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Courage of Hercules: HHS Mandate Enjoined by Federal Court. Catholic Family Run HVAC Business Prevails

While we were all expecting the first victory against the unconstitutional HHS mandate to come in one of the many lawsuits filed on behalf of Colleges, Dioceses or other Church related non-profits, we were surprised when the victory came on another front

Every American, including family business owners, should be free to live and do business according to their faith. For the time being, Hercules Industries will be able to do just that. The cost of freedom for this family could be millions of dollars per year in fines that will cripple their business if the Obama administration ultimately has its way. This lawsuit seeks to ensure that Washington bureaucrats cannot force families to abandon their faith just to earn a living.


DENVER, CO (Catholic Online) - As the August 1, 2012 date for the initial implementation requirements of the HHS mandate drew near, the Alliance Defending Freedom (formerly Alliance Defense Fund) issued an opinion advising Catholic Colleges and other Church related institutions of the a "temporary one year safe harbor" which could delay the consequences of their non-compliance for one year.

Ironically, it was that "safe harbor" offered by the Obama Administration which was seized upon by Federal Judges in dismissing several lawsuits for "ripeness". For example, on July 18, 2012, Federal Judge James Boasberg of the DC District Court dismissed the Lawsuit filed by Belmont Abbey College. These lawsuits alleged that the mandate was an unconstitutional violation of the Free Exercise of Religion.

The HHS mandate requires all employers, including Catholic and other religious employers, to cover sterilization, abortion inducing drugs and contraception in their health care plans. The "exemption" provided for religious employers does not cover hospitals, universities, soup kitchens, outreaches to the poor and many other vital expressions of our Catholic faith and mission.

Following the strong outcry from every single Catholic Bishop in the United States and the massive resistance from the Catholic faithful, as well as the numerous lawsuits filed by Catholic and other Christian institutions, the Obama administration established this "safe harbor". It allows the institutions and outreaches affected to have an extension until Aug. 1, 2013.

Based upon this "safe harbor", the Federal Courts' accepted the Governments argument that the cases were premature because the mandate would not cause any immediate injury. In addition, in the Belmont Abbey case, the Court somehow even took judicial notice that an accommodation might be reached. The Judge wrote a 24 page opinion which held in part, 

"The court holds that the challenged rule is not 'sufficiently final. The government has done nothing to suggest that it might abandon its efforts to modify the rule - indeed, it has steadily pursued that course - and it is entitled to a presumption that it acts in good faith. At the end of the day, the Court offers no opinion on the merits of the current contraception-coverage regulations or any proposed future ones. If Plaintiff is displeased by the ultimate regulations, it may certainly renew its suit at that time. All the Court holds here is that Belmont has no basis to proceed now,"

However, the Alliance Defending Freedom was doing more than just helping Colleges and other organizations delay the punitive effects of this mandate. They were busy on another front, showing themselves to be outstanding religious liberty lawyers. While most of us were focused on the Non-Profit Church related institutions, they raised the related issue of compelling Catholics engaged in for profit businesses from having to comply with this unconstitutional mandate. It is also unconstitutional!

On April 30, 2012, they filed a Federal Cause of Action in the U.S. District Court for the District of Colorado entitled Newland et al v. Sebelius. Hercules Industries, Inc. is a Colorado for profit Corporation which manufactures heating, ventilation, and air conditioning ("HVAC") products and equipment.  The company is owned by William, Paul and James Newland and Christine Ketterhagen, members of a Catholic family who seek to live a morally coherent life. They do not separate their faith from their business life. In fact, they have integrated the teachings of the faith into the operation of their business.

The Corporation and its Catholic family leadership asked the Federal Court to enjoin the Obama Administration from compelling them to comply with the HHS Mandate. They properly argued that to do so would force them to violate their deeply held religious beliefs. They sought what is called in the law an "injunction". It is an order of Court stopping enforcement. It is called an "extraordinary remedy" because the party seeking an injunction must show there will be irreparable harm if the Court does not intervene.

In the opinion the Judge noted that "Although Hercules is a for-profit, secular employer - the Newlands adhere to the Catholic denomination of the Christian faith. According to the Newlands, "they seek to run Hercules in a manner that reflects their sincerely held religious beliefs" The Court issued an Order enjoining the Obama Administration. The Order and opinion accompanying it can be read here

The opinion recognizes and explains the serious constitutional issues which are raised by the HHS mandate. It provides hope for all who are concerned about stopping the implementation. It also offers Catholics and other Christian businesses some guidance in their corporate formation, ...


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1 - 10 of 16 Comments

  1. nick
    8 months ago

    this will be overturned, a Jehovah Witness owned business cant say , we wont pay for insurance for blood transfusions , a CS cant say we wont pay for doctors etc.

  2. Judy Claar
    9 months ago

    Jo Ann, Just what I needed to hear! More of Obama sneaky stuff! I would not be surprised. Nor would I put anything past him. I do Not trust the man or those who work for him. They commit errors, and get a free ticket, and a free ride. OBAMA and OUT. BLESSINGS....

  3. JoAnn
    9 months ago

    I wonder if anyone on this board has realized what the underlying motive for all of this mandate stuff. This fight with the Catholic Church and institutions and now some business is only the first step towards a SINGLE PAY UNIVERSAL health care program. That's what Obama wanted from the beginning only he knew he wouldn't get it. He knows he will have to take it a step and a time. And, as far as the 2nd amendment, that's being worked on too. After the shooting in the theatre, Obama was asked what he intends to do about gun control. His answer was that he was working on it but because of the 2nd amendment, he has to do it UNDER THE RADAR. There recently was a bill in congress called the Arms Treaty Act by the UNITED NATIONS. Thank God congress didn't pass it. That treaty would have given the UN the authority to confiscate all weapons from our citizens. Obama is inviting Muslim Brotherhood terrorist into the WH and they are holding strategic positions in his administration. If you listen to Muslim Brotherhood clerics, you will hear how they plan to take over America from the bottom up. I bet you, before the year is out, Obama will release the Muslim Brotherhood terrorist the "Blind Shiek." If you don't remember who he is, look him up. The MB is crossing over our borders and creating cells all over this nation. They've changed their tactics. I would say that this is the GRAND JIHAD. With Obama's help, this country is being taken down from within. Venerable Bartholomew Holzhauser says that there are 7 ages to the Church. We are at the end of the 5th age which brings in the Great Chastizement. The Bible says that the 3rd world war will begin in the area of the Euphrates River and 1/3 of mankind will be killed. Has anyone read what's going on in Trukey, Syria, Iraq, & Iran lately? God bless.

  4. Judy Claar
    9 months ago

    Bill Sr., If you are speaking young people, it was because it was too easy for them to become lug heads. It was a trickle down effect that made them so, (in some cases). Different families started it in different generations. Young grandparents or parents, who "gave in a little bit" to Secularism, and lost a little Faith and Religion along the Way. Perhaps they lived in a neighborhood w/not very much support? Whatever, by the time Now comes, its utter Chaos! And those like you and me, turn to each other and say: "What happened"? When in Reality, it was happening right before our very eyes. Some of us were too caught up in ourselves to see it. Others were not. And those others, are old fashion. I am showing those around me, by living my Catholic Faith, that I can Be a Good Catholic and be in this world. This is what we are called to do. This is what some have always done...but the circle grows smaller and smaller. Hum.? Has God Something planned? He always does. No matter what age, what century, what time. What Ever is going on, we know that He is in charge. As to past generations...well, they have been, as I said, part of the "trickling effect". Each generation, gets a little more Modern, perhaps looser w/the Church. And of course, some do not.
    Blessings...

  5. vin
    9 months ago

    What a shame that we have to fight for rights granted so clearly under the Constitution. And to make matters worse, the money used to fight for such a right comes out of the mouths of the poor. Who does more for the poor than religious organizations?

  6. JoAnn
    9 months ago

    Bill Sr.: You hit the nail right on the head. I'm with you. For the life of me, I can't understand how anyone in their right mind cannot see what's going on. Have you read Agenda 21. A UN report to "SUSTAINABLE DEVELOPMENT." It is not a consiracy theory, it is a conspiracy fact. It is going on right now, especially at the local level and if people do not come to recognize what's going on, we will all be answering to the UN. Not our government and our Constitution. The UN already have "drones" in the skies watching us. People, please, please, please, educate yourselves. The New World Order/One World governance is being implemented right under our noses. WAKE UP!!! If you do not want to lose your freedom, for God's sake WAKE UP!!!!!! If you have not read "AGENDA 21," DO IT IMMEDIATELY. God bless.

  7. Angel
    9 months ago

    [Revised Comment]
    Joel, if you are trying to make a case defending the coercive power of government in this situation, you have an immature idea of democracy. Study the foundational documents of this country. For the Founding Fathers, more fundamental than the right of government to wield state power is the obligation to wield that power as a government of the people, for the people, and by the people. Therefore, not only do citizens have a right to object and attempt to overturn policies that impinge on conscience but also those holding minority views reserve the rights of free expression & equal treatment under the law. Not only that, our Constitution is especially concerned with providing protection from state intrusion, especially federal intrusion on rights. In as much as it is possible, pluralism of views must be respected by the government; you are asking the government to suppress that pluralism in the absence of a need. Our democratic tradition is premised on guarantees to the right to life, liberty & the pursuit of happiness. I think that the freedom to pursue a legitimate livelihood qualifies. On the other hand, health care that is not healthcare but ideological bullying does not (#1, pregnancy is not a disease; #2, one of the Obama administration’s major arguments for the HHS contraceptive mandate is a need of access claim that is demonstrably bogus). The state does not have the right to take away a person’s right to make a living without compelling, convincing reasons. You have presented none--unless raw exercise of power by fiat counts.

  8. Angel
    9 months ago

    Joel, if you are trying to make a case defending the coercive power of government in this situation, you have an immature idea of democracy. Study the foundational documents of this country. For the Founding, more fundamental than the right of government to wield state power is the obligation to wield that power as a government of the people, for the people, and by the people. Therefore, not only do citizens have a right to object to policies that impinge on conscience but also the views & rights of minorities are to be cherished & protected ESPECIALLY from the state. In as much as it is possible, pluralism of views must be respected by the government; you are asking the government to suppress that pluralism in the absence of a need. Our democratic tradition is premised on guarantees to the right to life, liberty & the pursuit of happiness. I think that the freedom to pursue a legitimate livelihood qualifies. On the other hand, health care that is not healthcare but ideological bullying does not (#1, pregnancy is not a disease; #2, one of the Obama administration major arguments for the HHS contraceptive mandate is a need of access claim that is demonstrably bogus). The state does not have the right to take away a person’s right to make a living without compelling, convincing reasons. You have presented none unless raw exercise of power by fiat counts.

  9. Elena
    9 months ago

    The issue is not providing healthcare for employees or even a different way of believing. The issue is being required to provide a service under the healthcare law that goes against your morals and beliefs as an organization. Obama is asking that the church, of all places, pay for an employee's abortion which goes against every thing the church stands for. We should preserve life, not waste it away under a new mandate. A person looking for employment with the church should consider another organization if they could choose to abort their unborn baby.

    I just don't understand why people can't see why the current government is so firm with making abortion a service covered by healthcare. Those democrats don't want to preserve your right of choice. They hope you abort your future strain to their government spending. They target the poor and the desperate.

  10. Joel
    9 months ago

    Yes, it is plain and simple: if you do not want to provide your employees with healthcare, then you are free not to do so. You are welcome to go out of business. Or, you can stay in business and learn that this is the United States of America, and not everyone has the same beliefs that you do.

    Let me repeat: NOT EVERYONE BELIEVES IN THE SAME THINGS YOU DO. if youdo not want to provide healthcare to your employees, no one is requiring you to own a business, no one is requiring you to stop your discrimination!


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