A federal appeals court has dismissed a lawsuit filed by Texas doctors against the Biden administration's transgender healthcare policy. The 5th Circuit Court of Appeals ruled unanimously that the doctors lacked the legal standing to sue, as they hadn't violated the policy or faced any immediate threat of enforcement. This decision overturns a prior ruling by a U.S. District Judge that had favored the doctors.

The disputed policy, implemented in 2021 by the Department of Health and Human Services, interprets a section of the Affordable Care Act prohibiting sex-based discrimination to include transgender individuals. The Texas doctors argued that this interpretation overreaches the law's original intent and could compel them to provide treatments they disagree with, citing examples like managing prostate cancer in a transgender woman, which necessitates treatment based on biological sex.

This legal battle unfolds amidst broader discussions about transgender policies, including a recent Supreme Court case concerning state bans on transgender surgeries for minors. During oral arguments, conservative justices indicated a preference for state legislatures, rather than courts, to regulate medical procedures. Chief Justice Roberts emphasized that such matters should be decided by elected representatives, not the Supreme Court. Justice Alito, however, highlighted "overwhelming evidence" from studies detailing negative outcomes for adolescents undergoing gender transition treatments. A ruling in favor of upholding the lower court's decision could impact over 20 states with similar laws.

In the Supreme Court case, the Biden administration and the ACLU represented the petitioners, challenging the Tennessee law on behalf of parents and a doctor. The central issue was the level of judicial scrutiny applied to state bans on transgender medical treatment for minors and whether these laws constitute sex-based discrimination, potentially requiring a higher level of scrutiny under the Constitution's Equal Protection Clause.