US District Court Rules Obamacare No Longer Valid, Must Be Scrapped

The US District Court for the Northern District of Texas has ruled that the Affordable Care Act, widely known as Obamacare, must be scrapped, raising concerns that 20 millions of US citizens might be stripped of insurance coverage as a result.

WASHINGTON (UrduPoint News / Sputnik - 15th December, 2018) The US District Court for the Northern District of Texas has ruled that the Affordable Care Act, widely known as Obamacare, must be scrapped, raising concerns that 20 millions of US citizens might be stripped of insurance coverage as a result.

The reform must be axed as the congress canceled its key provision the tax penalty for not complying with the requirement to buy insurance, a ruling by US District Judge Reed O'Connor said on Friday.

The decision was part of the case of 20 plaintiff states who sought to recognize the Affordable Care Act as invalid.

The decision is supposed to be appealed in coming days. However, the ruling was made less than 24 hours before the end of the regular insurance purchase period for the year ending on December 15.

Thus, it is difficult for consumers to determine whether they should buy insurance, if they have not already done so, and how the cost of medical care will change if the court decision remains in force.

Obama signed the Affordable Care Act in 2010, and most of the provisions took effect in 2014. The act faced fierce opposition from the Republican Party.

President Donald Trump has pledged to repeal and replace Obamacare since the early days of his administration. However, all attempts to achieve that goal have so far failed in congress.