Sept. 4 (Bloomberg) — The full U.S. Court of Appeals in Washington will rehear a case on the Patient Protection and Affordable Care Act tax subsidies, a move that may reduce the chances of a new Supreme Court showdown over a central element of the law.

A rehearing sets up the possibility that the full court will reverse the ruling of a three-judge panel, nullifying a decision that conflicts with a ruling by another appeals court, in Richmond, Virginia.

Eliminating the split with the Richmond court would reduce, though not eliminate the chances of the Supreme Court taking the case. Divisions between appeals courts are among the factors the Supreme Court considers when deciding whether to hear a case.

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In a short order today, the appeals court set aside the July 14 ruling, and scheduled new arguments for Dec. 17.

 

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