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Planned Parenthood has announced it is voluntarily dropping its lawsuit challenging the Trump administration’s ability to withhold Medicaid funds under a provision in President Donald Trump’s tax bill.
The group filed the lawsuit in July after the chairman Donald Trump Signing into law a spending bill that includes a ban on federal funds going to abortion providers, lawyers for Planned Parenthood argue that part of the bill unfairly targets their clinics and will lead to fewer health care options for patients.
December, Federal appeals court rules The government can continue to withhold Medicaid funding from Planned Parenthood and other abortion providers.
Another lawsuit filed by a group of mostly Democratic states suffered a similar setback in January but is still ongoing, and a related case filed in Maine was voluntarily dismissed in October.
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Planned Parenthood has announced it will drop its lawsuit against the Trump administration for cutting off Medicaid funding to abortion providers. (Getty Images)
A third lawsuit filed in Maine by a network of medical clinics also affected by the spending bill was voluntarily dismissed in October.
Planned Parenthood moved Friday to voluntarily dismiss the lawsuit in U.S. District Court for the District of Massachusetts.
“The goal of this lawsuit has always been to help Planned Parenthood patients get the care they deserve from trusted providers,” Planned Parenthood Federation of America, Planned Parenthood of Massachusetts and Planned Parenthood of Utah said in a joint statement. “In light of the First Circuit’s decision, it is clear that this lawsuit is no longer the best way to achieve that goal.”
Under a tax provision in the Trump spending bill, Medicaid payments would be stopped if providers like Planned Parenthood primarily provide certain services, including abortionand will receive more than $800,000 from Medicaid in 2023.

Planned Parenthood says 23 of its clinics have been forced to close due to President Donald Trump’s spending bill. (Reuters/Lucas Jackson)
Planned Parenthood is not specifically named in the legislation, but leaders of the organization say the law is intended to impact their clinics across the country as Republicans at the federal and state levels continue to target the organization.
Federal law prohibits taxpayer money from being used for most abortions, but many Republicans have long argued that abortion providers like Planned Parenthood use Medicaid funds for other medical services to subsidize abortions.
Planned Parenthood said 23 of its clinics were forced to close due to Trump’s spending bill. Last year, more than 50 clinics closed in 18 states, mostly in the Midwest.
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President Donald Trump signed a spending bill in July that included a ban on federal funds going to abortion providers. (Julia Demary Nishinson/AP Photo)
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“President Trump and his allies in Congress have weaponized the federal government to target Planned Parenthood at the expense of patients, depriving people of the care they rely on,” Alexis McGill Johnson, president and CEO of Planned Parenthood Federation of America, said in a statement.
“Throughout each attack, Planned Parenthood never loses sight of its focus: ensuring patients can get the care they need from providers they trust,” she continued. “That will never change. Care will continue and we are committed to fighting for the freedom for everyone to make their own decisions about their bodies, lives and futures.”
The Associated Press contributed to this report.





