SCOTUS

scotus-tears-down-sacklers’-immunity,-blowing-up-opioid-settlement

SCOTUS tears down Sacklers’ immunity, blowing up opioid settlement

Not immune —

Majority of justices ruled on meaning of legal code; dissenters called it “ruinous”

Grace Bisch holds a picture of stepson Eddie Bisch who died as a result of an overdose on outside of the U.S. Supreme Court on December 4, 2023  in Washington, DC. The Supreme Court heard arguments regarding a nationwide settlement with Purdue Pharma, the manufacturer of OxyContin.

Enlarge / Grace Bisch holds a picture of stepson Eddie Bisch who died as a result of an overdose on outside of the U.S. Supreme Court on December 4, 2023 in Washington, DC. The Supreme Court heard arguments regarding a nationwide settlement with Purdue Pharma, the manufacturer of OxyContin.

In a 5-4 ruling, the US Supreme Court on Thursday rejected an opioid settlement plan worth billions over the deal’s stipulation that the billionaire Sackler family would get lifetime immunity from further opioid-related litigation.

While the ruling may offer long-sought schadenfreude over the deeply despised Sackler family, it is a heavy blow to the over 100,000 people affected by opioid epidemic who could have seen compensation from the deal. With the high court’s ruling, the settlement talks will have to begin again, with the outcome and possible payouts to plaintiffs uncertain.

Between 1999 and 2019, as nearly 250,000 Americans died from prescription opioid overdoses, members of the Sackler family siphoned approximately $11 billion from the pharmaceutical company they ran, Purdue Pharma, maker of OxyContin, a highly addictive and falsely marketed pain medication. In 2007, amid the nationwide epidemic of opioid addiction and overdoses, Purdue affiliates pleaded guilty in federal court to falsely branding OxyContin as less addictive and less abusive than other pain medications. Out of fear of future litigation, the Sacklers began a “milking program,” the high court noted, draining Purdue of roughly 75 percent of its assets.

An “appropriate” deal

In 2019, Purdue filed for Chapter 11 bankruptcy, leading to negotiations for a massive consolidated settlement plan that took years. As part of the resulting deal, the Sacklers—who did not file for bankruptcy and had detached themselves from the company—agreed to return up to $6 billion to Purdue, but only in exchange for immunity. The bankruptcy court approved the controversial condition, while a district court later overturned it and a yet higher court reinstated it.

In today’s majority opinion from the Supreme Court, Justices Gorsuch, Thomas, Alito, Barrett, and Jackson found that the lower courts that approved the Sackers’ immunity condition had erred in interpreting Chapter 11 bankruptcy code. “No provision of the code authorizes that kind of relief,” they court ruled. The explanation boiled down to a single sentence in a catchall provision. While the code speaks solely about responsibilities of a debtors—which in this case is Purdue, not the Sacklers—the catchall provision allows “for any other appropriate provision” not otherwise outlined.

The erring lower courts, the high court wrote, had interpreted the word “appropriate” far too broadly. Based on the context, any additional “appropriate” arrangements in a settlement that was not explicitly outlined would apply only to the debtor (in this case, Purdue) not to nondebtors (the Sacklers). The provision cannot be read, the justices wrote, “to endow a bankruptcy court with the ‘radically different’ power to discharge the debts of a nondebtor.”

“Ruinous” ruling

Justices Kavanaugh, Sotomayor, Kagan, and Roberts disagreed. In a minority opinion penned by Kavanaugh and joined by Sotomayor and Kagan, the justices blasted the ruling, calling it “wrong on the law and devastating for more than 100,000 opioid victims and their families.”

“The text of the Bankruptcy Code does not come close to requiring such a ruinous result,” Kavanaugh wrote, noting that such deals granting immunity to “nondebtors” is a longstanding practice used to secure just settlements. Neither legal structure, context, nor history necessitate today’s ruling, Kavanaugh continued. “Nor does hostility to the Sacklers—no matter how deep: ‘Nothing is more antithetical to the purpose of bankruptcy than destroying estate value to punish someone,” he wrote, citing a legal essay on Chapter 11 for mass torts.

The opioid victims and others will “suffer greatly in the wake of today’s unfortunate and destabilizing decision,” the dissenting justices wrote. “Only Congress can fix the chaos that will now ensue. The Court’s decision will lead to too much harm for too many people for Congress to sit by idly without at least carefully studying the issue.”

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SCOTUS nixes injunction that limited Biden admin contacts with social networks

SCOTUS nixes injunction that limited Biden admin contacts with social networks

On Wednesday, the Supreme Court tossed out claims that the Biden administration coerced social media platforms into censoring users by removing COVID-19 and election-related content.

Complaints alleging that high-ranking government officials were censoring conservatives had previously convinced a lower court to order an injunction limiting the Biden administration’s contacts with platforms. But now that injunction has been overturned, re-opening lines of communication just ahead of the 2024 elections—when officials will once again be closely monitoring the spread of misinformation online targeted at voters.

In a 6–3 vote, the majority ruled that none of the plaintiffs suing—including five social media users and Republican attorneys general in Louisiana and Missouri—had standing. They had alleged that the government had “pressured the platforms to censor their speech in violation of the First Amendment,” demanding an injunction to stop any future censorship.

Plaintiffs may have succeeded if they were instead seeking damages for past harms. But in her opinion, Justice Amy Coney Barrett wrote that partly because the Biden administration seemingly stopped influencing platforms’ content policies in 2022, none of the plaintiffs could show evidence of a “substantial risk that, in the near future, they will suffer an injury that is traceable” to any government official. Thus, they did not seem to face “a real and immediate threat of repeated injury,” Barrett wrote.

“Without proof of an ongoing pressure campaign, it is entirely speculative that the platforms’ future moderation decisions will be attributable, even in part,” to government officials, Barrett wrote, finding that an injunction would do little to prevent future censorship.

Instead, plaintiffs’ claims “depend on the platforms’ actions,” Barrett emphasized, “yet the plaintiffs do not seek to enjoin the platforms from restricting any posts or accounts.”

“It is a bedrock principle that a federal court cannot redress ‘injury that results from the independent action of some third party not before the court,'” Barrett wrote.

Barrett repeatedly noted “weak” arguments raised by plaintiffs, none of which could directly link their specific content removals with the Biden administration’s pressure campaign urging platforms to remove vaccine or election misinformation.

According to Barrett, the lower court initially granting the injunction “glossed over complexities in the evidence,” including the fact that “platforms began to suppress the plaintiffs’ COVID-19 content” before the government pressure campaign began. That’s an issue, Barrett said, because standing to sue “requires a threshold showing that a particular defendant pressured a particular platform to censor a particular topic before that platform suppressed a particular plaintiff’s speech on that topic.”

“While the record reflects that the Government defendants played a role in at least some of the platforms’ moderation choices, the evidence indicates that the platforms had independent incentives to moderate content and often exercised their own judgment,” Barrett wrote.

Barrett was similarly unconvinced by arguments that plaintiffs risk platforms removing future content based on stricter moderation policies that were previously coerced by officials.

“Without evidence of continued pressure from the defendants, the platforms remain free to enforce, or not to enforce, their policies—even those tainted by initial governmental coercion,” Barrett wrote.

Judge: SCOTUS “shirks duty” to defend free speech

Justices Clarence Thomas and Neil Gorsuch joined Samuel Alito in dissenting, arguing that “this is one of the most important free speech cases to reach this Court in years” and that the Supreme Court had an “obligation” to “tackle the free speech issue that the case presents.”

“The Court, however, shirks that duty and thus permits the successful campaign of coercion in this case to stand as an attractive model for future officials who want to control what the people say, hear, and think,” Alito wrote.

Alito argued that the evidence showed that while “downright dangerous” speech was suppressed, so was “valuable speech.” He agreed with the lower court that “a far-reaching and widespread censorship campaign” had been “conducted by high-ranking federal officials against Americans who expressed certain disfavored views about COVID-19 on social media.”

“For months, high-ranking Government officials placed unrelenting pressure on Facebook to suppress Americans’ free speech,” Alito wrote. “Because the Court unjustifiably refuses to address this serious threat to the First Amendment, I respectfully dissent.”

At least one plaintiff who opposed masking and vaccines, Jill Hines, was “indisputably injured,” Alito wrote, arguing that evidence showed that she was censored more frequently after officials pressured Facebook into changing their policies.

“Top federal officials continuously and persistently hectored Facebook to crack down on what the officials saw as unhelpful social media posts, including not only posts that they thought were false or misleading but also stories that they did not claim to be literally false but nevertheless wanted obscured,” Alito wrote.

While Barrett and the majority found that platforms were more likely responsible for injury, Alito disagreed, writing that with the threat of antitrust probes or Section 230 amendments, Facebook acted like “a subservient entity determined to stay in the good graces of a powerful taskmaster.”

Alito wrote that the majority was “applying a new and heightened standard” by requiring plaintiffs to “untangle Government-caused censorship from censorship that Facebook might have undertaken anyway.” In his view, it was enough that Hines showed that “one predictable effect of the officials’ action was that Facebook would modify its censorship policies in a way that affected her.”

“When the White House pressured Facebook to amend some of the policies related to speech in which Hines engaged, those amendments necessarily impacted some of Facebook’s censorship decisions,” Alito wrote. “Nothing more is needed. What the Court seems to want are a series of ironclad links.”

“That is regrettable,” Alito said.

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scotus-rejects-challenge-to-abortion-pill-for-lack-of-standing

SCOTUS rejects challenge to abortion pill for lack of standing

“Near miss” —

The anti-abortion defendants are not injured by the FDA’s actions on mifepristone.

Mifepristone (Mifeprex) and misoprostol, the two drugs used in a medication abortion, are seen at the Women's Reproductive Clinic, which provides legal medication abortion services, in Santa Teresa, New Mexico, on June 17, 2022.

Enlarge / Mifepristone (Mifeprex) and misoprostol, the two drugs used in a medication abortion, are seen at the Women’s Reproductive Clinic, which provides legal medication abortion services, in Santa Teresa, New Mexico, on June 17, 2022.

The US Supreme Court on Thursday struck down a case that threatened to remove or at least restrict access to mifepristone, a pill approved by the Food and Drug Administration for medication abortions and used in miscarriage care. The drug has been used for decades, racking up a remarkably good safety record in that time. It is currently used in the majority of abortions in the US.

The high court found that the anti-abortion medical groups that legally challenged the FDA’s decision to approve the drug in 2000 and then ease usage restrictions in 2016 and 2021 simply lacked standing to challenge any of those decisions. That is, the groups failed to demonstrate that they were harmed by the FDA’s decision and therefore had no grounds to legally challenge the government agency’s actions. The ruling tracks closely with comments and questions the justices raised during oral arguments in March.

“Plaintiffs are pro-life, oppose elective abortion, and have sincere legal, moral, ideological, and policy objections to mifepristone being prescribed and used by others,” the Supreme Court noted in its opinion, which included the emphasis on “by others.” The court summarized that the groups offered “complicated causation theories to connect FDA’s actions to the plaintiffs’ alleged injuries in fact,” and the court found that “none of these theories suffices” to prove harm.

Weak arguments

The anti-abortion medical groups, led by the Alliance for Hippocratic Medicine, argued that the FDA’s relaxation of mifepristone regulations could cause “downstream conscience injuries” to doctors who are forced to treat patients who may suffer (rare) complications from the drug. But the court noted that there are already strong federal conscience laws in place that protect doctors who refuse to participate in abortion care. Further, the doctors failed to provide any examples of being forced to provide care against their conscience.

The plaintiffs further claimed “downstream economic injuries” by way of having to divert resources from other patients and services. But the court flatly knocked down this argument, too, noting that the argument is “too speculative, lacks support in the record, and is otherwise too attenuated to establish standing.” Further, the organizations claimed that the FDA’s actions “caused” them to conduct studies and “forced” them to engage in advocacy and outreach efforts. “But an organization that has not suffered a concrete injury caused by a defendant’s action cannot spend its way into standing simply by expending money to gather information and advocate against the defendant’s action,” the Supreme Court ruled.

In a response to the ruling, reproductive health rights group National Institute for Reproductive Health blasted the lower courts’ actions that brought the case to the Supreme Court and described it as a warning. “This case should never have made it to the Supreme Court in the first place,” Haydee Morales, interim president of NIRH, said in a statement. “Anti-abortion operatives brought this case with one goal in mind—to ban medication abortion and they failed. This case was a near miss for the science and medicine community and it won’t be the last attack.”

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SCOTUS mifepristone case: Justices focus on anti-abortion groups’ legal standing

Demonstrators participate in an abortion-rights rally outside the Supreme Court as the justices of the court hear oral arguments in the case of the <em>US Food and Drug Administration v. Alliance for Hippocratic Medicine</em> on March 26, 2024 in Washington, DC.” src=”https://cdn.arstechnica.net/wp-content/uploads/2024/03/GettyImages-2115237711-800×533.jpeg”></img><figcaption>
<p><a data-height=Enlarge / Demonstrators participate in an abortion-rights rally outside the Supreme Court as the justices of the court hear oral arguments in the case of the US Food and Drug Administration v. Alliance for Hippocratic Medicine on March 26, 2024 in Washington, DC.

The US Supreme Court on Tuesday heard arguments in a case seeking to limit access to the abortion and miscarriage drug mifepristone, with a majority of justices expressing skepticism that the anti-abortion groups that brought the case have the legal standing to do so.

The case threatens to dramatically alter access to a drug that has been safely used for decades and, according to the Guttmacher Institute, was used in 63 percent of abortions documented in the health care system in 2023. But, it also has sweeping implications for the Food and Drug Administration’s authority over drugs, marking the first time that courts have second-guessed the agency’s expert scientific analysis and moved to restrict access to an FDA-approved drug.

As such, the case has rattled health experts, reproductive health care advocates, the FDA, and the pharmaceutical industry alike. But, based on the line of questioning in today’s oral arguments, they have reason to breathe a sigh of relief.

Standing

The case was initially filed in 2022 by a group of anti-abortion organizations led by the Alliance for Hippocratic Medicine. They collectively claimed that the FDA’s approval of mifepristone in 2000 was unlawful, as were FDA actions in 2016 and 2021 that eased access to the drug, allowing for it to be prescribed via telemedicine and dispensed through the mail. The anti-abortion groups justified bringing the lawsuit by claiming that the doctors in their ranks are harmed by the FDA’s actions because they are forced to treat girls and women seeking emergency medical care after taking mifepristone and experiencing complications.

The FDA and numerous medical organizations have emphatically noted that mifepristone is extremely safe and the complications the lawsuit references are exceedingly rare. Serious side effects occur in less than 1 percent of patients, and major adverse events, including infection, blood loss, or hospitalization, occur in less than 0.3 percent, according to the American College of Obstetricians and Gynecologists. Deaths are almost non-existent.

Still, a conservative federal judge in Texas sided with the anti-abortion groups last year, revoking the FDA’s 2000 approval. A conservative panel of judges for the Court of Appeals for the 5th Circuit in New Orleans then partially overturned the ruling, undoing the lower court’s ruling on the 2000 approval, allowing the FDA’s approval to stand, but still finding the FDA’s 2016 and 2021 actions unlawful. The ruling was frozen until the Supreme Court weighed in.

Today, many of the Supreme Court Justices went back to the very beginning: the claimed scenario that the plaintiff doctors have been or will imminently be harmed by the FDA’s actions. At the outset of the hearings, Solicitor General Elizabeth Prelogar argued that the plaintiffs had not been harmed, and, even if they were, they already had federal protections and recourse. Any doctor who consciously objects to caring for a patient who has had an abortion already has federal protections that prevent them from being forced to provide that care, Prelogar argued. As such, hospitals have legal obligations and have set up contingency and staffing plans to prevent violating those doctors’ federal conscious objection protections.

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public-officials-can-block-haters—but-only-sometimes,-scotus-rules

Public officials can block haters—but only sometimes, SCOTUS rules

Public officials can block haters—but only sometimes, SCOTUS rules

There are some circumstances where government officials are allowed to block people from commenting on their social media pages, the Supreme Court ruled Friday.

According to the Supreme Court, the key question is whether officials are speaking as private individuals or on behalf of the state when posting online. Issuing two opinions, the Supreme Court declined to set a clear standard for when personal social media use constitutes state speech, leaving each unique case to be decided by lower courts.

Instead, SCOTUS provided a test for courts to decide first if someone is or isn’t speaking on behalf of the state on their social media pages, and then if they actually have authority to act on what they post online.

The ruling suggests that government officials can block people from commenting on personal social media pages where they discuss official business when that speech cannot be attributed to the state and merely reflects personal remarks. This means that blocking is acceptable when the official has no authority to speak for the state or exercise that authority when speaking on their page.

That authority empowering officials to speak for the state could be granted by a written law. It could also be granted informally if officials have long used social media to speak on behalf of the state to the point where their power to do so is considered “well-settled,” one SCOTUS ruling said.

SCOTUS broke it down like this: An official might be viewed as speaking for the state if the social media page is managed by the official’s office, if a city employee posts on their behalf to their personal page, or if the page is handed down from one official to another when terms in office end.

Posting on a personal page might also be considered speaking for the state if the information shared has not already been shared elsewhere.

Examples of officials clearly speaking on behalf of the state include a mayor holding a city council meeting online or an official using their personal page as an official channel for comments on proposed regulations.

Because SCOTUS did not set a clear standard, officials risk liability when blocking followers on so-called “mixed use” social media pages, SCOTUS cautioned. That liability could be diminished by keeping personal pages entirely separate or by posting a disclaimer stating that posts represent only officials’ personal views and not efforts to speak on behalf of the state. But any official using a personal page to make official comments could expose themselves to liability, even with a disclaimer.

SCOTUS test for when blocking is OK

These clarifications came in two SCOTUS opinions addressing conflicting outcomes in two separate complaints about officials in California and Michigan who blocked followers heavily criticizing them on Facebook and X. The lower courts’ decisions have been vacated, and courts must now apply the Supreme Court’s test to issue new decisions in each case.

One opinion was brief and unsigned, discussing a case where California parents sued school district board members who blocked them from commenting on public Twitter pages used for campaigning and discussing board issues. The board members claimed they blocked their followers after the parents left dozens and sometimes hundreds of the same exact comments on tweets.

In the second—which was unanimous, with no dissenting opinions—Justice Amy Coney Barrett responded at length to a case from a Facebook user named Kevin Lindke. This opinion provides varied guidance that courts can apply when considering whether blocking is appropriate or violating constituents’ First Amendment rights.

Lindke was blocked by a Michigan city manager, James Freed, after leaving comments criticizing the city’s response to COVID-19 on a page that Freed created as a college student, sometime before 2008. Among these comments, Lindke called the city’s pandemic response “abysmal” and told Freed that “the city deserves better.” On a post showing Freed picking up a takeout order, Lindke complained that residents were “suffering,” while Freed ate at expensive restaurants.

After Freed hit 5,000 followers, he converted the page to reflect his public figure status. But while he primarily still used the page for personal posts about his family and always managed the page himself, the page went into murkier territory when he also shared updates about his job as city manager. Those updates included sharing updates on city efforts, posting screenshots of city press releases, and soliciting public feedback, like sharing links to city surveys.

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