San Francisco law to pay for minimum employee health-care benefits

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UPDATE: The U.S. Supreme Court asks the Obama administration views on city health-care law

The U.S. Supreme Court on Monday asked the Obama administration for its views on a San Francisco law that requires medium and large-sized companies to pay for minimum employee health-care benefits.

Under the law, businesses operating in the city must either offer their employees health-insurance coverage or pay into a city fund that provides health care to uninsured San Francisco residents.

A local restaurant association, with the support of other business groups, filed a lawsuit challenging the city ordinance, saying it was burdensome on businesses and interfered with a federal law that governs employee-benefit plans.

The Supreme Court on Monday asked U.S. Solicitor General Elena Kagan, the federal government's lawyer at the high court, for the administration's views on whether the justices should consider the case.

The San Francisco-based 9th U.S. Circuit Court of Appeals upheld the city law last year.

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UPDATE: US High Crt Asks Admin's Views On City Health-Care Law - WSJ.com