Families File Lawsuit to Stop California’s Rady Children’s Health from Cutting off Health Care for Transgender Youth

New lawsuit follows the temporary restraining order secured by Attorney General Rob Bonta to keep care in place and protect transgender youth from discriminatory denial of medically necessary care

SAN DIEGO, CA, 03.19.26 — Today, California families filed a lawsuit against Rady Children’s Health, the nonprofit parent organization overseeing Rady Children’s Hospital San Diego and Children’s Hospital of Orange County (CHOC), to stop the hospital system from unlawfully cutting off medical care for transgender adolescents and young adults. The families are represented by Western Center on Law & Poverty, Impact Fund, and the National Center for LGBTQ Rights.

The lawsuit challenges the hospital system’s January 20, 2026, announcement that it would stop providing healthcare to treat transgender youth — care that every major medical organization recognizes as well-established and medically necessary. The hospital’s announcement followed the Federal Administration’s December 16 proposed rule that would bar facilities that provide this healthcare from receiving any funding from the federal Medicare or Medicaid programs. The proposed rule has not yet gone into law.

Rady Children’s Health planned to halt services on February 6, placing an estimated 1,900 patients at risk of losing access to ongoing treatment. However, California Attorney General Rob Bonta obtained a temporary restraining order (TRO) which temporarily prevented the hospital system from ending care.

While the Attorney General’s case raises administrative compliance concerns, the families’ lawsuit alleges that the hospital’s decision violates California’s anti-discrimination law.

“No hospital in California has the right to single out transgender youth and deny them critical healthcare,” said Amy Whelan, National Center for LGBTQ Rights Senior Staff Attorney. “That is discrimination, plain and simple, and it violates California law. We filed this lawsuit to ensure that these young people receive the health care their doctors have prescribed and that the law guarantees them.”

“Transgender youth and their families should not have to fear that hospitals will end essential medical care overnight,” said Lori Rifkin, Impact Fund Litigation Director. “Hospitals have a responsibility to follow the law and provide equal access to healthcare. Discrimination has no place in medicine.”

“Medical care–and especially critically important care–should be decided by patients and their doctors. But if the hospitals refuse to protect their patients, our clients have no choice but to protect themselves,” said Helen Tran, Senior Attorney at Western Center on Law & Poverty.

The complaint seeks injunctive relief to prevent Rady Children’s Health from ending transgender healthcare, and to ensure transgender youth continue receiving treatment without disruption, discrimination, or unlawful denial of services.

About Western Center on Law & Poverty

Western Center on Law & Poverty is California’s leading legal organization working to end poverty and advance racial and economic justice. For nearly 60 years, Western Center has fought for policies and legal protections that ensure low-income communities can access healthcare, housing, food security, and fundamental civil rights.

About Impact Fund

Impact Fund is a nonprofit that provides grants, advocacy, and education to support impact litigation on behalf of communities seeking economic, environmental, racial, and social justice.

About National Center for LGBTQ Rights

National Center for LGBTQ Rights is a nonprofit legal organization that advances civil and human rights for LGBTQ people and their families through litigation, legislation, policy, and public education.

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CONTACTS:

Lauren Gray - National Center for LGBTQ Rights

Maria Sundeen - Western Center on Law and Poverty

Teddy Basham-Witherington - Impact Fund