A federal district court in Texas has ruled that the Affordable Care Act’s (ACA) individual mandate is unconstitutional. The court further found that, because the individual mandate is “essential” to the ACA, the remaining provisions of the law are also invalid.

Congress zeroed out the tax penalty appropriation, yet left in place the ACA’s individual mandate, in the federal tax reform bill in December 2017. Wisconsin, along with 18 other states, has led the lawsuit arguing that the remaining mandate, without an active tax penalty, violates the Commerce Clause of the U.S. Constitution, and Congress does not have the constitutional authority to compel citizens to purchase health insurance.

The district court did not place an immediate injunction on enforcement of the law, so there will be no immediate impact to 2019 coverage under the ACA. It is expected that the case will be appealed eventually to the U.S. Supreme Court.