Federal Court Rules Christian Business Owners Don't Have to Provide Coverage for Trans Treatments

A U.S. district court has ruled faith-based healthcare providers and employers are exempt from performing and paying for harmful "gender transition" surgeries, procedures, counseling, and treatments.

The North Dakota U.S. District Court has prevented the Biden administration from forcing non-profit and for-profit religious employers and healthcare providers to violate their religious beliefs by providing coverage for transgender procedures. 

The Alliance Defending Freedom (ADF), a non-profit legal group, represented the Christian Employers Alliance (CEA) against the U.S. Equal Employment Opportunity Commission and Human Services Department.

The CEA says it is "driven by the purpose of courageously defending the freedoms of Christian business owners" and "stands in as the client" for faith-based businesses challenging laws that violate their religious freedoms. 

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Judge Daniel M. Traynor granted summary judgment to CEA stating that while Title IX protects against discrimination on the basis of sex, it doesn't apply to religious institutions if it would require them to go against their religious beliefs. 

"We are overjoyed our members will not have to choose between the biblically based employee benefits and quality healthcare they provide, and the threat of federal enforcement and massive costs for practicing their faith," said Christian Employers Alliance President Shannon Royce.

CEA filed the lawsuit in 2021 alleging the EEOC coverage mandate and HHS gender identity mandate violated the group's religious exercise rights under the Religious Freedom Restoration Act.

Traynor had granted a preliminary injunction blocking the agencies from forcing the Christian business group and its members to provide services while he heard the case. 

"The Plaintiffs and their members face a very real irreparable harm if they are either forced to comply or if they refuse to comply," he wrote previously. 

Traynor found that "CEA's religious beliefs are substantially burdened by the monetary penalties it faces for refusing to violate its beliefs."

"Performing or providing health care coverage for gender transition services under the EEOC and HHS coverage mandates impinges upon CEA's beliefs," the court wrote in its recent ruling. "CEA must either comply with the EEOC and HHS mandates by violating their sincerely held religious beliefs or else face harsh consequences like paying fines and facing civil liability… (but) religious freedom cannot be encumbered on a case-by-case basis."

The ADF is celebrating the court's ruling. 

"All employers and healthcare providers, including those in the Christian Employers Alliance, have the constitutionally protected freedom to conduct their business and render treatment in a manner consistent with their deeply held religious beliefs," said ADF Senior Counsel and Director of Regulatory Practice Matt Bowman.

"The court was on firm ground to stop the administration from enforcing these unlawful mandates that disrespect people of faith," he added.