Tags: dominos | founder | sues | obamacare

Domino's Pizza Founder Sues Over Obamacare Contraception Mandate

Monday, 17 Dec 2012 12:40 PM

By Michael Mullins

Domino's Pizza founder Tom Monaghan is suing the federal government over mandatory contraception coverage included in the Patient Protection and Affordable Care Acts, also known as Obamacare.

In the suit filed on Friday, Monaghan, a devout Roman Catholic, argues the law violates his rights and asks that a judge strike it down.

In addition to contraception, the Health and Human Services mandate also requires employers to provide health insurance to cover abortion-inducing drugs and sterilization, a fact rarely discussed by the mainstream media. If employers fail to provide such services, they face significant government fines.

With the suit, Monaghan joins other business owners and executives who have expressed disproval with Obamacare. The list includes Papa John's CEO John Schnatter, who announced in November that he would increase prices on his pizza to compensate for increased costs associated with the new healthcare law and also scale back employee hours to avoid falling under the HHS mandate.

Facing a backlash, Schnatter later walked back his comments, saying the company would "honor this law, as we do all laws, and continue to offer 100 percent of Papa John’s corporate employees and workers in company-owned stores health insurance."

Darden Restaurants, the company that owns the Red Lobster and Olive Garden chains, also considered making some of its workers part time to avoid having to provide health insurance under the law, but later recanted.

The new law does not require employers to provide health insurance to employees who work less than 30 hours a week.

In addition to Monaghan's suit, the Catholic Church in May filed a dozen separate federal lawsuits challenging the constitutionality of the contraception mandate.

It isn't the first time Monaghan's pro-life stance has gained him headlines. In 1989, the National Organization of Women called for a national protest against Domino's because of Monaghan's financing of pro-life organizations.

Monaghan, a former owner of the Detroit Tigers major league baseball team, founded Domino's Pizza in 1960 in Ann Arbor, Mich., after borrowing $500 from his brother.

In 1998, Monaghan sold Domino's Pizza to Bain Capital, Mitt Romney's former financial services company. Six years later Domino's went public.

There are presently more than 10,000 Domino's Pizza stores in 70 countries around the globe.

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