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Two federal appeals courts released conflicting decisions on Tuesday on the legality of giving people subsidies to buy Obamacare health plans under the federal healthcare exchange.
Tuesday morning, a panel in the Court of Appeals for the District of Columbia found that a plain reading of Obamacare says that only people who buy insurance from a state-run exchange can be given subsidies. That decision had Republicans cheering, and calling it a significant blow to the law that could unravel it entirely if millions of people were suddenly not eligible for subsidies.
But soon after, the Court of Appeals for the Fourth Circuit in Virginia released a decision that said the law is ambiguous, and that the government’s regulations allowing subsidies for people who buy insurance under any Obamacare exchange are legal under one interpretation.