Corporations can’t object to ACA based on religion

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in Employee Benefits Program,Human Resources

In July, the Obama administration gave employers with 50 or more employees until January 2015 to begin providing health insurance coverage for full-time employees. Some companies challenged parts of the law in court because of their owners’ religious beliefs. They lost in the 3rd Circuit.

Recent case: Conestoga Wood Specialties is a for-profit corporation whose primary shareholders ob­­jected to Affordable Care Act (ACA) provisions requiring insurance plans to cover contraceptive devices and drugs. The owners alleged the re­­quirement interferes with their right to the free exercise of their religion.

The 3rd Circuit rejected that argument, distinguishing between the owners and their religious rights and the corporation, which has no such rights. The court said Conestoga must comply with the ACA. (Cone­­stoga Wood Specialties, et al., v. Sec­­re­­tary, et al., No. 13-1144, 3rd Cir., 2013)

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