 1951 (2019). Courts have a duty to ensure
jurisdiction, regardless whether the parties question
or concede it. Arizonans for Official English v.
Arizona, 520 U.S. 43, 73 (1997).
22
II. The States lack standing to challenge the
final rules, and the Ninth Circuit erred in
refusing to dismiss their suit.
Federal courts must ask, “Is this conflict really
necessary?” Arizonans for Official English, 520 U.S.
at 75. But the Ninth Circuit failed to take that Article
III question seriously, turning it into “a mechanical
exercise” that states may swiftly bypass. Allen, 468
U.S. at 751. Only this Court can stop lower courts
from overstepping their bounds to “decide abstract
questions of wide public significance even though
other governmental institutions may be more
competent to address [them] and . . . judicial intervention [is] unnecessary to protect individual rights.”
Warth, 422 U.S. at 500.
A. The States bear the burden of proving
standing’s three elements.
Under Article III, federal courts “may exercise
power only in the last resort, and as a necessity.”
Allen, 468 U.S. at 752 (cleaned up). So plaintiffs, like
the States, bear the burden of proving that they have
standing to sue. Clapper, 568 U.S. at 408.
Establishing courts’ jurisdiction requires the States to
show (1) an injury in fact, (2) fairly traceable to the
moral and religious exceptions (3) that is likely to be
redressed by a favorable judicial decision. Spokeo, Inc.
v. Robins, 136 S. Ct. 1540, 1547 (2016).
23
Claiming a nonobvious harm related to the final
regulations is insufficient for the States to show
standing. Bethune-Hill, 139 S. Ct. at 1951. They must
prove “an injury by submitting affidavits or other
evidence.” Wittman v. Personhuballah, 136 S. Ct.
1732, 1737 (2016) (cleaned up). But all the States can
muster are political grievances. None can prove
standing’s three elements. Thus, the Ninth Circuit
should have dismissed this case.
B. Because the States have no rights or
obligations at stake, and their standing
theory depends on rank speculation and
self-imposed harm, they cannot show an
injury in fact.
Injury in fact “is a hard floor of Article III
jurisdiction.” Summers, 555 U.S. at 497. Standing
cannot exist without it. A litigant must have “a legally
protected” or “cognizable interest” in the matter at
hand. Lujan v. Defs. of Wildlife, 504 U.S. 555, 560, 562
(1992). That interest must be real and urgent or
“actual or imminent,” as well as specific to the litigant
or “concrete and particularized.” Id. at 560.
Yet the States’ alleged injuries are none of the
above. States have no cognizable interest in the
agencies’ contraceptive mandate, which operates
against private employers to benefit employees.
Nothing gives the States a legal right to force the
agencies to redirect contraceptive payments they
voluntarily assumed to conscientious objectors. All
the States claim is self-imposed financial harm based
on the hypothetical actions of employers and
employees that is speculative and remote.
24
1. The States have no right to an indirect
financial windfall.
To articulate the States’ novel theory of standing
is to refute it. It goes as follows: (1) the States
voluntarily instituted programs that provide contraceptives to low-income women, (2) the religious and
moral exemptions will cause some employed women
to lose access to contraceptives, and (3) those women
will turn back to the States’ voluntary contraceptive
programs, costing the States money. App.21a (citing
California, 911 F.3d at 570–74).
This logic shows no injury in fact. The States have
no “personal right under the Constitution or any
statute to be free of action by [federal agencies] that
may have some incidental adverse effect” on them.
Warth, 422 U.S. at 509. Any indirect fiscal benefit the
contraceptive mandate provided to States was purely
serendipitous, not a matter of right.
Virtually every federal policy increases or reduces
the States’ costs. That does not give them standing to
freeze any beneficial administrative act. Federal
agencies owe the States nothing under the ACA.
The agencies’ contraceptive mandate and moral
and religious exemptions accord the States no rights
or duties. Nor do they “affect prejudicially any
proprietary or other right of the state subject to
judicial cognizance.” New Jersey v. Sargent, 269 U.S.
328, 334 (1926). In fact, they leave the States free to
do what they like. Id. at 338. The States may leave
their voluntary contraceptive programs as is, modify
their eligibility criteria, or cancel them altogether
without federal punishment.
25
What the States seek is “not to enforce specific
legal obligations whose violation works a direct harm”
against them, but to “restructure[e] . . . the apparatus
established by the Executive Branch to fulfill its legal
duties” under the ACA. Allen, 468 U.S. at 761. And
the Ninth Circuit allowed that improper gambit. But
the States lack Article III standing to commandeer
the federal government to support their social welfare
spending, particularly as the judiciary grants the
federal government “the widest latitude in the
dispatch of its own internal affairs.” Ibid.
2. Any injury to the States’ fiscs is
entirely self-imposed.
“No State can be heard to complain about damage
inflicted by its own hand.” Pennsylvania v. New
Jersey, 426 U.S. 660, 664 (1976). Yet that is precisely
the complaint the States make here. Any possible
injury to the State’s fiscs results “from decisions by
their respective state legislatures” to pay for women’s
contraception. Ibid. That decision is unrelated to the
federal agencies’ contraceptive mandate.
If the States are concerned about the costs of their
discretionary programs, “nothing prevents” them
from altering or eliminating them. Ibid. (Just as the
federal government is free to alter or eliminate its
own program.) But self-inflicted injury in the form of
voluntary spending does not open the door to federal
court. The agencies “neither require nor forbid any
action on” the States’ part. Summers, 555 U.S. at 493.
What the States are “really complaining about [is]
their own statute[s].” Pennsylvania, 426 U.S. at 667
(Blackmun, J., concurring).
26
The Ninth Circuit’s logic would allow the States
to “manufacture standing” at will. Clapper, 568 U.S.
at 416. States could draw the judiciary into the middle
of almost any federal regulatory change, remaking
courts as “continuing monitors of the wisdom and
soundness of Executive action,” Allen, 468 U.S. at 760,
and undermining “the public’s confidence in an
unelected but restrained Federal Judiciary,” ACSTO,
563 U.S. at 133.
3. The States’ claimed fiscal injury is
abstract and not certainly impending.
Though the States could formerly rely on the
lower standard of immediacy that applies to
procedural claims, Lujan, 504 U.S. at 572 n.7, they
raise no procedural challenge to the final rules. So
Article III’s requirements apply in full force: the
States’ “threatened injury must be certainly impending to constitute injury in fact.” Whitmore v.
Arkansas, 495 U.S. 149, 158 (1990) (cleaned up). The
problem is that the States’ alleged fiscal harm is “pure
speculation and fantasy.” Lujan, 504 U.S. at 567.
The final regulations’ economic impact is not
known to the States or anyone else. 83 Fed. Reg. at
57,607–08, 57,618; 83 Fed. Reg. at 57,550, 57,572–81.
For example, the States cannot cite a single employer
that likely intends to rely on the new moral or
expanded religious exemptions. That is because many
objectors were satisfied with the accommodation and
others—like March for Life—are already covered by
injunctions. And that is just the start of the “highly
attenuated chain of possibilities,” all of which must
align perfectly before the States could realize a
financial hit. Clapper, 568 U.S. at 410.
27
Even if a relevant employer exists within the
States’ bounds, the States do not know what specific
contraceptives it objects to and what contraceptives
its health plan beneficiaries want. Assuming a real
conflict, the States still cannot prove that it is likely:
(1) plan beneficiaries have no other coverage or way
to access their contraceptive of choice, (2) plan
beneficiaries will turn to State healthcare programs,
(3) plan beneficiaries will satisfy the States’ programs’ eligibility requirements, and (4) the States
will leave their programs the same and spend more
money on contraceptives or unintended pregnancies.
In short, the States claim an injury that is
nothing “more than an ingenious academic exercise in
the conceivable.” Warth, 422 U.S. at 509 (cleaned up).
Yet “standing theories that rest on speculation about
the decisions of independent actors” generally
collapse. Clapper, 568 U.S. at 414. Because this
litigation is merely the flip side of the coin presented
in Diamond v. Charles, 476 U.S. 54, 66 (1986), the
Ninth Circuit erred in holding that the States have
standing based on unmoored hypothesis.
No convincing evidence shows that “the string of
occurrences [the States] alleged would [ever]
happen”—let alone “immediately.” Whitmore, 495
U.S. at 159. Thus, the States lack Article III standing,
as even realistic threats are not enough to prove
imminent harm. Summers, 555 U.S. at 499–500.
28
4. The States allege a non-particularized
harm that treats federal courts as
general complaint bureaus.
One-third of states have lodged suits against the
moral and religious exemptions. That is strong
evidence that the States lack a particularized interest
and are simply airing their support for abortion in
federal court. Yet the Ninth Circuit turned the federal
judiciary into “general complaint bureaus” for those
unhappy with the democratic process. Hein v.
Freedom From Religion Found., Inc., 551 U.S. 587,
593 (2007).
The States have not tried to hide the true reason
they sued: they want a ruling that federal agencies
violated the ACA by exempting moral and religious
objectors from the contraceptive mandate. But “the
alleged violation of a right to have the Government
act in accordance with law [is] not judicially cognizable.” Lujan, 504 U.S. at 575. Article III requires
more than a “general interest common to all members
of the public.” Gill v. Whitford, 138 S. Ct. 1916, 1931
(2018) (cleaned up). That is all the States possess, as
the final rules do not impact them in any particularized way. They may be able to claim parens patriae
standing, but not in a lawsuit against the federal
government. Alfred L. Snapp & Son, Inc. v. Puerto
Rico ex rel. Barez, 458 U.S. 592, 610 n.16 (1982).
Though the States’ policy disagreement may be
more “sharp and acrimonious” than most, Diamond,
476 U.S. at 62, fervor alone does not satisfy Article
III. Standing requires more than the States’ general
“desire to vindicate [a pro-abortion] value interest[].”
Id. at 66.
29
C. Because the States’ alleged injury is selfinflicted and depends on the presumed
choices of multiple third parties, they
cannot show causation or redressability.
States must do a cost-benefit analysis whenever
they offer a discretionary benefit, such as providing
contraceptives. Nothing requires federal agencies to
insulate the States from the fiscal consequences of
their own unconstrained choice. Societal and market
conditions are always changing and the States, no
less than others, must adapt. A stubborn refusal to do
so creates nothing but manufactured harm. It is not
enough for the States to throw open courts’ doors and
attempt to convince the judiciary to block any federal
policy change the States dislike. Because any fiscal
injury the States may experience is entirely “selfinflicted,” their asserted “injuries are not fairly
traceable” to the final rules, Clapper, 568 U.S. at 418,
and they lack standing to sue.
What’s more, the States’ causation theory
“involves numerous third parties . . . who may not
even exist in [their] communities and whose independent decisions may not collectively have a significant
effect on” their healthcare costs. Allen, 468 U.S. at
759. Any standing theory that relies “on the unfettered choices made by independent actors not before
the courts” is highly suspect. Lujan, 504 U.S. at 562.
The States must do more than hypothesize: they must
“adduce facts showing” that employers’ and employees’ autonomous choices will align in a particular way
that actually costs the States money. Ibid.
30
But the States cannot name a single employer
inside their bounds who is likely to invoke the final
rules’ moral or religious exemption, let alone a woman
whose access to contraception is likely to be hindered
by that choice. It is impossible for the States to prove
that either outcome is anything more than rank
speculation. See Part II.B.3, above. The Ninth Circuit
erred in concluding otherwise, as there is nothing
“‘predictable’” about the States’ foretelling. App.22a.
Employers’ and employees’ “exercise of broad and
legitimate discretion” is not something that federal
“courts can[ ] presume either to control or to predict.”
Lujan, 504 U.S. at 562.
III.The agencies had statutory authority to
issue the moral and religious exemptions,
which are legally permissible (if not
required) and not arbitrary or capricious.
On the merits, the Ninth Circuit ruled that the
agencies probably lacked authority to issue the moral
and religious exemptions and those rules are likely
arbitrary and capricious. Neither holding bears
scrutiny. Congress left the preventive-care mandate a
blank slate and invested the agencies with ample
discretion to fashion not only its content, but limited
exemptions based on the Constitution, RFRA, and
this Court’s decisions. Moreover, the final rules are
balanced, address all relevant considerations, and
attempt to restore societal peace. Just because the
Ninth Circuit disagrees with objectors’ views does not
make accommodating them arbitrary or capricious.
31
A. The final regulations are within the
agencies’ gap-filling authority.
Any argument that the ACA does not allow the
agencies much, if any, discretion is based on cherrypicked legislative history and value judgments—not
the statute’s text. App.29a–33a. What Congress
actually said is that a component of HHS will enact
“comprehensive guidelines” fleshing out what the
ACA’s preventive-care requirement means, 42 U.S.C.
300gg-13(a)(4), and that the agencies could “promulgate such regulations as may be necessary or
appropriate to” accomplish that task, 42 U.S.C.
300gg-92; 29 U.S.C. 1191c; 26 U.S.C. 9833.
The agencies have done precisely what Congress
asked: they enacted comprehensive guidelines that
generally require employers to include all FDAapproved contraceptives in their health plans, but
then issued regulations exempting moral or religious
objectors that were necessary or appropriate based on
constitutional or statutory concerns.
“The power of an administrative agency to
administer a congressionally created program necessarily requires the formulation of policy and the
marking of rules to fill any gap left, implicitly or
explicitly, by Congress.” Mayo Found. for Med. Educ.
& Research v. United States, 562 U.S. 44, 55–56
(2011) (cleaned up). The ACA’s preventive-care gap is
explicit, and the discretion Congress granted the
agencies to fill it is broad. Congress expressly
delegated authority to the agencies to craft regulations interpreting the ACA’s preventive-care
provision. United States v. Mead Corp., 533 U.S. 218,
227 (2001).
32
“Regulation, like legislation, often requires
drawing lines.” Mayo Found., 562 U.S. at 59. The only
question is whether Congress would have expected
courts to treat the final regulations as within the
agencies’ gap-filling authority. Id. at 58. Congress
must have so expected because: (1) Congress is wellversed in the Constitution’s limits, (2) Congress
broadened those limits by enacting RFRA, and
(3) this Court has long afforded conscience protections
to those—like March for Life—whose moral
convictions are held with the strength of traditional
religious beliefs based on constitutional concerns,
Gillette v. United States, 401 U.S. 437, 445 (1971);
Welsh v. United States, 398 U.S. 333, 340 (1970)
(plurality); id. at 344 (Harlan, J., concurring).
The Ninth Circuit’s contrary decision directs
executive officials to ignore the Constitution and this
Court’s precedents until each individual employer
obtains a court judgment. App.34a–37a. That cannot
be right, which is why the Ninth Circuit admitted the
agencies may have authority to establish the church
exemption. App.32a–33a. But if Congress gave the
agencies discretion to craft that exemption, it
necessarily gave them the power to enact the final
rules too.
Under the Ninth Circuit’s logic, the agencies
lacked authority to address non-profits’ religious
liberty arguments proactively. App.34a–37a. Their
only option to address the serial RFRA violations that
Hobby Lobby unmasked would be to remove contraceptives from the preventive-care guidelines altogether. Nothing suggests that Congress intended to put
the agencies to this all-or-nothing choice.
33
B. The agencies’ conscious exemptions are
not arbitrary or capricious.
The agencies’ moral and religious exemptions are
the culmination of years of rulemaking, litigation, and
negotiation. Self-evidently, they are the agencies’
good-faith effort to bring peace to a fractured society.
All the APA demands is “good reasons for the new
policy” and the agencies’ belief it is better than the old
one. FCC v. Fox Television Stations, Inc., 556 U.S.
502, 515 (2009).
Here, the Ninth Circuit held that the final rules
were likely arbitrary and capricious by ignoring this
history and substituting the States’ policy “judgment
for that of the agenc[ies].” Id. at 513. App.37a–42a.
But the agencies “need not demonstrate to a court’s
satisfaction that the reason[s] for the new policy are
better than the reasons for the old one.” Fox
Television, 556 U.S. at 515. They must simply
“examine the relevant data and articulate a
satisfactory explanation” for their actions. Id. at 513.
Nothing lacks in the agencies’ inquiry or
reasoning here. The final rules are a balanced
attempt to provide FDA-approved contraceptives to
as many women as possible through employer-based
health plans, while respecting the freedom of
conscience on which our Nation was founded. Even a
cursory review of the final rules shows that the
agencies paid close heed to: (1) the ACA’s text and
structure, (2) Congress’ and our Nation’s history of
protecting freedom of conscience, (3) judicial
decisions, and (4) the likely benefits and burdens
associated with their chosen path. 83 Fed. Reg. at
57,594–57,613; 83 Fed. Reg. at 57,538–57,582.
34
IV.The questions presented
Court’s resolution.
require
this
The agencies and conscientious objectors have
been in litigation for years. Though the final rules
should have ended this conflict, the Ninth Circuit
invalidated the truce. If the decision is left in place,
federal courts (not the agencies) will force pro-life
non-profits like March for Life to violate their only
reason for existence. This Court should prevent that.
No doubt exists that the questions presented
deserve this Court’s attention. The Court has already
granted review in Little Sisters and Trump. Hobby
Lobby and Zubik also involved the agencies’
contraceptive mandate, which has long been a
national flashpoint. Moreover, the Court granted
review to decide a similar standing question in United
States v. Texas, 136 S. Ct. 906 (2016), but was unable
to do so because the Court was equally divided, 136 S.
Ct. 2271 (2016) (per curiam). Answering the standing
question is a matter of critical importance, as states
now often turn to courts to achieve outcomes voters
did not support at the polls.
This is also an appropriate vehicle to fix the
standing mess. First, March for Life raised the States’
lack of standing below and includes standing as a
fully briefed question presented.
Second, the Ninth Circuit affirmed enjoining the
final rules’ moral exemption without requiring the
States to identity a single pro-life non-profit within
their bounds that is likely to invoke it. Only two nonreligious charities sued, 83 Fed. Reg. at 57,595–96,
57,602, 57,617, and neither falls into this category.
35
Third, the Ninth Circuit’s holding that executive
officials have no duty to uphold the constitutional or
statutory rights of conscientious objectors absent a
court order is wrong. App.34a–37a. It is hard to
imagine courts requiring executive officials to
disregard any other legal obligation in this way.
Fourth, March for Life has standing to file this
petition. While some lower courts have required
intervenors to show independent Article III standing
even when the party they support appeals,
Pennsylvania v. President United States, 930 F.3d
543, 559 n.6 (3d Cir. 2019), this Court has rejected
that position. Because the agencies are petitioners in
this Court, March for Life may “‘piggyback’ on [their]
undoubted standing” and is “entitled to seek review.”
Diamond, 476 U.S. at 64. Intervening in support of
the agencies does not entail invoking this Court’s
jurisdiction or require March for Life to show
standing itself. Bethune-Hill, 139 S. Ct. at 1951; see
also Wittman, 136 S. Ct. at 1736 (only parties
“invoking a federal court’s jurisdiction” must
“demonstrate standing”). That a permanent
injunction protects March for Life against the
contraceptive mandate is irrelevant: the agencies’
standing fulfills Article III.
At a minimum, the Court should hold this case and
GVR it after issuing an opinion in Little Sisters and
Trump so that the Ninth Circuit can conform its views
to this Court’s decision.
36
CONCLUSION
The petition for a writ of certiorari should be
granted or held for the decision in Little Sisters and
Trump.
Respectfully submitted,
KRISTEN K. WAGGONER
JOHN J. BURSCH
Counsel of Record
DAVID A. CORTMAN
RORY T. GRAY
ALLIANCE DEFENDING
FREEDOM
440 First Street, N.W.
Suite 600
Washington, D.C. 20001
(616) 450-4235
jbursch@ADFlegal.org
KEVIN H. THERIOT
KENNETH J. CONNELLY
ALLIANCE DEFENDING
FREEDOM
15100 N. 90th Street
Scottsdale, AZ 85260
(480) 444-0020
BRIAN R. CHAVEZ-OCHOA
CHAVEZ-OCHOA LAW
OFFICES, INC.
4 Jean Street, Suite 4
Valley Springs, CA 95252
(209) 772-3013
FEBRUARY 2020
Counsel for Petitioner
APPENDIX
ia
APPENDIX TABLE OF CONTENTS
United States Court of Appeals
for the Ninth Circuit,
Opinion in 19-15072, 19-15118, and 19-15150
Issued October 22, 2019 ........................................... 1a
United States District Court
Northern District of California,
Opinion in 17-cv-05783-HSG
Issued January 13, 2019 ........................................ 53a
U.S. Constitutional Provisions ............................ 122a
5 U.S.C. 706(2)(A) ................................................ 123a
26 U.S.C. 4980D ................................................... 124a
26 U.S.C. 4980H ................................................... 131a
26 U.S.C. 5000A ................................................... 139a
42 U.S.C. 300gg-13(a) .......................................... 154a
42 U.S.C. 2000bb-1............................................... 156a
42 U.S.C. 2000bb-2(1) .......................................... 157a
42 U.S.C. 2000bb-3(a) .......................................... 157a
45 C.F.R. 147.131(a) (2013) ................................. 158a
45 C.F.R. 147.131 ................................................. 159a
45 C.F.R. 147.132 ................................................. 167a
45 C.F.R. 147.133 ................................................. 171a
iia
Excerpt from 83 Fed. Reg. 57592
(Nov. 15, 2018) ..................................................... 175a
Excerpt from 83 Fed. Reg. 57536
(Nov. 15, 2018) ..................................................... 179a
1a
FOR PUBLICATION
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
STATE OF CALIFORNIA;
STATE OF DELAWARE;
COMMONWEALTH OF
VIRGINIA; STATE OF
MARYLAND; STATE OF NEW
YORK; STATE OF ILLINOIS;
STATE OF WASHINGTON;
STATE OF MINNESOTA;
STATE OF CONNECTICUT;
DISTRICT OF COLUMBIA;
STATE OF NORTH
CAROLINA; STATE OF
VERMONT; STATE OF RHODE
ISLAND; STATE OF HAWAII,
Plaintiffs-Appellees,
v.
U.S. DEPARTMENT OF
HEALTH & HUMAN
SERVICES; U.S.
DEPARTMENT OF LABOR; R.
ALEXANDER ACOSTA, in his
official capacity as Secretary of
the U.S. Department of Labor;
ALEX M. AZAR II, Secretary of
the United States Department of
Health and Human Services;
U.S. DEPARTMENT OF THE
TREASURY; STEVEN TERNER
No. 19-15072
D.C. No.
4:17-cv-05783HSG
2a
MNUCHIN, in his official
capacity as Secretary of the U.S.
Department of the Treasury,
Defendants,
and
THE LITTLE SISTERS OF THE
POOR JEANNE JUGAN
RESIDENCE,
Intervenor-Defendant-Appellant.
STATE OF CALIFORNIA;
STATE OF DELAWARE;
COMMONWEALTH OF
VIRGINIA; STATE OF
MARYLAND; STATE OF NEW
YORK; STATE OF ILLINOIS;
STATE OF WASHINGTON;
STATE OF MINNESOTA;
STATE OF CONNECTICUT;
DISTRICT OF COLUMBIA;
STATE OF NORTH
CAROLINA; STATE OF
VERMONT; STATE OF RHODE
ISLAND; STATE OF HAWAII,
Plaintiffs-Appellees,
v.
U.S. DEPARTMENT OF
HEALTH & HUMAN
SERVICES; U.S.
DEPARTMENT OF LABOR; R.
No. 19-15118
D.C. No.
4:17-cv-05783HSG
3a
ALEXANDER ACOSTA, in his
official capacity as Secretary of
the U.S. Department of Labor;
ALEX M. AZAR II, Secretary of
the United States Department of
Health and Human Services;
U.S. DEPARTMENT OF THE
TREASURY; STEVEN TERNER
MNUCHIN, in his official
capacity as Secretary of the U.S.
Department of the Treasury,
Defendants-Appellants,
and
THE LITTLE SISTERS OF THE
POOR JEANNE JUGAN
RESIDENCE,
Intervenor-Defendant.
STATE OF CALIFORNIA;
STATE OF DELAWARE;
COMMONWEALTH OF
VIRGINIA; STATE OF
MARYLAND; STATE OF NEW
YORK; STATE OF ILLINOIS;
STATE OF WASHINGTON;
STATE OF MINNESOTA;
STATE OF CONNECTICUT;
DISTRICT OF COLUMBIA;
STATE OF NORTH
CAROLINA; STATE OF
VERMONT; STATE OF RHODE
ISLAND; STATE OF HAWAII,
No. 19-15150
D.C. No.
4:17-cv-05783
HSG
OPINION
4a
Plaintiffs-Appellees,
v.
U.S. DEPARTMENT OF
HEALTH & HUMAN
SERVICES; U.S.
DEPARTMENT OF LABOR; R.
ALEXANDER ACOSTA, in his
official capacity as Secretary of
the U.S. Department of Labor;
ALEX M. AZAR II, Secretary of
the United States Department of
Health and Human Services;
U.S. DEPARTMENT OF THE
TREASURY; STEVEN TERNER
MNUCHIN, in his official
capacity as Secretary of the U.S.
Department of the Treasury,
Defendants,
and
MARCH FOR LIFE
EDUCATION AND DEFENSE
FUND,
Intervenor-DefendantAppellant.
Appeals from the United States District Court
for the Northern District of California
Haywood S. Gilliam, Jr., District Judge, Presiding
Argued and Submitted June 6, 2019
San Francisco, California
5a
Filed October 22, 2019
Before: J. Clifford Wallace, Andrew J. Kleinfeld,
and Susan P. Graber, Circuit Judges.
Opinion by Judge Wallace;
Dissent by Judge Kleinfeld
SUMMARY*
Affordable Care Act
The panel affirmed the district court’s
preliminary injunction barring enforcement in
several states of final federal agency rules that
exempt employers with religious and moral objections
from the Affordable Care Act’s requirement that
group health plans cover contraceptive care without
cost sharing.
The panel first held that the plaintiff states had
standing to sue. The panel held that the panel’s prior
decision in California v. Azar, 911 F.3d 558, 566–68
(9th Cir. 2018), and its underlying reasoning
foreclosed any arguments otherwise. The panel
determined that plaintiffs failed to identify any new
factual or legal developments since the panel’s prior
* This summary constitutes no part of the opinion of the court.
It has been prepared by court staff for the convenience of the
reader.
6a
decision that required the panel to reconsider
standing here.
The panel noted that the day after the district
court issued its injunction of limited scope, covering
the territory of the thirteen plaintiff states plus the
District of Columbia, a district court in Pennsylvania
issued a similar nationwide injunction. See
Pennsylvania v. Trump, 351 F. Supp. 3d 791, 835
(E.D. Pa.), aff’d 930 F.3d 543 (3d Cir.), petition for
cert. filed, __ U.S.L.W. __ (U.S. Oct. 1, 2019) (No. 19431). The panel held that despite the nationwide
injunction from Pennsylvania, under existing
precedent, this appeal was not moot.
The panel held that the district court did not
abuse its discretion in concluding that the plaintiff
states were likely to succeed on the merits of their
claim brought under the Administrative Procedure
Act. The panel held that given the text, purpose, and
history of 42 U.S.C. § 300gg–13(a)(4), also known as
the Women’s Health Amendment, the district court
did not err in concluding that the agencies likely
lacked statutory authority under the Affordable Care
Act to issue the final rules. The panel determined
that, at the preliminary injunction stage, the evidence
was sufficient to hold that providing free contraceptive services was a core purpose of the Women’s
Health Amendment and that nothing in the statute
permitted the agencies to determine exemptions from
the requirement.
The panel rejected the argument that the
regulatory regime that existed before the rules’
issuance—i.e., the accommodation process—violated
the Religious Freedom Restoration Act and that the
7a
Act required or at least authorized the federal
agencies to eliminate the violation by issuing the
religious exemption. The panel held that even
assuming that agencies were authorized to provide a
mechanism for resolving perceived Religious Freedom
Restoration Act violations, the Act likely did not
authorize the religious exemption at issue in this
case. The panel held that the religious exemption
contradicts congressional intent that all women have
access to appropriate preventative care and the
exemption operates in a manner fully at odds with the
careful, individualized, and searching review
mandated by the Religious Freedom Restoration Act.
The panel held that regardless of the question of
whether the agencies had authority pursuant to the
Religious Freedom Restoration Act to issue the
exemption, the accommodation process likely did not
substantially burden the exercise of religion and
hence did not violate the Act. The panel noted that an
organization with a sincere religious objection to
arranging contraceptive coverage need only send a
self-certification form to the insurance issuer or a
third-party administrator or send a written notice to
the Department of Health and Human Services. Once
the organization has taken the simple step of
objecting, all actions taken to pay for or provide the
organization’s employees with contraceptive care is
carried out by a third party, i.e., insurance issuer or
third-party administrator. The panel held that
because appellants likely failed to demonstrate a
substantial burden on religious exercise, there was no
need to address whether the government had shown
a compelling interest or whether it has adopted the
least restrictive means of advancing that interest.
8a
The panel held that the district court did not
abuse its discretion by concluding that the plaintiff
states were likely to suffer irreparable harm absent
an injunction. Referring to the panel’s discussion in
its prior opinion, the panel reiterated that plaintiff
states will likely suffer economic harm from the final
rules, and such harm would be irreparable because
the states will not be able to recover monetary
damages flowing from the final rules. This harm was
not speculative; it was sufficiently concrete and
supported by the record. Finally, the panel held that
there was no basis to conclude that the district court
erred by finding that the balance of equities tipped
sharply in favor of the plaintiff states and that the
public interest tipped in favor of granting the
preliminary injunction.
Dissenting, Judge Kleinfeld stated that because
of the nationwide injunction from Pennsylvania, this
case was moot and that the panel lacked jurisdiction
to address the merits.
COUNSEL
Brinton Lucas (argued), Sharon Swingle, Lowell V.
Sturgill Jr., and Karen Schoen, Appellate Staff; David
L. Anderson, United States Attorney; Hashim M.
Mooppan, Deputy Assistant Attorney General;
Joseph H. Hunt, Assistant Attorney General; Civil
Division, United States Department of Justice,
Washington, D.C.; for Defendants-Appellants.
Mark Rienzi (argued), Eric C. Rassbach, Lori H.
Windham, Diana M. Vern, Chase T. Harrington, and
Chris Pagliarella, The Becket Fund for Religious
Liberty, Washington, D.C., for Intervenor-Defendant-
9a
Appellant The Little Sisters of the Poor Jeanne Jugan
Residence.
Kenneth J. Connelly (argued), David A. Cortman, and
Kevin H. Theriot, Alliance Defending Freedom,
Scottsdale, Arizona; Gregory S. Baylor and Christen
M. Price, Alliance Defending Freedom, Washington,
D.C.; Brian R. Chavez-Ochoa, Chavez-Ochoa Law
Offices Ins., Valley Springs, California; for
Intervenor-Defendant-Appellant March for Life
Education and Defense Fund.
Karli A. Eisenberg (argued) and Nimrod Pitsker
Elias, Deputy Attorneys General; Kathleen Boergers,
Supervising Deputy Attorney General; Michael L.
Newman, Senior Assistant Attorney General; Xavier
Becerra, Attorney General; Office of the Attorney
General, Sacramento, California; William Tong,
Attorney General; Maura Murphy Osborne, Assistant
Attorney General; Office of the Attorney General,
Hartford, Connecticut; Kathleen Jennings, Attorney
General; Ilona Kirshon, Deputy State Solicitor;
Jessica M. Willey and David J. Lyons, Deputy
Attorneys General; Delaware Department of Justice,
Wilmington, Delaware; Karl A. Racine, Attorney
General; Loren L. AliKhan, Solicitor General;
Caroline S. Van Zile, Deputy Solicitor General;
Graham E. Phillips, Assistant Attorney General;
Office of the Attorney General, Washington, D.C.;
Clare Connors, Attorney General; Erin Lau, Deputy
Attorney General; Department of the Attorney
General, Honolulu, Hawaii; Kwame Raoul, Attorney
General; Elizabeth Morris, Assistant Attorney
General; Office of the Attorney General, Chicago,
Illinois; Brian E. Frosh, Attorney General; Steven M.
Sullivan, Solicitor General; Kimberly S. Cammarata,
10a
Senior Assistant Attorney General; Attorney
General’s Office, Baltimore, Maryland; Keith Ellison,
Attorney General; Jacob Campion, Assistant
Attorney General; Office of the Attorney General, St.
Paul, Minnesota; Letitia James, Attorney General;
Barbara D. Underwood, Solicitor General; Lisa
Landau, Bureau Chief, Health Care Bureau; Steven
C.
Wu,
Deputy
Solicitor
General;
Ester
Murdukhayeva, Assistant Solicitor General; Office of
the Attorney General, New York, New York; Joshua
H. Stein, Attorney General; Sripriya Narasimhan,
Deputy General Counsel; Department of Justice,
Raleigh, North Carolina; Peter F. Neronha, Attorney
General; Michael W. Field, Assistant Attorney
General; Office of the Attorney General, Providence,
Rhode Island; Thomas J. Donovan Jr., Attorney
General; Eleanor Spottswood, Assistant Attorney
General; Attorney General’s Office, Montpelier,
Vermont; Mark R. Herring, Attorney General; Toby J.
Heytens, Solicitor General; Samuel T. Towell, Deputy
Attorney General; Office of the Attorney General,
Richmond, Virginia; Robert W. Ferguson, Attorney
General; Jeffrey T. Sprung and Alicia O. Young,
Assistant Attorneys General; Office of the Attorney
General, Seattle, Washington; for PlaintiffsAppellees.
Dwight G. Duncan, Colbe Mazzarella, North
Dartmouth, Massachusetts, for Amici Curiae
Residents and Families of Residents at Homes of the
Little Sisters of the Poor.
Ken Paxton, Attorney General; Jeffrey C. Mateer,
First Assistant Attorney General; Kyle D. Hawkins,
Solicitor General; Jason R. LaFond, Assistant
Solicitor General; Office of the Attorney General,
11a
Austin, Texas; Steve Marshall, Attorney General of
Alabama; Leslie Rutledge, Attorney General of
Arkansas; Christopher M. Garr, Attorney General of
Idaho; Lawrence Wasden, Attorney General of Idaho;
Jeff Landry, Attorney General of Louisiana; Eric
Schmitt, Attorney General of Missouri; Tim Fox,
Attorney General of Montana; Doug Peterson,
Attorney General of Nebraska; Mike Hunter,
Attorney General of Oklahoma; Alan Wilson,
Attorney General of South Carolina; Sean Reyes,
Attorney General of Utah; Patrick Morrisey, Attorney
General of West Virginia; for Amici Curiae States of
Texas, Alabama, Arkansas, Georgia, Idaho,
Louisiana, Missouri, Montana, Nebraska, Oklahoma,
South Carolina, Utah, and West Virginia.
Miles E. Coleman, Nelson Mullins Riley &
Scarborough LLP, Greenville, South Carolina, for
Amici Curiae Constitutional Law Scholars.
Stephanie N. Taub and Lea E. Patterson, First
Liberty Institute, Plano, Texas, for Amicus Curiae
First Liberty Institute.
Daniel L. Chen, Gibson Dunn & Crutcher LLP, San
Francisco, California; Paul Collins and Robert E.
Dunn, Gibson Dunn & Crutcher LLP, Palo Alto,
California; for Amicus Curiae Religious Sisters of
Mercy.
Elizabeth O. Gill, ACLU Foundation of Northern
California, San Francisco, California; Minouche
Kandel, ACLU Foundation of Southern California,
Los Angeles, California; Brigitte Amiri, ACLU
Foundation, New York, New York; David Loy, ACLU
Foundation of San Diego & Imperial Counties, San
Diego, California; for Amici Curiae American Civil
12a
Liberties Union, ACLU of Northern California, ACLU
of Southern California, ACLU of San Diego and
Imperial
Counties,
Anti-Defamation
League,
Leadership Conference on Civil and Human Rights,
and National Urban League.
Priscilla Joyce Smith, Yale Law School, Brooklyn,
New York, for Amicus Curiae Program for the Study
of Reproductive Justice at Yale Law School.
Jamie A. Levitt and Rhiannon N. Batchelder,
Morrison & Foerster LLP, New York, New York, for
Amici Curiae American Association of University
Women, Service Employees International Union, and
16 Additional Professional, Labor, and Student
Associations.
Diana Kasdan and Joel Dodge, Center for
Reproductive Rights, New York, New York; Dariely
Rodriguez, Dorian Spence, and Phylicia H. Hill,
Lawyers’ Committee for Civil Rights Under Law,
Washington, D.C.; for Amici Curiae Center for
Reproductive Rights, Lawyers’ Committee for Civil
Rights Under Law, California Women’s Law Center,
GLBTQ Legal Advocates & Defenders, Latinojustice
PRLDEF, Lawyers for Civil Rights, Legal
Momentum, Legal Voice, Mississippi Center for
Justice, National Center for Lesbian Rights, Public
Counsel, and Women’s Law Project.
Maura Healey, Attorney General; Elizabeth N.
Dewar, State Solicitor; Jonathan B. Miller, Jon
Burke, and Julia E. Kobick, Assistant Attorneys
General; Elizabeth Carnes Flynn, Special Assistant
Attorney General; Office of the Attorney General,
Boston, Massachusetts; Thomas J. Miller, Attorney
General, Office of the Attorney General, Des Moines,
13a
Iowa; Aaron M. Frey, Attorney General, Office of the
Attorney General, Augusta, Maine; Gurbir S. Grewal,
Attorney General, Office of the Attorney General,
Trenton, New Jersey; Hector Balderas, Attorney
General, Office of the Attorney General, Santa Fe,
New Mexico; Josh Shapiro, Attorney General, Office
of the Attorney General, Harrisburg, Pennsylvania;
for Amici Curiae Massachusetts, Iowa, Maine, New
Jersey, New Mexico, and Pennsylvania.
Fatima Gross Graves, Gretchen Borchelt, Michelle
Banker, and Sunu Chandy, National Women’s Law
Center, Washington, D.C.; Jane Liu, National Asian
Pacific American Women’s Forum, Washington, D.C.;
Sequoia Ayala and Jill Heaviside, Sisterlove Inc.,
Atlanta, Georgia; Jeffrey Blumenfeld, Lowenstein
Sandler LLP, Washington, D.C.; Naomi D.
Barrowclough, Lowenstein Sandler LLP, Roseland,
New Jersey; for Amici Curiae National Women’s Law
Center, National Latina Institute for Reproductive
Health, Sisterlove Inc., and National Asian Pacific
American Women’s Forum.
Bruce H. Schneider, Michele L. Pahmer, and Giliana
Keller, Stroock & Stroock & Lavan LLP, New York,
New York, for Amici Curiae Brief of Health
Professional Organizations, American Nurses
Association, American College of Obstetricians and
Gynecologists, American Academy of Nursing,
American Academy of Pediatrics, Physicians for
Reproductive Health, and California Medical
Association.
Leah R. Bruno, Alan S. Gilbert, Cicely R. Miltich, and
Jacqueline A. Giannini, Dentons US LLP, Chicago,
Illinois; Joel D. Siegel, Dentons US LLP, Los Angeles,
14a
California; for Amici Curiae U.S. Women’s Chamber
of Commerce and National Association for Female
Executives.
Cindy Nesbit, The Sikh Coalition, New York, New
York; Sirine Shebaya, Nimra Azmi, Muslim
Advocates, Washington, D.C.; Richard B. Katskee,
Carmen N. Green, and Alison Tanner, Americans
United for Separate of Church and State; for Amici
Curiae Religious and Civil-Rights Organizations.
Barbara J. Parker, City Attorney; Maria Bee, Erin
Bernstein, Malia McPherson, and Caroline Wilson;
Office of the City Attorney, Oakland, California;
James R. Williams, County Counsel; Greta S.
Hansen, Laura S. Trice, and Lorraine Van Kirk, San
Jose, California; Office of the County Counsel, San
Jose, California; for Amici Curiae 14 Cities, Counties,
and Local Agencies.
_________________________________________________
OPINION
WALLACE, Circuit Judge:
The Affordable Care Act (ACA) and the
regulations implementing it require group health
plans to cover contraceptive care without cost
sharing. Federal agencies issued final rules
exempting employers with religious and moral
objections from this requirement. The district court
issued a preliminary injunction barring the enforcement of the rules in several states. We have
jurisdiction under 28 U.S.C. § 1292, and we affirm.
15a
I.
We recounted the relevant background in a prior
opinion. See California v. Azar, 911 F.3d 558, 566–68
(9th Cir. 2018). We reiterate it here as necessary to
resolve this appeal.
The ACA provides:
A group health plan and a health insurance
issuer offering group or individual health
insurance coverage shall, at a minimum
provide coverage for and shall not impose any
cost sharing requirements for … with respect
to women, such additional preventive care
and screenings … as provided for in
comprehensive guidelines supported by the
Health
Resources
and
Services
Administration [HRSA] . . . .
42 U.S.C. § 300gg-13(a)(4) (also known as the
Women’s Health Amendment). HRSA established
guidelines for women’s preventive care that include
any “[FDA] approved contraceptive methods,
sterilization procedures, and patient education and
counseling.” Group Health Plans and Health
Insurance Issuers Relating to Coverage of Preventive
Services Under the Patient Protection and Affordable
Care Act, 77 Fed. Reg. 8,725-01, 8,725 (Feb. 15, 2012).
The three agencies responsible for implementing the
ACA—the Department of Health and Human
Services, the Department of Labor, and the
Department of the Treasury (collectively, agencies)—
issued regulations requiring coverage of all
16a
preventive care contained in HRSA’s guidelines.1 See,
e.g.,45 C.F.R. § 147.130(a)(1)(iv).
The agencies also recognized that religious
organizations may object to the use of contraceptive
care and to the requirement to offer insurance that
covers such care. For those organizations, the
agencies provide two avenues for alleviating those
objections. First, group health plans of certain
religious employers, such as churches, are categoryically exempt from the contraceptive care requirement. See Coverage of Certain Preventive Services
Under the Affordable Care Act, 78 Fed. Reg. 39,870,
39,874 (July 2, 2013). Second, nonprofit “eligible
organizations” that are not categorically exempt can
opt out of having to “contract, arrange, pay, or refer
for contraceptive coverage.” Id. To be eligible, the
organization must file a self-certification form stating
(1) that it “opposes providing coverage for some or all
of any contraceptive services required to be covered
under [the regulation] on account of religious
objections,” (2) that it “is organized and operates as a
nonprofit entity,” and (3) that it “holds itself out as a
religious organization.” Id. at 39,893. The
organization sends a copy of the form to its insurance
issuer or third-party administrator (TPA), which
must then provide contraceptive care for the
organization’s employees without any further
involvement by the organization. Id. at 39,875–76.
1 Certain types of plans, called “grandfathered” plans, were
statutorily exempt from the contraceptive care requirement. See
generally Final Rules for Grandfathered Plans, Preexisting
Condition Exclusions, Lifetime and Annual Limits, Rescissions,
Dependent Coverage, Appeals, and Patient Protections Under
the Affordable Care Act, 80 Fed. Reg. 72,192-01 (Nov. 18, 2015).
17a
The regulations refer to this second avenue as the
“accommodation,” and it was designed to avoid
imposing on organizations’ beliefs that paying for or
facilitating coverage for contraceptive care violates
their religion. Id. at 39,874.
The agencies later amended the accommodation
process in response to legal challenges. First, certain
closely-held for-profit organizations became eligible
for the accommodation. See Coverage of Certain
Preventive Services Under the Affordable Care Act,
80 Fed. Reg. 41,318-01, 41,343 (July 14, 2015); see
also Burwell v. Hobby Lobby Stores, Inc., 573 U.S.
682, 736 (2014). Second, instead of directly sending a
copy of the self-certification form to the issuer or TPA,
an eligible organization could simply notify the
Department of Health and Human Services in
writing, which then would inform the issuer or TPA
of its regulatory obligations. 80 Fed. Reg. at 41,323;
see also Wheaton Coll. v. Burwell, 134 S. Ct. 2806,
2807 (2014).
Various organizations then challenged the
amended accommodation process as a violation of the
Religious Freedom Restoration Act (RFRA). The
actions reached the Supreme Court, and the Supreme
Court vacated and remanded to afford the parties “an
opportunity to arrive at an approach going forward
that accommodates petitioners’ religious exercise
while at the same time ensuring that women covered
by petitioners’ health plans receive full and equal
health coverage, including contraceptive coverage.”
Zubik v. Burwell, 136 S. Ct. 1557, 1560 (2016)
(internal quotation marks and citation omitted). The
Court “express[ed] no view on the merits of the cases,”
and did not decide “whether petitioners’ religious
18a
exercise has been substantially burdened, whether
the [g]overnment has a compelling interest, or
whether the current regulations are the least
restrictive means of serving that interest.” Id.
The agencies solicited comments on the
accommodation process in light of Zubik, but
ultimately declined to make further changes. See
Dep’t of Labor, FAQs About Affordable Care Act
Implementation Part 36, at 4, www.dol.gov/sites/
default/files/ebsa/about-ebsa/our-activities/resourcecenter/faqs/aca-part-36.pdf. The agencies concluded,
in part, that “the existing accommodation regulations
are consistent with RFRA” because “the contraceptive-coverage requirement [when viewed in light of
the accommodation] does not substantially burden
the[] exercise of religion.” Id.
On May 4, 2017, the President issued an
executive order directing the secretaries of the
agencies to “consider issuing amended regulations,
consistent with applicable law, to address consciencebased objections to” the ACA’s contraceptive care
requirement. Promoting Free Speech and Religious
Liberty, Exec. Order No. 13,798, 82 Fed. Reg. 21,675,
21,675 (May 4, 2017). Thereafter, effective October 6,
2017, the agencies effectuated two interim final rules
(IFRs) which categorically exempted certain entities
from the contraceptive care requirement. See
Religious Exemptions and Accommodations for
Coverage of Certain Preventive Services Under the
Affordable Care Act, 82 Fed. Reg. 47,792, 47,792 (Oct.
13, 2017); Moral Exemptions and Accommodations for
Coverage of Certain Preventive Services Under the
Affordable Care Act, 82 Fed. Reg. 47,838-01, 47,838
(Oct. 13, 2017). The first exempted all entities “with
19a
sincerely held religious beliefs objecting to
contraceptive or sterilization coverage” and made the
accommodation optional for them. 82 Fed. Reg. at
47,808. The second exempted “additional entities and
persons that object based on sincerely held moral
convictions,” “expand[ed] eligibility for the accommodation to include organizations with sincerely held
moral convictions concerning contraceptive coverage,”
and made the accommodation optional for those
entities. 82 Fed. Reg. at 47,849.
California, Delaware, Maryland, New York, and
Virginia sued the agencies and their secretaries,
seeking to enjoin the enforcement of the IFRs and
alleging that they are invalid under the Administrative Procedure Act (APA). The district court, in
relevant part, held that the plaintiff states had
standing to challenge the IFRs and issued a nationwide preliminary injunction based on the states’
likelihood of success on their procedural APA claim—
that the IFRs were invalid for failing to follow notice
and comment rulemaking. After issuing the injunction, the district court allowed Little Sisters of the
Poor, Jeanne Jugan Residence (Little Sisters) and
March for Life Education and Defense Fund (March
for Life) to intervene.
We affirmed the district court except as to the
nationwide scope of the injunction. See California,
911 F.3d at 585. We limited the geographic scope of
the injunction to the states that were plaintiffs in the
case. See id. Shortly after the panel issued the
opinion, the final rules became effective on January
14, 2019, superseding the IFRs. See Religious
Exemptions and Accommodations for Coverage of
Certain Preventive Services Under the Affordable
20a
Care Act, 83 Fed. Reg. 57,536-01, 57,536 (Nov. 15,
2018); Moral Exemptions and Accommodations for
Coverage of Certain Preventive Services Under the
Affordable Care Act, 83 Fed. Reg. 57,592-01, 57,592
(Nov. 15, 2018). The final rules made “various
changes … to clarify the intended scope of the
language” in “response to public comments,” 83 Fed.
Reg. at 57,537, 57,593. However, the parties agree
that the final rules are materially identical to the
IFRs for the purposes of this appeal.
The plaintiff states then amended their complaint
to enjoin the enforcement of the final rules. They
alleged a number of claims, including that the rules
are substantively invalid under the APA. The
amended complaint joined as plaintiffs the states of
Connecticut, Hawaii, Illinois, Minnesota, North
Carolina, Rhode Island, Vermont, and Washington,
and the District of Columbia. The district court
determined that the final rules were likely invalid as
“arbitrary, capricious, an abuse of discretion, or
otherwise not in accordance with law,” and issued a
preliminary injunction. In light of the concerns
articulated in our prior opinion, see California, 911
F.3d at 582–84, the geographic scope of the injunction
was limited to the plaintiff states. The district court
then proceeded to ready the case for trial. The
agencies, Little Sisters, and March for Life appeal
from the preliminary injunction.
II.
We review standing de novo. See Navajo Nation v.
Dep’t of the Interior, 876 F.3d 1144, 1160 (9th Cir.
2017). We review a preliminary injunction for abuse
of discretion. See Network Automation, Inc. v.
21a
Advanced Sys. Concepts, Inc., 638 F.3d 1137, 1144
(9th Cir. 2011). “In deciding whether the district court
has abused its discretion, we employ a two-part test:
first, we ‘determine de novo whether the trial court
identified the correct legal rule to apply to the relief
requested’; second, we determine ‘if the district court’s
application of the correct legal standard was (1)
illogical, (2) implausible, or (3) without support in
inferences that may be drawn from the facts in the
record.’” Pimentel v. Dreyfus, 670 F.3d 1096, 1105 (9th
Cir. 2012) (quoting Cal. Pharmacists Ass’n v.
Maxwell-Jolly, 596 F.3d 1098, 1104 (9th Cir. 2010)).
The review is highly deferential: we must “uphold a
district court determination that falls within a broad
range of permissible conclusions in the absence of an
erroneous application of law,” and we reverse “only
when” we are “convinced firmly that the reviewed
decision lies beyond the pale of reasonable justification under the circumstances.” Microsoft Corp. v.
Motorola, Inc., 696 F.3d 872, 881 (9th Cir. 2012) (first
quoting Grant v. City of Long Beach, 715 F.3d 1081,
1091 (9th Cir. 2002); then quoting Harman v. Apfel,
211 F.3d 1172, 1175 (9th Cir. 2000)).
III.
We again hold that the plaintiff states have
standing to sue. As the agencies properly recognize,
our prior decision and its underlying reasoning foreclose any arguments otherwise. See California, 911
F.3d at 570–74; Nordstrom v. Ryan, 856 F.3d 1265,
1270–71 (9th Cir. 2017) (holding that, where a panel
previously held in a published opinion that the
plaintiff has standing, that ruling is binding under
“both the law-of-the-case doctrine and our law-of-thecircuit rules”); see also Rocky Mountain Farmers
22a
Union v. Corey, 913 F.3d 940, 951 (9th Cir. 2019)
(“[L]aw of the case doctrine generally precludes
reconsideration of an issue that has already been
decided by the same court, or a higher court in the
identical case”); Miranda v. Selig, 860 F.3d 1237, 1243
(9th Cir. 2017) (“[U]nder the law-of-the-circuit rule,
we are bound by decisions of prior panels[] unless an
en banc decision, Supreme Court decision, or
subsequent legislation undermines those decisions”
(internal quotation marks and alterations omitted)).
Little Sisters and March for Life have not
identified any new factual or legal developments since
our prior decision that require us to reconsider
standing here. To the contrary, a recent decision by
the Supreme Court strongly supports our previous
holding that the plaintiff states have standing. In
Department of Commerce v. New York, 139 S. Ct.
2551, 2566 (2019), the Supreme Court held that the
plaintiff states had standing, even though their
claims of harm depended on unlawful conduct of third
parties, because their theory of standing “relies . . . on
the predictable effect of Government action on the
decisions of third parties.” See also id. (“Article III
requires no more than de facto causality” (internal
quotation marks omitted)). Here, the plaintiff states’
theory of causation depends on wholly lawful conduct
and on the federal government’s own prediction about
the decisions of third parties. See California, 911 F.3d
at 571–73.
IV.
The thoughtful dissent suggests that this appeal
is moot because, the day after the district court issued
its injunction of limited scope, covering the territory
23a
of the thirteen plaintiff states plus the District of
Columbia, a district court in Pennsylvania issued a
similar nationwide injunction. See Pennsylvania v.
Trump, 351 F. Supp. 3d 791, 835 (E.D. Pa.), aff’d 930
F.3d 543 (3d Cir.), petition for cert. filed, __ U.S.L.W.
__ (U.S. Oct. 1, 2019) (No. 19-431). According to the
dissent, the nationwide injunction prevents us from
giving effective relief to the parties here and, accordingly, moots this appeal. We ordered supplemental
briefing on whether this appeal is moot, and the
parties unanimously agreed that this appeal is not
moot despite the nationwide injunction from
Pennsylvania. We agree.
As an initial matter, to our knowledge, no court
has adopted the view that an injunction imposed by
one district court against a defendant deprives every
other federal court of subject matter jurisdiction over
a dispute in which a plaintiff seeks similar equitable
relief against the same defendant. Instead, “in
practice, nationwide injunctions do not always foreclose percolation.” Spencer E. Amdur & David
Hausman, Nationwide Injunctions and Nationwide
Harm, 131 Harv. L. Rev. F. 49, 53 (2017). For
example, both this court and the Fourth Circuit
recently “reviewed the travel bans, despite
nationwide injunctions in both.” Id. at n.27.
The dissent appears to raise the “potentially
serious problem” of “conflicting injunctions” that arise
from the “forum shopping and decisionmaking effects
of the national injunction.” Samuel L. Bray, Multiple
Chancellors: Reforming the National Injunction, 131
Harv. L. Rev. 417, 462–63 (2017). Although courts
have addressed this problem in the past, no court has
done so based on justiciability principles.
24a
For example, we have held that, “[w]hen an
injunction sought in one proceeding would interfere
with another federal proceeding, considerations of
comity require more than the usual measure of
restraint, and such injunctions should be granted only
in the most unusual cases.” Bergh v. Washington, 535
F.2d 505, 507 (9th Cir. 1976). Significantly, however,
the attempt “to avoid the waste of duplication, to
avoid rulings which may trench upon the authority of
sister courts, and to avoid piecemeal resolution of
issues that call for a uniform result” has always been
a prudential concern, not a jurisdictional one. W. Gulf
Mar. Ass’n v. ILA Deep Sea Local 24, S. Atl. & Gulf
Coast Dist. of ILA, 751 F.2d 721, 729 (5th Cir. 1985).
The dissent claims that the majority is “making
the same mistake today that we made in Yniguez v.
Arizonans for Official English, when in our zeal to
correct what we thought was a wrong, we issued an
injunction on behalf of an individual regarding her
workplace.” Dissent at 43 (footnote omitted). Yniguez
is inapposite.
There, the United States Supreme Court reversed
our decision, holding that the plaintiff’s “changed
circumstances—her resignation from public sector
employment to pursue work in the private sector—
mooted the case stated in her complaint.” Arizonans
for Official English v. Arizona, 520 U.S. 43, 72 (1997).
Here, by contrast, the facts and circumstances
supporting the preliminary injunction have not
materially changed such that we are unable to affirm
the relief that the plaintiff states seek to have
affirmed. This is therefore not a case in which “the
activities sought to be enjoined already have occurred,
and the appellate courts cannot undo what has
25a
already been done” such that “the action is moot, and
must be dismissed.” Foster v. Carson, 347 F.3d 742,
746 (9th Cir. 2003) (quoting Bernhardt v. Cty. of Los
Angeles, 279 F.3d 862, 871 (9th Cir. 2002)). Article III
simply requires that our review provide redress for
the asserted injuries, which the district court’s
preliminary injunction achieves.
The dissent’s logic also proves too much. If a court
lacks jurisdiction to consider the propriety of an
injunction over territory that is already covered by a
different injunction, then the Pennsylvania district
court lacked jurisdiction to issue an injunction beyond
the territory of the thirty-seven states not parties to
this case. After all, when the Pennsylvania district
court issued its injunction, the district court here had
issued its injunction of limited geographic scope. We
hesitate to apply a rule that means that the Pennsylvania district court plainly acted beyond its jurisdiction. At most, then, the dissent’s reasoning would
lead us to conclude that the Pennsylvania injunction
is limited in scope to the territory of those thirtyseven non-party states. Under that interpretation,
the two injunctions complement each other and do not
conflict.
In any event, even if the Pennsylvania injunction
has a fully nationwide scope, we nevertheless retain
jurisdiction under the exception to mootness for cases
capable of repetition, yet evading review. “A dispute
qualifies for that exception only if (1) the challenged
action is in its duration too short to be fully litigated
prior to its cessation or expiration, and (2) there is a
reasonable expectation that the same complaining
party will be subjected to the same action again.”
United States v. Sanchez-Gomez, 138 S. Ct. 1532,
26a
1540 (2018) (internal quotation marks and citation
omitted). The first part is indisputably met here
because the interval between the limited injunction
and the nationwide injunction was one day—clearly
“too short [for the preliminary injunction] to be fully
litigated prior to its cessation or expiration.” Id. (quoting Turner v. Rogers, 564 U.S. 431, 439–40 (2011)).
The second part, too, is met because there is a
reasonable expectation that the federal defendants
will, again, be subjected to the injunction in this case.
See Enyart v. Nat’l Conf. of Bar Exam’rs, Inc., 630
F.3d 1153, 1159 (9th Cir. 2011) (applying the “capable
of repetition” exception on appeal from a preliminary
injunction and querying whether the defendant would
again be subjected to a preliminary injunction). In the
Pennsylvania case, a petition for certiorari challenges, among other things, the nationwide scope of
the Pennsylvania injunction. See Petition for Writ of
Certiorari, Little Sisters v. Pennsylvania, at 31–33
(No. 19-431). Given the recent prominence of the issue
of nationwide injunctions, the Supreme Court very
well may vacate the nationwide scope of the injunction. See Amanda Frost, In Defense of Nationwide
Injunctions, 93 N.Y.U. L. Rev. 1065, 1119 (2018)
(collecting arguments for and against nationwide
injunctions against the backdrop of “the recent surge
in nationwide injunctions”).
But no matter what action, if any, the Supreme
Court takes, the preliminary injunction in the
Pennsylvania case is, like all preliminary injunctions,
of limited duration. Once the Pennsylvania district
court rules on the merits of that case, the preliminary
injunction will expire. At that point, the federal defen-
27a
dants will once again be subjected to the injunction in
this case.
One possibility is to the contrary: the Pennsylvania district court could rule in favor of the plaintiffs,
choose to exercise its discretion to issue a permanent
injunction, and choose to exercise its discretion to give
the permanent injunction nationwide effect despite
the existence of an injunction in this case. That mere
possibility does not, however, undermine our conclusion that, given the many other possible outcomes
in the Pennsylvania case, there remains a “reasonable
expectation” that the federal defendants will be
subjected to the injunction in this case. A “reasonable
expectation” does not demand certainty.
We acknowledge that we are in uncharted waters.
The Supreme Court has yet to address the effect of a
nationwide preliminary injunction on an appeal
involving a preliminary injunction of limited scope.
Our approach to mootness in this case is consistent
with the Supreme Court’s interest in allowing the law
to develop across multiple circuits. If, of course, our
assessment of jurisdiction is incorrect such that, for
example, we should stay this appeal pending the
outcome in Pennsylvania, then we welcome guidance
from the Supreme Court. Under existing precedent,
however, we conclude that this appeal is not moot.
V.
A preliminary injunction is a matter of equitable
discretion and is “an extraordinary remedy that may
only be awarded upon a clear showing that the
plaintiff is entitled to such relief.” Winter v. NRDC,
555 U.S. 7, 22 (2008) (citing Mazurek v. Armstrong,
520 U.S. 968, 972 (1997)). “A party can obtain a
28a
preliminary injunction by showing that (1) it is ‘likely
to succeed on the merits,’ (2) it is ‘likely to suffer
irreparable harm in the absence of preliminary relief,’
(3) ‘the balance of equities tips in [its] favor,’ and (4)
‘an injunction is in the public interest.’” Disney
Enters., Inc. v. VidAngel, Inc., 869 F.3d 848, 856 (9th
Cir. 2017) (quoting Winter, 555 U.S. at 20).
Alternatively, an injunction may issue where the
likelihood of success is such that “serious questions
going to the merits” were raised and the balance of
hardships “tips sharply toward the plaintiff,”
provided that the plaintiff can also demonstrate the
other two Winter factors. Alliance for the Wild Rockies
v. Cottrell, 632 F.3d 1127, 1131–32 (9th Cir. 2011).
The district court issued its injunction after
concluding that all four factors were met here. We
address each factor in turn.
A.
The APA requires that an agency action be held
“unlawful and [be] set aside” where it is “arbitrary,
capricious,” “not in accordance with the law,” or “in
excess of statutory jurisdiction.” 5 U.S.C. § 706(2).
The district court concluded that the plaintiff states
are likely to succeed on the merits of their APA claim
or, at the very least, raised serious questions going to
the merits. In particular, the district court determined that the agencies likely lacked the authority to
issue the final rules and that the rules likely are
arbitrary and capricious. The district court did not
abuse its discretion in so concluding.
29a
1.
“[A]n agency literally has no power to act . . .
unless and until Congress confers power upon it.”
Louisiana Pub. Serv. Comm’n v. FCC, 476 U.S. 355,
374 (1986). In reviewing the scope of an agency’s
authority to act, “the question . . . is always whether
the agency has gone beyond what Congress has
permitted it to do.” City of Arlington v. FCC, 569 U.S.
290, 297–98 (2013). The agencies have determined
that the ACA gives them “significant discretion to
shape the content, scope, and enforcement of any
preventative-services guidelines adopted” pursuant
to the Women’s Health Amendment. Specifically, the
agencies highlight that “nothing in the statute
mandated that the guidelines include contraception,
let alone for all types of employers with covered
plans.”
We examine the “plain terms” and “core purposes”
of the Women’s Health Amendment to determine
whether the agencies have authority to issue the final
rules. FERC v. Elec. Power Supply Ass’n, 136 S. Ct.
760, 773 (2016). The statute requires that group
health plans and insurance issuers “shall, at a
minimum provide coverage for and shall not impose
any cost sharing requirements for . . . with respect to
women, such additional preventive care and
screenings . . . as provided for in the comprehensive
guidelines supported by [HRSA].” 42 U.S.C. § 300gg13(a)(4). First, “shall” is a mandatory term that
“normally creates an obligation impervious to . . .
discretion.” Lexecon Inc. v. Milberg Weiss Bershad
Hynes & Lerach, 523 U.S. 26, 35 (1998). By its plain
language, the statute states that group health plans
and insurance issuers must cover preventative care
30a
without cost sharing. See BP Am. Prod. Co. v. Burton,
549 U.S. 84, 91 (2006) (“[S]tatutory terms are
generally interpreted in accordance with their
ordinary meaning”).
The statute grants HRSA the limited authority to
determine which, among the different types of
preventative care, are to be covered. See Hobby Lobby,
573 U.S. at 697 (“Congress itself, however, did not
specify what types of preventive care must be covered
. . . . Congress authorized [HRSA] . . . to make that
important and sensitive decision”). But nothing in the
statute permits the agencies to determine exemptions
from the requirement. In other words, the statute
delegates to HRSA the discretion to determine which
types of preventative care are covered, but the statute
does not delegate to HRSA or any other agency the
discretion to exempt who must meet the obligation. To
interpret the statute’s limited delegation more
broadly would contradict the plain language of the
statute. See Arlington, 569 U.S. at 296 (“Congress
knows to speak in plain terms when it wishes to
circumscribe, and in capacious terms when it wishes
to enlarge, agency discretion”). Although the agencies
argue otherwise, “an agency’s interpretation of a
statute is not entitled to deference when it goes
beyond the meaning that the statute can bear.” MCI
Telecomms Corp. v. Am. Tel. & Tel. Co., 512 U.S. 218,
229 (1994).
Our interpretation is consistent with the ACA’s
statutory scheme. When enacting the ACA, Congress
did provide for religious and moral protections in
certain contexts. See, e.g., 42 U.S.C. § 18113 (assisted
suicide procedures). It did not provide for similar
protections regarding the preventative care require-
31a
ment. Instead, Congress chose to provide for other
exceptions to that requirement, such as for
grandfathered plans. See 42 U.S.C. § 18011. “[W]hen
Congress provides exceptions in a statute, . . . [t]he
proper inference . . . is that Congress considered the
issue of exceptions and, in the end, limited that
statute to the ones set forth.” United States v.
Johnson, 529 U.S. 53, 58 (2000). In fact, after the
ACA’s passage, the Senate considered and rejected a
“conscience amendment,” 158 Cong. Rec. S538–39
(Feb. 9, 2012); id. at S1162–73 (Mar. 1, 2012), that
would have allowed health plans to decline to provide
contraceptive coverage contrary to asserted religious
or moral convictions. See Doe v. Chao, 540 U.S. 614,
622 (2004) (reversing award of damages, in part,
because of “drafting history showing that Congress
cut out the very language in the bill that would have
authorized [them]”). While Congress’s failure to adopt
a proposal is often a “particularly dangerous ground
on which to rest an interpretation” of a statute,
Interstate Bank of Denver, N.A. v. First Interstate
Bank of Denver, N.A., 511 U.S. 164, 187 (1994), the
conscience amendment’s failure combined with the
existence of other exceptions suggests that Congress
did not contemplate a conscience exception when it
passed the ACA.
The “core purpose[]” of the Women’s Health
Amendment further confirms our interpretation.
FERC, 136 S. Ct. at 773; see also Sec. Indus. Ass’n v.
Bd. of Governors of Fed. Reserve Sys., 468 U.S. 137,
143 (1984) (“A reviewing court ‘must reject administrative constructions of [a] statute, whether reached
by adjudication or by rulemaking, that are inconsistent with the statutory mandate or that frustrate
32a
the policy that Congress sought to implement’”
(quoting FEC v. Democratic Senatorial Campaign
Comm’n, 454 U.S. 27, 32 (1981))). The legislative
history indicates that the Amendment sought to
“requir[e] that all health plans cover comprehensive
women’s preventative care and screenings—and cover
these recommended services at little or no cost to
women.” 155 Cong. Rec. S12025 (Dec. 1, 2009) (Sen.
Boxer); id. at S12028 (Sen. Murray highlighting that
a “comprehensive list of women’s preventive services
will be covered”); id. at S12042 (Sen. Harkin stating
that “[b]y voting for this amendment . . . we can
ensure that all women will have access to the same
baseline set of comprehensive preventive benefits”).
While legislators’ individual comments do not
necessarily prove intent of the majority of the
legislature, here the Amendment’s supporters and
sponsors delineated that the types of “preventive
services covered . . . would be determined by [HRSA]
to meet the unique preventative health needs of
women.” Id. at S12025 (Sen. Boxer); see also id. at
S12027 (Sen. Gillibrand stating that “[t]his
amendment will ensure that the coverage of women’s
preventive services is based on a set of guidelines
developed by women’s health experts”); id. at S12026
(Sen. Mikulski stating that “[i]n my amendment we
expand the key preventive services for women, and we
do it in a way that is based on recommendations . . .
from HRSA”). In this case, at the preliminary
injunction stage, the evidence is sufficient for us to
hold that providing free contraceptive services was a
core purpose of the Women’s Health Amendment.
In response, the appellants highlight that they
have already issued rules exempting churches from
33a
the contraceptive care requirement, invoking the
same statutory provision. See Group Health Plans
and Health Insurance Issuers Relating to Coverage of
Preventive Services under the Patient Protection and
Affordable Care Act, 76 Fed. Reg. 46621-01, 46,623
(Aug. 3, 2011). The legality of the church exemption
rules is not before us, and we will not render an
advisory opinion on that issue. See Alameda Conservation Ass’n v. California, 437 F.2d 1087, 1093 (9th
Cir. 1971). Moreover, the existence of one exemption
does not necessarily justify the authority to issue a
different exemption or any other exemption that the
agencies decide. Cf. California, 911 F.3d at 575–76
(stating that “prior invocations of good cause to justify
different IFRs—the legality of which are not
challenged here—have no relevance”).
Given the text, purpose, and history of the
Women’s Health Amendment, the district court did
not err in concluding that the agencies likely lacked
statutory authority under the ACA to issue the final
rules.
2.
Under RFRA, the government “shall not
substantially burden a person’s exercise of religion
even if the burden results from a rule of general
applicability” unless “it demonstrates that application of the burden to the person—(1) is in
furtherance of a compelling governmental interest;
and (2) is the least restrictive means of furthering
that compelling governmental interest.” 42 U.S.C. §
2000bb-1(a)–(b). The appellants argue that the
regulatory regime that existed before the rules’
issuance—i.e., the accommodation process—violated
34a
RFRA. They argue that RFRA requires, or at least
authorizes, them to eliminate the violation by issuing
the religious exemption2 and “not simply wait for the
inevitable lawsuit and judicial order to comply with
RFRA.”
As a threshold matter, we question whether
RFRA delegates to any government agency the
authority to determine violations and to issue rules
addressing alleged violations. At the very least, RFRA
does not make such authority explicit. Compare 42
U.S.C. § 2000bb-1, with 47 U.S.C. § 201(b) (delegating
agency authority to “prescribe such rules and
regulations as may be necessary in the public interest
to carry out the provisions of the Act”), and 15 U.S.C.
§ 77s(a) (“The Commission shall have authority from
time to time to make, amend, and rescind such rules
and regulations as may be necessary to carry out the
provisions of this subchapter”). Instead, RFRA
appears to charge the courts with determining
violations. See 42 U.S.C. § 2000bb-1(c) (providing that
a person whose religious exercise has been burdened
“may assert that violation . . .
in a judicial
proceeding” (emphasis added)); Gonzales v. O Centro
Espirita Beneficente Uniao do Vegetal, 546 U.S. 418,
434 (2006) (“RFRA makes clear that it is the
obligation of the courts to consider whether
exceptions are required under the test set forth by
Congress”).
2 RFRA pertains only to the exercise of religion; it does not
concern moral convictions. For that reason, the appellants’
RFRA argument is limited to the religious exemption only.
RFRA plainly does not authorize the moral exemption.
35a
Moreover, even assuming that agencies are
authorized to provide a mechanism for resolving perceived RFRA violations, RFRA likely does not
authorize the religious exemption at issue in this
case, for two independent reasons. First, the religious
exemption contradicts congressional intent that all
women have access to appropriate preventative care.
The religious exemption is thus notably distinct from
the accommodation, which attempts to accommodate
religious objectors while still meeting the ACA’s
mandate that women have access to preventative
care. The religious exemption here chooses winners
and losers between the competing interests of two
groups, a quintessentially legislative task. Strikingly,
Congress already chose a balance between those
competing interests and chose both to mandate
preventative care and to reject religious and moral
exemptions. The agencies cannot reverse that
legislatively chosen balance through rulemaking.
Second, the religious exemption operates in a
manner fully at odds with the careful, individualized,
and searching review mandate by RFRA. Federal
courts accept neither self-certifications that a law
substantially burdens a plaintiff’s exercise of religion
nor blanket assertions that a law furthers a
compelling governmental interest. Instead, before
reaching those conclusions, courts make individualized determinations dependent on the facts of the
case, by “careful[ly]” considering the nature of the
plaintiff’s beliefs and “searchingly” examining the
governmental interest. Wisconsin v. Yoder, 406 U.S.
205, 215, 221 (1972). “[C]ontext matters.” Cutter v.
Wilkinson, 544 U.S. 709, 723 (2005); see O Centro, 546
U.S. at 430–31 (“RFRA requires the Government to
36a
demonstrate that the compelling interest test is
satisfied through application of the challenged law ‘to
the person’—the particular claimant whose sincere
exercise of religion is being substantially burdened”
(quoting 42 U.S.C. § 2000bb-1(b)); Oklevueha Native
Am. Church of Haw., Inc. v. Lynch, 828 F.3d 1012,
1015–17 (9th Cir. 2016) (holding that, although
plaintiffs in other cases had established that a prohibition on the use of certain drugs was a substantial
burden on those plaintiffs’ exercise of religion, the
plaintiffs in this case had not met their burden of
establishing that the prohibition on cannabis use
imposed a substantial burden on the plaintiffs’
exercise of religion). In sum, the agencies here claim
an authority under RFRA—to impose a blanket
exemption for self-certifying religious objectors—that
far exceeds what RFRA in fact authorizes.3 See Hobby
Lobby, 573 U.S. at 719 n.30 (noting that a proposed
“blanket exemption” for religious objectors “extended
more broadly than the . . . protections of RFRA”
because it “would not have subjected religious-based
objections to the judicial scrutiny called for by RFRA,
in which a court must consider not only the burden of
3 The religious exemption’s automatic acceptance of a self-
certification is particularly troublesome given that it has an
immediate detrimental effect on the employer’s female
employees. The religious exemption fails to “take adequate
account of the burdens . . . impose[d] on nonbeneficiaries.”
Cutter, 544 U.S. at 720. Similarly, the exemption is not
“measured so that it does not override other significant
interests.” Id. at 722; see also Estate of Thornton v. Caldor, Inc.,
472 U.S. 703, 709–10 (1985) (invalidating a law that “arm[ed]”
one type of religious objector “with an absolute and unqualified
right” to violate otherwise applicable laws, holding that “[t]his
unyielding weighting in favor of [a religious objector] over all
other interests” violates the Religion Clauses).
37a
a requirement on religious adherents, but also the
government’s interest and how narrowly tailored the
requirement is”).
Regardless of our questioning of the agencies’
authority pursuant to RFRA, however, it is of no
moment in this appeal because the accommodation
process likely does not substantially burden the
exercise of religion and hence does not violate RFRA.
“[A] ‘substantial burden’ is imposed only when
individuals are forced to choose between following the
tenets of their religion and receiving a governmental
benefit. . . or coerced to act contrary to their religious
beliefs by the threat of civil or criminal sanctions.”
Navajo Nation v. United States Forest Serv., 535 F.3d
1058, 1070 (9th Cir. 2008); see also Kaemmerling v.
Lappin, 553 F.3d 669, 678 (D.C. Cir. 2008) (“An
inconsequential or de minimis burden on religious
practice” is not a substantial burden). Whether a
government action imposes a substantial burden on
sincerely-held religious beliefs is a question of law.
Guam v. Guerrero, 290 F.3d 1210, 1222 n.20 (9th Cir.
2002).
The Supreme Court has not yet decided whether
the accommodation violates RFRA. In Hobby Lobby,
the Court suggested that it did not. The Court
described the accommodation as “effectively
exempt[ing] certain religious nonprofit organizations
. . . from the contraceptive mandate.” 573 U.S. at 698.
The Court characterized the accommodation as “an
approach that is less restrictive than requiring
employers to fund contraceptive methods that violate
their religious beliefs.” Id. at 730. It observed that,
“[a]t a minimum, [the accommodation did] not
impinge on the plaintiffs’ religious belief that
38a
providing insurance coverage for the contraceptives
at issue here violates their religion, and it serves
HHS’s stated interests equally well.” Id. at 731.
Specifically, it highlighted that, “[u]nder the
accommodation, the plaintiffs’ female employees
would continue to receive contraceptive coverage
without cost sharing for all FDA-approved contraceptives, and they would continue to ‘face minimal
logistical and administrative obstacles . . . because
their employers’ insurers would be responsible for
providing information and coverage.” Id. at 732
(citing 45 CFR §§ 147.131(c)–(d)).
Indeed, before Zubik, eight courts of appeals (of
the nine to have considered the issue) had concluded
that the accommodation process did not impose a
substantial burden on religious exercise under
RFRA.4 The Supreme Court then vacated the nine
4 See Priests for Life v. U.S. Dep’t of Health & Human
Servs., 772 F.3d 229 (D.C. Cir. 2014), vacated, Zubik, 136 S. Ct.
at 1561; Catholic Health Care Sys. v. Burwell, 796 F.3d 207 (2d
Cir. 2015), vacated, 136 S. Ct. 2450 (2016); Geneva Coll. v. Sec’y
U.S. Dep’t of Health & Human Servs., 778 F.3d 422 (3d Cir.
2015), vacated, Zubik, 136 S. Ct. at 1561; E. Tex. Baptist Univ.
v. Burwell, 793 F.3d 449 (5th Cir. 2015), vacated, Zubik, 136 S.
Ct. at 1561; Mich. Catholic Conference & Catholic Family Servs.
v. Burwell, 807 F.3d 738 (6th Cir. 2015), vacated, 136 S. Ct. 2450
(2016); Grace Schs. v. Burwell, 801 F.3d 788 (7th Cir. 2015),
vacated, 136 S. Ct. 2011 (2016); Little Sisters of the Poor Home
for the Aged, Denver, Colo. v. Burwell, 794 F.3d 1151 (10th Cir.
2015), vacated, Zubik, 136 S. Ct. at 1561; Eternal Word
Television Network v. Sec’y of U.S. Dep’t Health & Human Servs.,
818 F.3d 1122 (11th Cir. 2016), vacated, 2016 WL 11503064
(11th Cir. May 31, 2016) (No. 14-12696-CC), as modified by 2016
WL 11504187 (11th Cir. Oct. 3, 2016).
39a
circuit cases addressing the issue without discussing
the merits. See, e.g., Zubik, 136 S. Ct. at 1560. After
Zubik, the Third Circuit has reiterated that the
accommodation process did not impose a substantial
burden under RFRA. See Real Alternatives, Inc. v.
Sec’y Dep't of Health & Human Servs., 867 F.3d 338,
356 n.18 (3d Cir. 2017) (“Although our judgment in
Geneva was vacated by the Supreme Court, it
nonetheless sets forth the view of our [c]ourt, which
was based on Supreme Court precedent, that we
continue to believe to be correct regarding . . . our
conclusion that the regulation at issue there did not
impose a substantial burden”).
We have not previously expressed any views on
the matter, whether before or after Zubik. We now
hold that the accommodation process likely does not
substantially burden the exercise of religion. An
organization with a sincere religious objection to
arranging contraceptive coverage need only send a
self-certification form to the insurance issuer or the
TPA, or send a written notice to DHHS. See 29 C.F.R.
§ 2590.715-2713A(b)(1)(ii). Once the organization has
taken the simple step of objecting, all actions taken to
pay for or provide the organization’s employees with
contraceptive care is carried out by a third party, i.e.,
Only the Eighth Circuit has concluded otherwise. See
Sharpe Holdings, Inc. v. U.S. Dep’t of Health & Human Servs.,
801 F.3d 927, 945 (8th Cir. 2015) (affirming grant of preliminary
injunction to religious objectors because “they [were] likely to
succeed on the merits of their RFRA challenge to the
contraceptive mandate and the accommodation regulations”),
vacated sub nom. Dep’t of Health & Human Servs. v. CNS Int’l
Ministries, No. 15-775, 2016 WL 2842448, at *1 (U.S. May 16,
2016).
40a
insurance issuer or TPA. See, e.g., 45 C.F.R. §
147.131(d) (requiring that the issuer or third-party
administrator notify the employees in separate
mailing that that it will be providing contraceptive
care separate from the employer, with the mailing
specifying that employer is in no way “administer[ing]
or fund[ing]” the contraceptive care); 45 C.F.R. §
147.131(d) (prohibiting third parties from directly or
indirectly charging objecting organizations for the
cost of contraceptive coverage and obligating the third
parties to pay for the contraceptive care).
Once it has opted out, the organization’s
obligation to contract, arrange, pay, or refer for access
to contraception is completely shifted to third parties.
The organization may then freely express its
opposition to contraceptive care. Viewed objectively,
completing a form stating that one has a religious
objection is not a substantial burden—it is at most a
de minimis burden. The burden is simply a
notification, after which the organization is relieved
of any role whatsoever in providing objectionable
care. By contrast, cases involving substantial burden
under RFRA have involved more significant burdens
on religious objectors. See O Centro, 546 U.S. at 425–
26 (substantial burden where the Controlled
Substances Act prevented the religious objector
plaintiffs from ever again engaging in a sacramental
ritual); Hobby Lobby, 573 U.S. at 719–26 (substantial
burden, in the absence of the accommodation, where
the contraceptive care requirement required for-profit
corporations to pay out-of-pocket for the use of
religiously-objectionable
contraceptives
by
employees).
41a
Appellants further argue that religious organizations are forced to be complicit in the provision of
contraceptive care, even with the accommodation. But
even in the context of a self-insured plan subject to
ERISA, an objecting organization’s only act—and the
only act required by the government—is opting out by
form or notice. The objector need not separately
contract to provide or fund contraceptive care. The
accommodation, in fact, is designed to ensure such
organizations are not complicit and to minimize their
involvement. To the extent that appellants object to
third parties acting in ways contrary to an
organization’s religious beliefs, they have no recourse.
See Lyng v. Nw. Indian Cemetery Protective Ass’n, 485
U.S. 439, 449 (1988) (government action does not
constitute a substantial burden, even if the
challenged action “would interfere significantly with
private persons’ ability to pursue spiritual fulfillment
according to their own religious beliefs,” if the
government action does not coerce the individuals to
violate their religious beliefs or deny them “the rights,
benefits, and privileges enjoyed by other citizens”).
RFRA does not entitle organizations to control their
employees’ relationships with third parties that are
willing and obligated to provide contraceptive care.
Because appellants likely have failed to
demonstrate a substantial burden on religious
exercise, we need not address whether the government has shown a compelling interest or whether it
has adopted the least restrictive means of advancing
that interest. See Forest Serv., 535 F.3d at 1069.
Because the accommodation process likely does not
violate RFRA, the final rules are neither required by,
42a
nor authorized under, RFRA.5 The district court did
not err in so concluding.
3.
“Unexplained inconsistency” between an agency’s
actions is “a reason for holding an interpretation to be
an arbitrary and capricious change.” Nat’l Cable &
Telecomms. Ass’n v. Brand X Internet Servs., 545 U.S.
967, 981 (2005). A rule change complies with the APA
if the agency (1) displays “awareness that it is
changing position,” (2) shows that “the new policy is
permissible under the statute,” (3) “believes” the new
policy is better, and (4) provides “good reasons” for the
new policy, which, if the “new policy rests upon
factual findings that contradict those which underlay
its prior policy,” must include “a reasoned explanation
. . . for disregarding facts and circumstances that
underlay or were engendered by the prior policy.”
FCC v. Fox Television Stations, Inc., 556 U.S. 502,
515–16 (2009) (emphasis omitted); see also Encino
Motorcars, LLC v. Navarro, 136 S. Ct. 2117, 2124–26
(2016) (describing these principles).
The district court held that the states are also
likely to prevail on their claim that the agencies failed
to provide “a reasoned explanation . . . for disregarding facts and circumstances that underlay or
were engendered by the prior policy.” We need not
reach this issue, having already concluded that no
5 Little Sisters also points to 42 U.S.C. § 2000bb-4, but that
provision merely provides that exemptions that otherwise
comply with the Establishment Clause “shall not constitute a
violation” of RFRA. It does not address whether federal agencies
have the authority affirmatively to create exemptions in the first
instance.
43a
statute likely authorized the agencies to issue the
final rules and that the rules were thus impermissible. We will reach the full merits of this issue, if
necessary, upon review of the district court’s decision
on the permanent injunction
B.
A plaintiff seeking preliminary relief must
“demonstrate that irreparable injury is likely in the
absence of an injunction.” Winter, 555 U.S. at 22
(emphasis omitted). The analysis focuses on irreparability, “irrespective of the magnitude of the injury.”
Simula, Inc. v. Autoliv, Inc., 175 F.3d 716, 725 (9th
Cir. 1999).
The district court concluded that the states are
likely to suffer irreparable harm absent an injunction.
This decision was not an abuse of discretion. As
discussed in our prior opinion, the plaintiff states will
likely suffer economic harm from the final rules, and
such harm is irreparable because the states will not
be able to recover monetary damages flowing from the
final rules. California, 911 F.3d at 581. This harm is
not speculative; it is sufficiently concrete and
supported by the record. Id.
C.
Because the government is a party, we consider
the balance of equities and the public interest
together. Drakes Bay Oyster Co. v. Jewell, 747 F.3d
1073, 1092 (9th Cir. 2014). The district court
concluded that the balance of equities tips sharply in
favor of the plaintiff states and that the public
interest tip in favor of granting the preliminary
injunction. We have considered the district court’s
44a
analysis carefully, and we hold there is no basis to
conclude that its decision was illogical, implausible,
or without support in the record. Finalizing that issue
must await any appeal from the district court’s
permanent injunction.
VI.
We affirm the preliminary injunction, but we
emphasize that our review here is limited to abuse of
discretion. Because of the limited scope of our review
and “because the fully developed factual record may
be materially different from that initially before the
district court,” our disposition is only preliminary.
Melendres v. Arpaio, 695 F.3d 990, 1003 (9th Cir.
2012) (quoting Sports Form, Inc. v. United Press Int’l,
Inc., 686 F.2d 750, 753 (9th Cir. 1982)). At this stage,
“[m]ere disagreement with the district court’s
conclusions is not sufficient reason for us to reverse
the district court’s decision regarding a preliminary
injunction.” Nat’l Wildlife Fed’n v. Nat’l Marine
Fisheries Serv., 422 F.3d 782, 793 (9th Cir. 2005). The
injunction only preserves the status quo until the
district court renders judgment on the merits based
on a fully developed record.
AFFIRMED.
_________________________________________________
45a
KLEINFELD, Senior Circuit Judge, dissenting
I respectfully dissent. This case is moot, so we
lack jurisdiction to address the merits.
The casual reader may imagine that the dispute
is about provision of contraception and abortion
services to women. It is not. No woman sued for an
injunction in this case, and no affidavits have been
submitted from any women establishing any question
in this case about whether they will be deprived of
reproductive services or harmed in any way by the
modification of the regulation.
This case is a claim by several states to prevent a
modification of a regulation from going into effect,
claiming that it will cost them money. Two federal
statutes are at issue, the Affordable Care Act1 and the
Religious Freedom Restoration Act,2 as well as the
Trump Administration’s modification of an Obama
Administration regulation implementing the Affordable Care Act. But the injunction before us no longer
matters, because a national injunction is already in
effect, and has been since January 14 of this year,
preventing the modification from going into effect.3
Nothing we say or do in today’s decision has any
practical effect on the challenged regulation. We are
racing to shut a door that has already been shut. We
are precluded, by the case-or-controversy requirement of Article III, section 2, from opining on whether
1 42 U.S.C. §§ 18001 et seq.
2 42 U.S.C. §§ 2000bb et seq.
3 Pennsylvania v. Trump, 351 F. Supp. 3d 791, 835 (E.D.
Pa.), aff'd sub nom. Pennsylvania v. President United States, 930
F.3d 543 (3d Cir. 2019), as amended (July 18, 2019).
46a
the door ought to be shut. We are making the same
mistake today that we made in Yniguez v. Arizonans
for Official English,4 when in our zeal to correct what
we thought was a wrong, we issued an injunction on
behalf of an individual regarding her workplace. She
no longer worked there, so the Supreme Court
promptly corrected our error because the case was
moot.
The case arises from the difficulty of working out
the relationship between the two statutes, the
regulations under the Affordable Care Act, and a
sequence of Supreme Court decisions bearing on how
the tensions between the two statutes ought to be
relieved. The Affordable Care Act does not say a word
about contraceptive or sterilization services for
women. Congress delegated to the executive branch
the entire matter of “such additional preventive care
and screenings” as the executive agencies might
choose to provide for.
Executive
branch
agencies,
within
the
Department of Health and Human Services, created
from this wide-open congressional delegation what is
called “the contraceptive mandate.” Here is the
statutory language:
A group health plan and a health insurance
issuer offering group or individual health
insurance coverage shall, at a minimum
provide coverage for and shall not impose any
cost sharing requirements for–
4 Yniguez v. Arizonans for Official English, 69 F.3d 920 (9th
Cir. 1995), vacated sub nom. Arizonans for Official English v.
Arizona, 520 U.S. 43 (1997).
47a
. . . respect to women, such additional
with
preventive care and screenings . . . as
provided for in comprehensive guidelines
supported by the Health Resources and
Services Administration for purposes of this
paragraph.5
In 2011, the agencies (not Congress) issued the
guideline applying the no-cost-sharing statutory
provision to contraceptive and sterilization services.
And since then, the public fervor and litigation has
never stopped.
The agencies decided that an exemption ought to
be created for certain religious organizations. An
interim rule doing so was promulgated in 2011, after
the agencies “received considerable feedback” from
the public,6 then in 2012, after hundreds of thousands
more comments, the agencies modified the rule. The
Supreme Court weighed in on the ongoing controversy about the religious accommodation exemption
to the contraceptives mandate three times, in Burwell
v. Hobby Lobby,7 Wheaton College v. Burwell,8 and
Zubik v. Burwell,9 in 2014 and 2016. None of the
decisions entirely resolved the tension between the
5 42 U.S.C. § 300gg-13(a)(4) (emphasis added).
6 76 Fed. Reg. 46,623.
7 Burwell v. Hobby Lobby Stores, Inc., 573 U.S. 682, 735
(2014).
8 Wheaton Coll. v. Burwell, 573 U.S. 958 (2014).
9 Zubik v. Burwell, 136 S. Ct. 1557, 1559 (2016) (per curiam).
48a
Religious Freedom Restoration Act and the
Affordable Care Act as extended by the contraceptive
mandate regulations. The Court instead gave the
parties “an opportunity to arrive at an approach going
forward that accommodate petitioners’ religious
exercise while at the same time ensuring that women
covered by petitioners’ health plans receive full and
equal health coverage, including contraceptive
coverage.”10 Thousands of comments kept coming to
the agencies. After Zubik, the agencies basically said
they could not do what the Supreme Court said to do:
“no feasible approach . . . would resolve the concerns
of religious objectors, while still ensuring that the
affected women receive full and equal health
coverage.”11 But in 2017, after an executive order
directing the agencies to try again, the agencies did
so, issuing the interim final rules at issue in our
previous decision12 and the final rule at issue now.
The reason why the case before us is moot is that
operation of the new modification to the regulation
has itself already been enjoined. The District Court
for the Eastern District of Pennsylvania issued a
nationwide injunction on January 14 of this year,
10 Id. at 1560 (internal quotation marks omitted).
Dep’t of Labor, FAQs About Affordable Care Act
Implementation
Part
36,
at
4,
available
at
https://www.dol.gov/sites/default/files/ebsa/about-ebsa/ouractivities/resource-center/faqs/aca-part-36.pdf.
11
12 82 Fed. Reg. 47,792, 47,807–08 (Oct. 13, 2017); 82 Fed.
Reg. 47,838, 47,849 (Oct. 13, 2017); California v. Azar, 911 F.3d
558 (9th Cir. 2018), cert. denied sub nom. Little Sisters of the Poor
Jeanne Jugan Residence v. California, 139 S. Ct. 2716 (2019).
49a
enjoining enforcement of the regulation before us.13
The Third Circuit affirmed that nationwide
injunction on July 12 of this year.14 That nationwide
injunction means that the preliminary injunction
before us is entirely without effect. If we affirm, as the
majority does, nothing is stopped that the Pennsylvania injunction has not already stopped. Were we to
reverse, and direct that the district court injunction
be vacated, the rule would still not go into effect,
because of the Pennsylvania injunction. Nothing the
district court in our case did, or that we do, matters.
We are talking to the air, without practical consequence. Whatever differences there may be in the
reasoning for our decision and the Third Circuit’s
have no material significance, because they do not
change the outcome at all; the new regulation cannot
come into effect.
When an appeal becomes moot while pending, as
ours has, the court in which it is being litigated must
dismiss it.15 The Supreme Court has repeatedly held
that “[t]o qualify as a case for federal-court adjudication, ‘an actual controversy must be extant at all
stages of review, not merely at the time the complaint
is filed.’”16 “It is true, of course, that mootness can
arise at any stage of litigation, . . . that federal courts
13 Pennsylvania v. Trump, 351 F. Supp. 3d 791 (E.D. Pa.
2019).
14 Pennsylvania v. President United States, 930 F.3d 543,
556 (3d Cir. 2019), as amended (July 18, 2019).
15 Murphy v. Hunt, 455 U.S. 478, 481 (1982).
16 Arizonans for Official English, 520 U.S. at 67 (quoting
Preiser v. Newkirk, 422 U.S. 395, 401 (1975)).
50a
may not give opinions upon moot questions or
abstract propositions.”17 “Many cases announce the
basic rule that a case must remain alive throughout
the course of appellate review.”18
The states will not spend a penny more with the
district court injunction before us now than they
would spend without it, because the new regulation
that they claim will cost them money cannot come into
effect. Because of the Pennsylvania nationwide
injunction, we have no case or controversy before us.
I disagree with the majority as well on standing
and on the merits. The standing issue before us now
is new. It is not the self-inflicted harm issue we
resolved (incorrectly, as I explained in my previous
dissent19), but the new question of whether there is
any concrete injury affording standing to the states in
Calderon v. Moore, 518 U.S. 149, 150 (1996) (internal
quotation marks omitted).
17
18 13C C. Wright, A. Miller, & E. Cooper, Federal Practice
and Procedure § 3533.10, pp. 555 (3d ed.); see also U.S. v.
Sanchez-Gomez, 138 S. Ct. 1532, 1537 (2018), Kingdomware
Technologies, Inc. v. U.S., 136 S. Ct. 1969, 1975 (2016),
Campbell-Ewald Co. v. Gomez, 136 S. Ct. 663, 669 (2016),
Genesis Healthcare Corp. v. Symczyk, 569 U.S. 66, 71 (2013),
Decker v. Northwest Environmental Defense Center, 568 U.S.
597, 609 (2013), Chafin v. Chafin, 568 U.S. 165, 171–72 (2013),
Federal Election Com'n v. Wisconsin Right To Life, Inc., 551 U.S.
449, 461 (2007), Spencer v. Kemna, 523 U.S. 1, 7 (1998),
Arizonans for Official English, 520 U.S. at 67, Calderon, 518
U.S. at 150.
California v. Azar, 911 F.3d 558, 585 (9th Cir. 2018)
(Kleinfeld, J., dissenting), cert. denied sub nom. Little Sisters of
the Poor Jeanne Jugan Residence v. California, 139 S. Ct. 2716
(2019).
19
51a
light of the nationwide injunction. And on the merits,
Chevron20 deference ought to be applied, since
Congress delegated the material issue, what
“additional preventive care and screenings” for
women ought to be without cost sharing requirements, to the Executive Branch, and that branch
resolved it in a reasonable way not contrary to the
statute. But it does not matter which of us is correct.
Either view could prevail here, without any concrete
consequence. The regulation we address cannot come
into effect.
Of course I agree with the majority that the
circumstances that mooted the case in Arizonans for
Official English differ from the circumstances that
moot the case before us. I cited it because there, as
here, in our zeal to correct what we thought was
wrong, we acted without jurisdiction because the case
had become moot. As for the proposition that we ought
to act under the exception for “cases capable of
repetition, yet evading review,” neither branch of the
exception applies. Most obviously, the changes in the
regulations, which are what matter, far from “evading
review,” have been reviewed to a fare-thee-well all
over the country.21 As for the likelihood of repetition,
20 Chevron, U.S.A., Inc. v. Nat. Res. Def. Council, Inc., 467
U.S. 837, 843–44 (1984) (“If Congress has explicitly left a gap for
the agency to fill, there is an express delegation of authority to
the agency to elucidate a specific provision of the statute by
regulation.”).
21 Pennsylvania v. President United States, 930 F.3d 543,
555 (3d Cir. 2019), as amended (July 18, 2019); Massachusetts v.
United States Dep’t of Health & Human Servs., 923 F.3d 209, 228
(1st Cir. 2019); California v. Azar, 911 F.3d 558, 566 (9th Cir.
52a
so far the hundreds of thousands of comments about
the regulation, and the continual changes in the
regulation, suggest a likelihood that if the case comes
before us again in one form or another, it is fairly
likely to be at least somewhat different. Nor do I think
that comity is well-served by our presuming to review
whether the Eastern District of Pennsylvania, as
affirmed by the Third Circuit, had jurisdiction to issue
an injunction covering the Ninth Circuit.
We need not and should not reach the merits of
this preliminary injunction. This case is resolved by
mootness.
2018), cert. denied sub nom. Little Sisters of the Poor Jeanne
Jugan Residence v. California, 139 S. Ct. 2716 (2019).
53a
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
STATE OF CALIFORNIA, Case No. 17-cvet al.,
05783-HSG
Plaintiffs,
v.
HEALTH AND HUMAN
SERVICES, et al.,
Defendants.
ORDER
GRANTING
PLAINTIFFS’
MOTION FOR A
PRELIMINARY
INJUNCTION
Re: Dkt. No. 174
Pending before the Court is Plaintiffs’ motion for
a preliminary injunction. See Dkt. No. 174. In short,
Plaintiffs seek to prevent the implementation of rules
creating a religious exemption (the “Religious
Exemption”) and a moral exemption (the “Moral
Exemption”) to the contraceptive mandate contained
within the Affordable Care Act (“ACA”). See id. at 1;
Religious Exemptions and Accommodations for
Coverage of Certain Preventive Services Under the
Affordable Care Act, 83 Fed. Reg. 57,536 (Nov. 15,
2018) (“Religious Exemption”); Moral Exemptions
and Accommodations for Coverage of Certain
Preventive Services Under the Affordable Care Act,
83 Fed. Reg. 57,592 (Nov. 15, 2018) (“Moral
Exemption”) (collectively, “the 2019 Final Rules” or
“Final Rules”). Plaintiffs are the States of California,
Connecticut, Delaware, Hawaii, Illinois, Maryland,
Minnesota (by and through its Department of Human
Services), New York, North Carolina, Rhode Island,
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Vermont, and Washington, the Commonwealth of
Virginia, and the District of Columbia.1 Federal
Defendants are Alex M. Azar, II, in his official
capacity as Secretary of the Department of Health
and Human Services; the Department of Health and
Human Services (“HHS”); Alexander Acosta, in his
official capacity as Secretary of the Department of
Labor; the Department of Labor; Steven Mnuchin, in
his official capacity as Secretary of the Department of
the Treasury; and the Department of the Treasury.
Two additional parties were previously granted the
right to enter this case as permissive intervenors:
Little Sisters of the Poor, Jeanne Jugan Residence
(“Little Sisters”) and March for Life Education and
Defense Fund (“March for Life”). See Dkt. Nos. 115,
134. Little Sisters is “a religious nonprofit corporation
operated by an order of Catholic nuns whose faith
inspires them to spend their lives serving the sick and
elderly poor.” Motion to Intervene, Dkt. No. 38 at 2.
March for Life is a “non-religious non-profit advocacy
organization” founded in response to the Supreme
Court’s 1973 decision in Roe v. Wade. Motion to
Intervene, Dkt. No. 87 at 3. Its stated purpose is “to
oppose the destruction of human life at any stage
before birth, including by abortifacient methods that
may act after the union of a sperm and ovum.” Id.
For the reasons set out below, the motion is
granted to maintain the status quo pending
resolution of Plaintiffs’ claims, and the enforcement of
The Court will refer to Plaintiffs collectively as “States,”
notwithstanding the District of Columbia’s participation in the
case.
1
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the Final Rules in the Plaintiff States is preliminarily
enjoined.
I.
BACKGROUND
Before turning to the Plaintiffs’ challenge to the
Final Rules, the Court begins by recounting the
sequence of relevant events, beginning with the
enactment of the Affordable Care Act in 2010.
Although much of this background was already
recounted in the Court’s prior order, the Court
reiterates it here for the sake of clarity. See California
v. Health & Human Servs., 281 F. Supp. 3d 806 (N.D.
Cal. 2017), aff’d in part, vacated in part, remanded
sub nom. California v. Azar, 911 F.3d 558 (9th Cir.
2018).
A. The Affordable Care Act
In March 2010, Congress enacted the Affordable
Care Act. The ACA included a provision known as the
Women’s Health Amendment, which states:
A group health plan and a health insurance
issuer offering group or individual health
insurance coverage shall, at a minimum
provide coverage for and shall not impose any
cost sharing requirements for . . . with respect
to women, such additional preventive care
and screenings . . . as provided for in comprehensive guidelines supported by the Health
Resources and Services Administration for
purposes of this paragraph.
42 U.S.C. § 300gg-13(a)(4).
About two years later, the Senate rejected a socalled “conscience amendment” to the Women’s
Health Amendment that would have allowed health
56a
plans to decline to provide coverage “contrary to” an
insurer or employer’s asserted “religious beliefs or
moral convictions.” See 158 Cong. Rec. S538–39 (Feb.
9, 2012) (text of proposed bill); id. S1162–73 (Mar. 1,
2012) (debate and vote); see also Burwell v. Hobby
Lobby Stores, Inc., 134 S. Ct. 2751, 2789–90 (2014)
(Ginsburg, J., dissenting) (recognizing that rejection
of the “conscience amendment” meant that “Congress
left health care decisions—including the choice
among contraceptive methods—in the hands of
women, with the aid of their health care providers”).
B. The
2010
Regulations
IFR
and
Subsequent
On July 19, 2010, under the authority of the
Women’s Health Amendment, several federal
agencies (including HHS, the Department of Labor,
and the Department of the Treasury) issued an
interim final rule (“the 2010 IFR”). See 75 Fed. Reg.
41,726. It required, in part, that health plans provide
“evidence-informed preventive care” to women,
without cost sharing and in compliance with
“comprehensive guidelines” to be provided by HHS’s
Health Resources and Services Administration
(“HRSA”). Id. at 41,728.
The agencies found they had statutory authority
“to promulgate any interim final rules that they
determine[d were] appropriate to carry out the”
relevant statutory provisions. Id. at 41,729–30. The
agencies also determined they had good cause to forgo
the general notice of proposed rulemaking required
under the Administrative Procedure Act (“APA”), 5
U.S.C. § 553. Id. at 41,730. Specifically, the agencies
determined that issuing such notice would be
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“impracticable and contrary to the public interest”
because it would not allow sufficient time for health
plans to be timely designed to incorporate the new
requirements under the ACA, which were set to go
into effect approximately two months later. Id. The
agencies requested that comments be submitted by
September 17, 2010, the date the IFR was scheduled
to go into effect.
On September 17, 2010, the agencies first
promulgated regulations pursuant to the 2010 IFR.
See 45 C.F.R. § 147.310(a)(1)(iv) (HHS); 29 C.F.R. §
2590.715-2713 (Department of Labor); 26 C.F.R. §
54.9815-2713 (Department of the Treasury).2 As
relevant here, the regulations were substantively
identical to the 2010 IFR, stating that HRSA was to
provide “binding, comprehensive health plan
coverage guidelines.”
C. The 2011 HRSA Guidelines
From November 2010 to May 2011, a committee
convened by the Institute of Medicine met in response
to the charge of HHS’s Office of the Assistant
Secretary for Planning and Evaluation: to “convene a
diverse committee of experts” related to, as relevant
here, women’s health issues. Inst. of Med., Clinical
Preventive Services for Women: Closing the Gaps, 1,
23 (2011), https://www.nap.edu/read/13181/chapter/1.
In July 2011, the committee issued a report
recommending that private health insurance plans be
required to cover all contraceptive methods approved
The Department of the Treasury’s regulations were first
promulgated in 2012, two years after those of HHS and the
Department of Labor.
2
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by the Food and Drug Administration (“FDA”),
without cost sharing. Id. at 102–10.
On August 1, 2011, HRSA issued its preventive
care guidelines (“2011 Guidelines”), defining
preventive care coverage to include all FDA-approved
contraceptive methods. See Health Res. & Servs.
Admin., Women’s Preventive Services Guidelines,
https://www.hrsa.gov/womens-guidelines/index.
html.3
D. The 2011 IFR and the Original Religious
Exemption
On August 3, 2011, the agencies issued an IFR
amending the 2010 IFR. See 76 Fed. Reg. 46,621 (“the
2011 IFR”). Based on the “considerable feedback” they
received regarding contraceptive coverage for women,
the agencies stated that it was “appropriate that
HRSA, in issuing [its 2011] Guidelines, take[] into
account the effect on the religious beliefs of certain
religious employers if coverage of contraceptive
services were required.” Id. at 46,623. As such, the
agencies provided HRSA with the “additional
discretion to exempt certain religious employers from
the [2011] Guidelines where contraceptive services
are concerned.” Id. They defined a “religious
employer” as one that:
3 On December 20, 2016, HRSA updated the guidelines (“2016
Guidelines”), clarifying that “[c]ontraceptive care should include
contraceptive counseling, initiation of contraceptive use, and
follow-up care,” as well as “enumerating the full range of contraceptive methods for women” as identified by the FDA. See Health
Res. & Servs. Admin., Women’s Preventive Services Guidelines,
https://www.hrsa.gov/womens-guidelines-2016/index.html (last
updated Oct. 2017).
59a
(1) [h]as the inculcation of religious values as
its purpose; (2) primarily employs persons
who share its religious tenets; (3) primarily
serves persons who share its religious tenets;
and (4) is a non-profit organization under [the
relevant statutory provisions, which] refer to
churches, their integrated auxiliaries, and
conventions or associations of churches, as
well as to the exclusively religious activities of
any religious order.
Id.
The 2011 IFR went into effect on August 1, 2011.
The agencies again found that they had both
statutory authority and good cause to forgo the APA’s
advance notice and comment requirement. Id. at
46,624. Specifically, they found that “providing for an
additional opportunity for public comment [was]
unnecessary, as the [2010 IFR] . . . provided the public
with an opportunity to comment on the implementtation of the preventive services requirement in this
provision, and the amendments made in [the 2011
IFR were] in fact based on such public comments.” Id.
The agencies also found that notice and comment
would be “impractical and contrary to the public
interest,” because that process would result in a delay
of implementation of the 2011 Guidelines. See id. The
agencies further stated that they were issuing the
rule as an IFR in order to provide the public with
some opportunity to comment. Id. They requested
comments by September 30, 2011.
On February 15, 2012, after considering more
than 200,000 responses, the agencies issued a final
rule adopting the definition of “religious employer” set
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forth in the 2011 IFR. See 77 Fed. Reg. 8,725. The
final rule also established a temporary safe harbor,
during which the agencies
plan[ned] to develop and propose changes to
these final regulations that would meet two
goals—providing contraceptive coverage
without cost-sharing to individuals who want
it and accommodating non-exempted, nonprofit organizations’ religious objections to
covering contraceptive services . . . .
Id. at 8,727.
E. The Religious Accommodation
On March 21, 2012, the agencies issued an
advance notice of proposed rulemaking (“ANPR”)
requesting comments on “alternative ways of
providing contraceptive coverage without cost sharing
in order to accommodate non-exempt, non-profit
religious organizations with religious objections to
such coverage.” 77 Fed. Reg. 16,501, 16,503. They
specifically sought to “require issuers to offer group
health insurance coverage without contraceptive
coverage to such an organization (or its plan
sponsor),” while also “provid[ing] contraceptive
coverage directly to the participants and beneficiaries
covered under the organization’s plan with no cost
sharing.” Id. The agencies requested comment by
June 19, 2012.
On February 6, 2013, after reviewing more than
200,000 comments, the agencies issued proposed
rules that (1) simplified the criteria for the religious
employer exemption; and (2) established an accommodation for eligible organizations with religious
objections to providing contraceptive coverage. See 78
61a
Fed. Reg. 8,456, 8,458–59. The proposed rule defined
an “eligible organization” as one that (1) “opposes
providing coverage for some or all of the contraceptive
services required to be covered”; (2) “is organized and
operates as a nonprofit entity”; (3) “holds itself out as
a religious organization”; and (4) self-certifies that it
satisfies these criteria. Id. at 8,462. Comments on the
proposed rule were due April 5, 2013.
On July 2, 2013, after reviewing more than
400,000 comments, the agencies issued f
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