Kennedy v. Braidwood Management, Inc.

606 U.S. 748
CourtSupreme Court of the United States
DecidedJune 27, 2025
Docket24-316
StatusPublished
Cited by3 cases

This text of 606 U.S. 748 (Kennedy v. Braidwood Management, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kennedy v. Braidwood Management, Inc., 606 U.S. 748 (2025).

Opinion

PRELIMINARY PRINT

Volume 606 U. S. Part 2 Pages 748–830

OFFICIAL REPORTS OF

THE SUPREME COURT June 27, 2025

REBECCA A. WOMELDORF reporter of decisions

NOTICE: This preliminary print is subject to formal revision before the bound volume is published. Users are requested to notify the Reporter of Decisions, Supreme Court of the United States, Washington, D. C. 20543, pio@supremecourt.gov, of any typographical or other formal errors. 748 OCTOBER TERM, 2024

Syllabus

KENNEDY, SECRETARY OF HEALTH AND HUMAN SERVICES, et al. v. BRAIDWOOD MANAGEMENT, INC., et al.

certiorari to the united states court of appeals for the fth circuit No. 24–316. Argued April 21, 2025—Decided June 27, 2025 In 1984, the Department of Health and Human Services (HHS) created the U. S. Preventive Services Task Force, a body that formulates evidence-based recommendations regarding preventive healthcare serv- ices. Congress codifed the Task Force's role in 1999, establishing it as an entity within the Agency for Healthcare Research and Quality (AHRQ) in HHS's Public Health Service. The Task Force currently consists of 16 volunteer members appointed by the Secretary of HHS to staggered 4-year terms. Before 2010, Task Force recommendations were purely advisory. The Affordable Care Act of 2010 changed this by requiring most health insurers and group health plans to cover with-

out cost sharing those preventive services that receive “A” or “B” rat- ings from the Task Force. The Act also amended the governing statute to describe the Task Force as “independent” and to provide that mem- bers and their recommendations “shall be independent and, to the ex- tent practicable, not subject to political pressure.” 42 U. S. C. §§ 299b– 4(a)(1), (6). Plaintiffs, individuals and small businesses who object to the Afford- able Care Act's preventive-services coverage requirements, sued in fed- eral court. Lead plaintiff Braidwood Management runs a health and wellness center offering insurance coverage to its approximately 70 em- ployees through a self-insured plan. Plaintiffs argued that Task Force members are principal offcers under the Appointments Clause who must be appointed by the President “with the Advice and Consent of the Senate,” Art. II, § 2, cl. 2, not by the Secretary. The District Court agreed, recognizing that Task Force members are removable at will by the Secretary but concluding they are principal offcers because they “have no superior” who supervises and directs them. 627 F. Supp. 3d 624, 646. While the Government's appeal was pending, the Secretary in June 2023 ratifed existing appointments made by the AHRQ Director and began personally appointing Task Force members. The Fifth Cir- cuit affrmed the District Court, holding that while Task Force members are removable at will, they are not inferior offcers because they cannot Cite as: 606 U. S. 748 (2025) 749

be “ `independent' ” and “free from `political pressure' ” while simultane- ously being supervised by a political appointee. 104 F. 4th 930, 944. Held: Task Force members are inferior offcers whose appointment by the Secretary of HHS is consistent with the Appointments Clause. Pp. 759–794. (a) The Appointments Clause in Article II specifes how “Offcers of the United States” must be appointed, dividing all offcers into two classes. Principal offcers must be appointed by the President “with the Advice and Consent of the Senate.” Inferior offcers likewise may be appointed by Presidential nomination and Senate confrmation, but Congress may also “by Law vest” their appointment “in the President alone, in the Courts of Law, or in the Heads of Departments.” Art. II, § 2, cl. 2. Principal offcers encompass at least department heads who report directly to the President. Inferior offcers are those “whose work is directed and supervised at some level by others who were ap- pointed by Presidential nomination with the advice and consent of the Senate.” Edmond v. United States, 520 U. S. 651, 663. Pp. 759–761. (b) Task Force members are inferior offcers because their work is “directed and supervised” by the Secretary of HHS, a principal offcer, through two main sources of authority. Pp. 761–768. (1) The Secretary's authority to remove Task Force members at will provides a “powerful tool for control.” Edmond, 520 U. S., at 664. An offcer's “ `presumed desire to avoid removal' ” generally creates “ `here-and-now subservience.' ” Bowsher v. Synar, 478 U. S. 714, 727, n. 5. Here, the Secretary has power to appoint Task Force members, and no statute restricts their removal. Therefore, the Secretary may remove Task Force members at will, enabling him to supervise and di- rect them. Pp. 762–765. (2) Beyond at-will removal, the Secretary has statutory authority to directly review and block Task Force recommendations before they take effect. Several statutes give the Secretary general supervisory authority over the Public Health Service, within which the Task Force is housed, as well as rulemaking authority with respect to the Afford- able Care Act's coverage provisions. See 42 U. S. C. §§ 202, 300gg–92; Reorganization Plan No. 3 of 1966; 98 Stat. 2705. During the minimum 1-year interval before recommendations become binding, the Secretary can use his supervisory authority to direct that Task Force recommen- dations he disagrees with not be “in effect” and therefore not be binding, or he can establish formal review processes through rulemaking. § 300gg–13(a)(1). Task Force members therefore “have no power to render a fnal decision on behalf of the United States unless permitted to do so by” the Secretary. Edmond, 520 U. S., at 665. Pp. 765–768. 750 KENNEDY v. BRAIDWOOD MANAGEMENT, INC.

(c) The conclusion that Task Force members are inferior offcers fol- lows a fortiori from this Court's precedents. In Edmond, Coast Guard judges who were removable at will and whose decisions could be re- viewed and reversed were deemed inferior offcers, even though superi- ors could not infuence individual proceedings. Like those judges, Task Force members are removable at will and their decisions can be re- viewed and overruled by the Secretary. In Free Enterprise Fund v. Public Company Accounting Oversight Bd., 561 U. S. 477, PCAOB mem- bers removable at will by the Securities and Exchange Commission were inferior offcers, even though they were “empowered to take signifcant enforcement actions . . . largely independently of the Commission.” Id., at 504. In United States v. Arthrex, 594 U. S. 1, Administrative Patent Judges whose decisions were reviewable but who were removable only for cause were inferior offcers. If patent judges subject only to review au- thority were inferior offcers, Task Force members subject to both at-will removal and review authority are clearly inferior offcers. Pp. 768–770. (d) Braidwood's arguments against inferior-officer status fail. Pp. 770–779. (1) The independence provision in § 299b–4(a)(6) stating that Task Force members shall be “independent and, to the extent practicable, not

subject to political pressure” does not create for-cause removal protec- tion. To displace the default of at-will removal, Congress must use “very clear and explicit language”—“mere inference or implication” does not suffce. Shurtleff v. United States, 189 U. S. 311, 315. The term “independent” alone does not make an offcer removable only for cause, as this Court held in Collins v. Yellen, 594 U. S. 220. Pp. 770–772. (2) Braidwood claims that 42 U. S. C. § 299b–4

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