The 1st U.S. Circuit Court of Appeals on Monday overruled a preliminary injunction from liberal U.S. District Judge Indira Talwani, allowing a federal provision to defund the Planned Parenthood abortion business through Medicaid to take effect and continue during ongoing litigation.

The decision, which lifts a temporary block on the funding ban, marks a significant victory for pro-life advocates who have long pushed to redirect taxpayer dollars away from the abortion company.

The American Center for Law and Justice, which filed amicus briefs supporting the government’s position, hailed the ruling as a “crucial” step in “defending the sanctity of life and ensuring that taxpayer dollars are not used to fund organizations that perform abortions.”

Judge Indira Talwani, an Obama appointee in Massachusetts, issued a preliminary injunction against a pro-life provision in Congress’s One Big Beautiful Bill Act. The measure bars Medicaid reimbursements to tax-exempt organizations that kill babies in abortions and received more than $800,000 in such funds during fiscal year 2023.

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Pro-life advocates had championed the law as a critical step to redirect taxpayer dollars away from abortion companies, ending federal taxpayer support to large entities like Planned Parenthood.

The ruling applied to a coalition of 22 states led by California, Connecticut and New York, plus the nation’s capital.

Talwani found that the states are “likely to prove that the law imposes an unconstitutional, retroactive condition on state participation in the Medicaid program,” which provides health coverage to low-income Americans. She described the provision as “impermissibly ambiguous,” noting that allowing it to take effect would “increase the percentage of patients unable to receive birth control and preventive screenings, thereby prompting an increase in states’ healthcare costs.”

Now defunding can continue nationwide thanks to the appellate court.

Planned Parenthood, which sued separately, has seen 48 of its abortion centers close this year.

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