Objecting to what they term an "Obamacare power grab," a group of
small business owners and individuals in six states filed suit today
against the IRS over a rule that expands health
The plaintiffs say the IRS regulations "actually serve to financially
injure and restrict [their] economic choices" and are arbitrary and
capricious, according to the complaint filed in U.S. District Court for
the District of Columbia by Jones Day partner Michael Carvin, who
co-argued the U.S. Supreme Court cases challenging the Affordable Care
Act in March 2012.
The suit against the IRS focuses
on health care exchanges - state-level clearinghouses that are supposed
to make it easier for people to buy insurance. The federal government
doesn’t have the power to force states to set up such exchanges, but the
law provides incentives for them to do so.