U.S. Court of Appeals Judge Demands Explanation From Attorney General in Physician-Owned Hospitals Case

Physician Hospitals of America announced Judge Jerry Edwin Smith of the U.S. Court of Appeals for the Fifth Circuit issued an ultimatum to assess the potential impact of recent remarks by President Barack Obama on the fate of physician-owned hospitals.

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Judge Smith is hearing PHA’s appeal of a lower court’s ruling that upheld the Patient Protection and Affordable Care Act’s Section 6001. This section prohibits physician-owned hospitals from expanding existing facilities or building new hospitals. PHA is arguing that the section is unconstitutional on the grounds of retroactivity and a lack of just compensation.

Judge Smith’s ultimatum calls for U.S. Attorney General Eric Holder to send him a three-page, single-spaced letter by noon Thursday addressing whether the president’s recent public statements that the PPACA should be upheld signal a belief that the judiciary does not have the right to overturn a federal statute on constitutional grounds.

The Supreme Court is considering the constitutionality of the PPACA — in part or whole — after last week’s three days of hearings on the subject. Yesterday, President Obama said the Supreme Court’s ruling against the law would be an example of “judicial activism,” according to a New York Times report.

More Articles on Physician-Owned Hospitals:

Argument Against PPACA’s Restriction on Physician-Owned Hospitals Goes to U.S. Court of Appeals
What Did Adam Smith Know in 1776 That Predicted the Rise of Surgery Centers and Physician-Owned Hospitals?

Healthcare Realty Execs Debate Future of Physician-Owned Hospitals

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