A federal court of appeals is blocking Obamacare's controversial contraception coverage mandate.
The U.S. Court of Appeals for the 7th Circuit ruled 2-1 in favor of Korte and Luitjohan, an Illinois-based Catholic business suing over the health law's requirement that forces companies to provide insurance to cover contraceptives and abortion.
"These cases - two among many currently pending in courts around the country - raise important questions about whether business owners and their closely held corporations may assert a religious objection to the contraception mandate and whether forcing them to provide this coverage substantially burdens their religious-exercise rights," said U.S. Circuit Judge Diane Sykes, writing for the majority.
The American Center for Law and Justice, which represents the company, says the court's decision "represents a significant victory for protecting the religious beliefs of individuals and corporations."
"It has been our position from the beginning that the HHS Mandate violates America's longstanding history of protecting conscience rights," ACLJ Senior Counsel Edward White said.
"The mandate is unlawfully compelling employers such as our clients to do the following: abandon their faith to comply with the law, or follow their faith and pay significant annual penalties to the federal government," he concluded.
White said Thursday's ruling increases the chance the U.S. Supreme Court will take up the case.