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Fifth Circuit Court of Appeals reverses contempt order, removes judge from high-profile Texas foster care lawsuit

A 2011 lawsuit filed on behalf of nearly 12,000 foster children alleged the state was failing to find them homes or properly investigate reports of abuse.

DALLAS — The United States' Fifth Circuit Court of Appeals issued a significant order Friday in a legal battle over foster care in Texas -- a fight that has been going on for 13 years now and cost Texans more than $200 million.

The ruling reverses an April contempt of court ruling issued by U.S. District Judge Janis Jack against Texas Health and Human Services Commission (HHSC) for failing to properly investigate abuse allegations made by children who are permanently in the state's care.

Jack ordered a $50,000 per day fine for two remedial orders she ruled HHSC violated, totaling $100,000 per day. The Fifth Circuit paused the fines as it reviewed arguments from both sides. 

Friday's ruling also undid Jack's order that HHSC pay a $50,000 per day fine for two remedial orders she ruled that the agency had violated -- payments that the Fifth Circuit paused as it reviewed the state's appeal of Jack's ruling

Notably, Friday's ruling also directs the case, which Jack has presided over since it was filed more than a decade ago, to another judge.

In 2011, a group of lawyers sued the state on behalf of nearly 12,000 foster children, alleging the state was failing to find them homes, and failing to properly investigate reports of abuse. 

Over the course of the last decade, Jack has issued several orders aimed at widespread reform -- most recently this past spring after she presided over a federal hearing that included disturbing testimony from a Texas foster child and shocking revelations from a former caseworker surrounding the living conditions of Texas foster children.

According to its appeal, the state has spent more than $150 million on improvements to the foster care system to address Jack's specific remedial orders.

"Frankly, this is a sad day for Texas children," Paul Yetter, the lawyer representing the children in the lawsuit, said in part in a statement provided to WFAA in the wake of Friday's ruling. "For over a decade, Judge Jack pushed the state to fix its broken system. She deserves a medal for what she’s done. We will keep fighting to ensure these children are safe."

A spokesperson for Yetter said Saturday that they intend to appeal Friday's decision. 

The Texas Department of Family and Protective Services applauded the decision.

"We are pleased that the Fifth Circuit recognized the significant efforts DFPS and HHSC have invested in serving the children and families of our state," a DFPS spokesperson said in a statement. "We remain committed and are grateful to Governor Abbott and the Texas Legislature for their continued support in furthering the well-being of our most vulnerable Texans.”

Read the U.S. Fifth Circuit Court of Appeals' ruling in full below:

This is a developing story. Check back for more details.

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