The First U.S. Circuit Court of Appeals has delivered a major victory to the Trump administration, unanimously ruling 3-0 that provisions in the One Big Beautiful Bill Act—which strip Medicaid reimbursements from Planned Parenthood and its affiliates—are constitutional. The ruling effectively clears the Trump team to move forward with defunding Planned Parenthood, despite an earlier injunction that had blocked the measure.

What the Court Decided

Unanimous panel: Three judges—all Biden appointees—agreed the law does not violate constitutional protections.

The trigger: Any tax-exempt organization providing abortions or affiliated with clinics that do so is barred from Medicaid reimbursements.

Why it matters: Planned Parenthood could lose up to $700 million in federal reimbursements, threatening hundreds of clinics nationwide.

Planned Parenthood Responds

Planned Parenthood CEO Alexis McGill Johnson blasted the decision, warning it could shutter clinics across 24 states and strip away access to birth control, cancer screenings, and STI treatment for low-income women and families. "This ruling could devastate communities that rely on us for basic health care," she said.

The Bigger Legal Picture

Earlier injunction: A lower court had blocked the cuts, citing "bill of attainder" concerns—that the law unfairly singled out Planned Parenthood for punishment.

Appeals Court reversal: Judges countered that Congress has authority to direct federal spending and can restrict funds from providers of abortion services.

Next step: Planned Parenthood plans to appeal again, potentially sending the case toward the Supreme Court.