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Petraeus Resigns Over Sexual Affair; Makeshift Help Centers in Long Island; Looking Ahead to 2016; Rescuing Lost Military Medals; Legal Battle Looms Over Pot Laws; High Court Considers Drug Dog Cases; Train Derails in Myanmar; U.N. Declares Malala Day; CNN Hero Helps Troops Deal with PTSD; Man Spreads Lies on Twitter About Storm; Labor Mural Controversy in Court; What Obamacare Means for You; Florida Election: Unofficial Results In

Aired November 10, 2012 - 12:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

SUSAN HENDRICKS, CNN ANCHOR: And we start with this. We are learning new details about the shocking announcement from CIA Director David Petraeus that he is resigning his post over an extramarital affair.

Here's what we know right now. A U.S. official tells CNN the FBI was investigating the retired four-star general after allegations surfaced he was having an affair with a woman who was writing his biography, Paula Broadwell.

Now the official says there were concerns Petraeus as head of the CIA could be blackmailed. Petraeus acknowledged an extramarital affair in his resignation letter to colleagues, but it's not clear if Broadwell is the woman he was having an affair with. We have been unable to reach Broadwell for comment on this.

Now Petraeus was appointed CIA chief last November. Before that, he was the commander of U.S. and NATO forces in Afghanistan. We get more on his legacy and unexpected resignation from Pentagon correspondent, Chris Lawrence.

CHRIS LAWRENCE, CNN PENTAGON CORRESPONDENT: Susan, David Petraeus sent this letter to the rest of the CIA on Friday admitting to them that he had an affair and that he went to the White House on Thursday and asked President Obama to accept his resignation.

On Friday, during a phone call, the president did accept that resignation effectively shaking up his national security team just days after the election.

(BEGIN VIDEOTAPE)

LAWRENCE (voice-over): By the time, David Petraeus got his first taste of real combat. He was a 50-year-old major general. In 2003, he commanded the 101st Airborne during the march on Baghdad. It was in Iraq that he rhetorically asked a reporter tell me how this ends suggesting trouble the U.S. would have there in later years.

There he gained the nickname King David, used affectionately by supporters and by those who labelled him a celebrity general. In 2007, President Bush appointed Petraeus to lead all troops in Iraq. Petraeus essentially rewrote the Army field manual and his ideas on counter insurgency became known as the Petraues Doctrine. A scandal of a different sort brought Petraues back to command another war when President Obama fired Stanley McChrystal for his unflattering comments to "Rolling Stone." Obama tapped General Petraeus as the man to save the Afghan war effort.

GENERAL DAVID PETRAEUS, U.S. ARMY: It has again been the greatest of honor to serve here.

LAWRENCE: But because of his name recognition among the American people, Petraeus was surrounded by speculation that he had political ambitions. Some wondered if he would appear on the Republican presidential ticket. But Petraeus knocked down those rumors.

PETRAEUS: We're not out there running a political campaign. We're running a war.

LAWRENCE: At a Senate confirmation hearing to head the CIA, Petraeus admitted President Obama decided to withdraw thousands of troops from Afghanistan, significantly faster than Petraeus wanted.

PETRAEUS: The ultimate decision was a more aggressive formulation, if you will, in terms of the time line, than what we had recommended.

LAWRENCE: Petraeus' wife, Holly, sat behind him during that testimony and Petraeus publicly praised her.

PETRAEUS: She is a symbol of the strength and dedication of families around the globe who waited home for their loved ones while they're engaged in critical work in Afghanistan, Iraq, and elsewhere. She's hung tough while I've been deployed for over five and a half years since 9/11.

(END VIDEOTAPE)

LAWRENCE: The chairwoman of the Senate Intelligence Committee Senator Dianne Feinstein called Petraues' resignation tragic and said she wished President Obama had not agreed to accept it. We're told that president was opposed to accepting Petraeus' resignation, but Petraeus insisted it was something that he had to do -- Susan.

HENDRICKS: All right, Chris, thank you. Appreciate that report.

Turning now to the recovery from superstorm Sandy, nearly two weeks after the storm, New Jersey Governor Chris Christie said he expects nearly all the power to be restored statewide by tonight.

But some 151,000 hose holds across New York are still without power. CNN national correspond, Susan Candiotti is in a Long Island, New York town where people are doing what they can just to survive until their power comes back.

(BEGIN VIDEOTAPE)

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: I'm in the town of Hempstead, Long Island, New York, where a make shift help center is set up to give resident residents things to get them through this crisis.

Meals ready to eat, water, clothing, they have pet food here, baby supplies, everything to help people get through this mess. One of the people that is helping out who is also a victim is Jim.

Jim, you work for the Parks Department here. Your house was flooded. How are you getting through this?

UNIDENTIFIED MALE: It's not easy, believe me. It's not easy.

CANDIOTTI: What's the hardest part of it?

UNIDENTIFIED MALE: The hardest part is the cold weather and not able to see my kids. I had to put my kids out with family members.

CANDIOTTI: Have you been trying to get answers and when the electricity will come back?

UNIDENTIFIED MALE: Yes. I've been trying to call them, you know, on a regular basis. I don't get any answers. I know the town is not getting answers so certainly they're not going to just be through a customer.

CANDIOTTI: If it takes them until Thanksgiving, Christmas, can you make it?

UNIDENTIFIED MALE: No. My wife and I had this discussion last night. That would be -- that's way out of whack. I can't see that happening. They didn't have that much destruction, I don't think.

CANDIOTTI: And now it's a matter of getting through the next days and weeks until they get some help. We're getting no answers from the utility company. That's the problem for everyone here. Susan Candiotti, Hempstead, New York.

(END VIDEOTAPE)

HENDRICKS: They still need so much help. If you'd like to pitch in for the storm victims in the northeast, it's easy to do. Just log on to CNN.com/impact. You'll find all kinds of information on how to contribute to the relief effort.

Just ahead, it is certainly not easy trying to return to a normal life after being in a war zone, but a CNN hero is helping veterans try to make that transition.

And you'll also meet a man who helps rescue soldiers' legacies by finding their lost combat medals.

(COMMERCIAL BREAK)

HENDRICKS: Welcome back. Well, the 2012 election is barely over. Would you believe political junkies are wondering who may be running for president in 2016? Paul Steinhauser takes a look at the names being whispered in political circles -- Paul.

PAUL STEINHAUSER, CNN POLITICAL EDITOR: Hi, Susan, call it the never ending campaign. When one election ends, the next one begins.

(BEGIN VIDEO CLIP)

MITT ROMNEY (R), FORMER PRESIDENTIAL NOMINEE: I have just called President Obama to congratulate him.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES OF AMERICA: I just spoke with Governor Romney and I congratulated him and Paul Ryan on a hard fought campaign.

(END VIDEO CLIP)

STEINHAUSER: With the 2012 election barely in the rear view mirror, we're already thinking about the next road to the White House. Marco Rubio heads to Iowa next weekend to headline a Republican event.

Does the popular GOP senator from Florida have designs on running for the next Republican nomination? A source close to Rubio says that kind of talk is way too premature, but ads about the state that kicks off the presidential caucus and primary calendar, it's always good to have friends in Iowa.

Rubio is just one name in a large list of Republicans who may consider runs for the White House. They include Governors Chris Christie of New Jersey, Bob McDonnell of Virginia, Bobby Jindal of Louisiana and Scott Walker of Wisconsin.

Rand Paul of Kentucky and John Thune of South Dakota, former Governor Jeb Bush of Florida, former Senator Rick Santorum who battled Mitt Romney deep into this year's primaries, former Governor Mike Huckabee who ran for president four years ago and the past two Republican running mates, Congressman Paul Ryan and former Alaska Governor Sarah Palin.

As for the Democrats, the vice president keeps dropping hints of running again for president. Here's Joe Biden from Election Day.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Next time, you're going to vote for yourself?

JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES OF AMERICA: I don't think so.

(END VIDEO CLIP)

STEINHAUSER: Even though she keeps saying no to running, there are tons of Democrats who hope Secretary of State Hillary Clinton will eventually say yes.

As for the new names, keep your eyes on Maryland Governor Martin O'Malley and New York Governor Andrew Cuomo. Now I can keep going. We don't have the time. If you think I'm jumping the gun, listen to this reputable guy.

(BEGIN VIDEO CLIP)

WOLF BLITZER, ANCHOR, CNN'S "THE SITUATION ROOM": For political news junkies like me, it's never too early to start thinking about Ohio, New Hampshire, and all of the rest.

STEINHAUSER: Call this the beginnings of the preseason when possible White House contenders write books, start up packs, campaign for fellow candidates and start building up friends in the early primary and caucus states -- Susan.

HENDRICKS: It seems like it is too early. I don't know. We appreciate that, Paul. Thanks for that report.

You know, a medal won in battle is a small reminder of a big event in a soldier's life. The memories last, but not always the medals. Sometimes they get lost. When that happens, one man made it his mission to find them and return them. This is his story.

(BEGIN VIDEOTAPE)

BARBARA MACNEVIN, DAUGHTER OF PURPLE HEART RECIPIENT: My dad, was a veteran of the first world war, a big war. He lost his right leg fighting in France. He received a Purple Heart for that. We had it for many years in my home where I grew up.

ROBERT MACNEVIN, GRANDSON OF PURPLE HEART RECIPIENT: It was lost in some manner in one of his moves and later in his life.

CAPTAIN ZACHARIAN FIKE, U.S. ARMY: I found his medal on craigslist. This has been a calling of mine for about the last three years. I locate lost or stolen medals. These are all the purple hearts that I'm currently working.

Some I located the families, some I haven't. I do these on my own time. I don't consider it a hobby. It's more of a calling and an honor. I myself have a purple heart. It hangs on the wall in my mother's home.

I would hope one day if my medal was lost, someone would do the same thing for me and my family. It is truly an honor to bring his Purple Heart home to his family.

And I am very humbled by his sacrifice. It is a great honor to bring home his purple heart. Thank you very much.

BARBARA MACNEVIN: The medal means a lot to me, especially and to our family.

FIKE: I'm glad it's home to where it belongs and I move on to the next medal.

(END VIDEOTAPE)

HENDRICKS: You can see more stories about soldiers who have sacrificed for their country on "Veterans in Focus" Sunday at 2:30 p.m. Eastern Time.

Voters in Colorado and Washington State said yes to legalizing recreational marijuana, but will legal challenges put the brakes on things? Our legal guys will weigh in coming up.

(COMMERCIAL BREAK)

HENDRICKS: The voters of Colorado and Washington State have spoken. They made it clear. They want to make it legal to smoke pot recreationally. The Colorado Governor John Hickenlooper says not so fast.

He said this, his words, federal law still says marijuana is an illegal drug. So don't break out the Cheetos and gold fish too quickly. There could be several legal challenges ahead on.

We want to bring in the legal guys, the experts, Avery Friedman, a civil rights attorney, law profession in Cleveland, and Richard Herman, a New York criminal defense attorney and law professor joins us again from Las Vegas. Great to see you both.

RICHARD HERMAN, CRIMINAL DEFENSE ATTORNEY: Hi, Susan.

AVERY FRIEDMAN, CIVIL RIGHTS ATTORNEY: Hi, Susan.

HENDRICKS: Avery, want to start with you on this, Washington State and Colorado passing marijuana laws. There are still tough federal laws as I mention. So who comes out on top here?

FRIEDMAN: Well, I think there's going to be an effort. The attorney general of Colorado, Susan, called Eric Holder yesterday to try to get clarification. The Justice Department wouldn't make one.

But at the end of the day, do we treat marijuana like heroin basically under federal law or should it be taxed like in prohibition, the end of prohibition?

Ultimately, I think the decision is that Congress is going to have to change the Federal Controlled Substances Act, which again makes marijuana treated like heroin and say ultimately in an act of federalism, let the states decide.

Right now, the federal government says it's unlawful. It's a federal crime. Without congressional action, the prosecutions, I think, will continue and will ultimately look to Congress to change the law to defer to the states.

HENDRICKS: Richard, what do you think? The enthusiasm is certainly here. The vote to legalize marijuana got more votes this week from state voters than voters gave Barack Obama. So people have a voice on this. What do you think about it? HERMAN: I think it gives new meaning to rocky mountain high. Don't you think so? Anyway, I know up in Washington they're going to dismiss, you know, hundreds of misdemeanor crimes that are pending on the books right now for possession of marijuana.

FRIEDMAN: That's right.

HERMAN: But Avery brings out the point. And that is we remember back in the Arizona case with the immigration law that Arizona enacted into state law versus the federal law. The federal law always trumps state law.

And right now it is illegal federally to have this. Even six plants, but do you really think six plants -- could you eat six potato chips, six colonels of popcorn? I don't know.

Congress may have to step in as Avery said because right now federally speaking and, look, let's face it. The Attorney General Holder has his hands full these days. I don't know if he's going to gear up and legislate and go after and shut down states like Colorado and Washington.

FRIEDMAN: He may not stick around.

HENDRICKS: Good point.

FRIEDMAN: He went to Baltimore law school this week and he refused to commit.

HENDRICKS: Avery, this brings up a point about let's tax it and bring money into each state. But the argument is on one end, marijuana is less dangerous than let's something like alcohol and that's legal. What's your response to that?

FRIEDMAN: Well, you know, Americans spend literally tens of billions -- billions every year on marijuana. This is the same thing that went on with alcohol. Ultimately, we have eight to ten states already that attempted to legalize or decriminalize marijuana.

So something's got to be done. You know what? If people are spending that kind of money, Susan, maybe it is time to tax that, you know, that drug, if you will. I mean, we're all in tough economic times.

So it seems like at least the voters in Washington State and the voters in Colorado are saying that's what we're going to do and look for other states, maybe not in the south, to follow suit and probably change the laws when it comes to marijuana.

HENDRICKS: Yes, the Colorado governor saying don't bust out the Cheetos too fast. Go ahead, Richard.

HERMAN: Yes. In Los Angeles, there are more medical marijuana dispensaries than Starbucks in Los Angeles.

FRIEDMAN: What do you think of that? This could be the future.

HENDRICKS: It could be.

FRIEDMAN: It tells you something though.

HENDRICKS: Speaking of drugs, we're staying on this point.

HERMAN: A lot of injured people.

HENDRICKS: We want to talk about drug sniffing dogs and the reliability of that evidence. Avery, do you think it should hold up in a court of law or do you think it should be like a lie detector test where, yes, it is used, but it may not be enough to prosecute?

FRIEDMAN: You know, the Supreme Court heard arguments on that very issue a short time ago. I love this case. The question is the Supreme Court of Florida said in validating dog sniffing evidence that came out of there that we have this mythic belief and kind of superstition to believe the reliability.

The Florida Supreme Court said no and the arguments before the U.S. Supreme Court, even the justices started growling about it. I mean, the truth is in places where there's no reachable expectation of privacy like airports and baggage claims, it may very well be admissible.

The issue before the Supreme Court on this, Susan, is whether or not that can be used where dogs go to someone's home. And I think the Supreme Court is going to rule that that violates the fourth amendment against unreasonable search.

And I think we're in the midst of a very new jurisprudence when it comes to the dog sniffing parts of evidence that we're seeing. I think it's a brand new world on that part of the evidence that, of course, you'll be considering.

HENDRICKS: Richard, what do you think about this? The dogs are rewarded if they find drugs. Could this hamper the reliability of the dog and what it thinks?

HERMAN: Yes, there are statistics on this that show 12 percent effective rate with the dogs and the handlers don't want you to get into their history. That could undermine the findings. I don't trust these dogs, Susan.

I've had cases where a driver was pulled over off the highway. They took that dog and walked around the vehicle like ten times and then all of a sudden magically the handler flinched his hand, the dog alerted. Now we're going in. It was ridiculous.

It was just ridiculous. Avery, what he's talking about with the house situation is the house sniffing at the front door and alerting now they can bust open the door without a warrant and search your house. T hat's a problem. I agree with Avery. The Supreme Court is going to reject and prohibit this type of behavior.

HENDRICKS: Avery, why do you think it's just coming to a head here? It seems as though the reliability of the dogs have been used in the past in many cases.

FRIEDMAN: I don't know, Susan. It never made any sense to me. I mean, why should dog sniffers be any more reliable than any other form of evidence? Shouldn't there be tests of trustworthiness and reliability? That's exactly what the Supreme Court is looking at. I think it's time to really bring the answer, answer the question of whether or not we should trust it. We'll have an answer coming down by early 2013.

HENDRICKS: All right, Avery and Richard, thanks so much. I know you'll be back in 20 minutes. We're going to talk about a controversial mural removed by the governor of Maine.

And now judges are trying to decide whether the art is private, first amendment protected speech or not. I know you have a lot to say about that one.

And there is already fallout from the election. An Ohio coal company says they'll have to lay off workers because of some things that President Obama wants in his second term. We'll explain that.

If you have to go out today, just reminder, you can continue watching CNN from your mobile phone. You can also watch CNN live from your laptop, too. Just go to cnn.com/tv.

(COMMERCIAL BREAK)

HENDRICKS: Checking today's top stories, new details about the surprising resignation of CIA Director David Petraeus. The retired four-star general announced he was stepping down yesterday citing an extramarital affair.

A U.S. official tells CNN the FBI was investigating allegations that Petraeus was having an affair with his biographer, Paula Broadwell. The official says there were concerns an affair could make Petraeus subject to blackmail.

A train derailment near the Myanmar-India border has killed at least 25 people. The train was hauling cars filled with gasoline and diesel fuel when it overturned near a station. People ran up to collect some of that fuel. Three derailed cars caught fire trapping them. Another 62 were injured.

The United Nations has declared today as Malala Day. The U.N. is honoring that Pakistani girl shot in the head by the Taliban for speaking up for girls' right to education. Now a month later, Malala is recovering well at a British hospital and people from all over the world have sent her cards to wish her a fast recovery.

After the headlines, these stories are trending now on cnn.com today. It looks like some post election fallout. An Ohio coal company says they have been forced to lay off 160 workers.

It blames the bleak economic prospect facing the coal industry as the president heads into his second term. They include pending EPA regulations and the possibility of new taxes it is headed by a prominent Mitt Romney donor.

Here is a buyout that caught investors by surprise. Priceline acquired another online travel listing Kayak Software Corporation. They paid $1.8 billion. Some consider that overpriced. It is good news for Kayak shareholders, though. Kayak closed at $31, but the takeover price was $40 a share.

And Los Angeles Lakers fans, they won't tolerate losing. The team lost every preseason game and it's just one in four in the regular season. So the front office moved fast. They fired second year head coach Mike Brown. The Lakers are loaded with high priced talent who have not produced wins, so they say.

Sometimes the wounds of war are not visible. Our CNN hero today tells us how she helps veterans with PTSD.

(COMMERCIAL BREAK)

HENDRICKS: Welcome back. Each week we are shining a spotlight on the top ten "CNN Heroes" of 2012. As we remember our veterans this weekend, we want you to meet one woman who is on a very special mission.

Her name is Mary Cortani. She is an army vet who helps returning U.S. troops, many of whom suffer from the invisible wounds of war like PTSD and she is helped by man's best friend.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: When I got back from Iraq, I stood away from large crowds, malls, movies.

UNIDENTIFIED FEMALE: I wouldn't leave the house just didn't want to.

UNIDENTIFIED MALE: I stayed inside. Windows were blocked out.

UNIDENTIFIED MALE: I was really numb. I didn't feel like I had a purpose anymore.

UNIDENTIFIED MALE: Nightmares constantly. Flash backs. Everything to me is still a combat zone.

MARY CORTANI, COMMUNITY CRUSADER: Veterans with invisible wounds, we can't see a wheelchair, a prosthetic leg. They appear like you and I, but they're suffering goes so deep it touches the soul.

I learned how to train dogs while I served in the war. I knew a dog can add a lot in your life. I realized this is what I was supposed to do.

My name is Mary Cortani. I match veterans with service dogs, train them as a team so that he can navigate life together. When a veteran trains their own service dogs, they have a mission and purpose.

Talk to him. Tell them they did good. Dogs come from shelters, rescue groups. They're taught to create a spatial barrier and can alert them when they start to get anxious.

Are you getting overwhelmed? Focus on Maggie. The dog is capable of keeping them grounded.

You're focusing on him and he's focusing on everything around you. You start to see them get their confidence back. Communicate differently. They venture out and beginning to participate in life again. Being able to help them find that joy back in their life, it's priceless.

(END VIDEOTAPE)

HENDRICKS: And Mary Cortani joins me now from Mountain View, California. Mary, it's great to talk to you.

CORTANI: Good morning, Susan. Thank you for doing this.

HENDRICKS: We're thrilled at what you do. How did you feel when you found out that you were a CNN Hero's finalist?

CORTANI: My goodness, I keep saying this over and over. I can't find any other words than wow. It is surreal and it's just amazing.

HENDRICKS: You obviously knew there was a need for this. Did you find that these men and women didn't want to talk about it, that they were suffering in silence?

CORTANI: Absolutely. We still see that each and every day. The veterans in our program, you know, 85 percent of the veterans in the program are from the Iraq and Afghanistan wars.

We also have Vietnam veterans and Desert Storm veterans, and they hide. They don't know thou go get help. And as a soldier, you're not taught to seek help. You're taught to give help.

HENDRICKS: So do you think in a sense they feel as though maybe it's sign of weakness to say I'm not doing well here. I need help?

CORTANI: Absolutely. And with the pressures of, you know, changing from military life to civilian life and you add the injuries to it and they'll just continue to withdraw and eventually take action that is going to end their lives because they feel hopeless and helpless.

HENDRICKS: Well, that's where you step in and helping out. I found it fascinating watching your story that the dogs can actually sense when he or she is getting anxious and they help out with that.

CORTANI: Well, absolutely. Dogs see the world through their nose. They don't see it through their eyes like humans. So, you know, they're more sensitive to the changes that go through us as we experience different things whether it's joy, stress, anxiety, hyper vigilance, diabetes, epilepsy.

They have the ability to sense those chemical changes and biological changes within our body. And if we tune in to it and pay attention to their body language or what they're trying to tell us, we can learn a lot.

And it's amazing because in our world and what I teach our veterans are to pay attention to the obedient disobedience. When you have a well trained animal who is trained in numerous tasks to help you navigate life and all of a sudden you tell him sit and they don't want to sit, well, why is it?

HENDRICKS: All right, Mary, you're doing amazing things helping so many. You truly are a CNN hero. Thank you, great to talk to you.

CORTANI: Thank you very much for bringing a light to the issue that our men and women are suffering with invisible wounds.

HENDRICKS: They no longer have to because of you. Appreciate. Mary, you're just one of our top ten honorees. One of whom will become "CNN's Hero of the Year" and receive $250,000.

Who will it be? You decide. Go to cnnheroes.com online and on your mobile device and vote up to ten times a day every day.

A man could find himself in legal trouble over the 140 characters he typed on Twitter during superstorm Sandy. We're going to talk to the legal guys about what if any legal action can be taken for false tweets.

(COMMERCIAL BREAK)

HENDRICKS: During superstorm Sandy, social media is the only way people could receive or send information. It really became their life line, so to speak. But one man is accused of spreading outright lies on Twitter about the storm and the midst of the chaos.

And now an elected official is pushing for him to be punished and face criminal charges. Can that happen? Our legal guys are back, Avery Friedman in Cleveland and Richard Herman in Las Vegas. Great to see you both again.

Avery, I'll start with you, false tweets, can they be prosecuted or is it freedom of speech?

FRIEDMAN: Well, you know, I wonder if it's either. The problem in a case like this, this is a person sending out all sorts of incorrect messages during this horrendous circumstance that New York suffered. Many feel he should be prosecuted.

I think morally that is a proper answer. The problem is this term, the U.S. Supreme Court in a case involving stolen valor, a guy named Alverez who lied about receiving medals during the war, the Supreme Court held that those lies are constitutionally protected.

So it seems to me that based on the Alverez decision, this term by the Supreme Court, as bad as his behavior was during hurricane sandy, he cannot be prosecuted constitutionally. I think the guy actually gets away with it. It's shame, but he's going to slide out of it based on the first amendment.

HENDRICKS: It really is a shame. Richard, what if a tweet took first responders away from an area where they really need to be or is this a slippery slope in terms of social media, how much it should be relied on?

HERMAN: That's a slippery slope just as you said. You know, Oliver Wendell Holmes said can you not cry fire in a crowded movie theatre unless there is a fire.

And here the question is, you know, does this type of speech, does this rise to the level of a false government warning or a false threat to the government because if it does, then perhaps he can be prosecuted.

And it's not so clear cut that he can't be in this particular case. But the end, the issue is can you rely on this? Who are these people? Where is the basis for the foundation what they're saying?

Why should we rely on it? You know, you can't jump the gun and just, you know, go with it. There are too many nuts out there posting crazy stuff like this guy.

HENDRICKS: Yes. Avery, do you think that the laws will change with the technology that they just haven't caught up with this? Do you see that happening in the future?

FRIEDMAN: Well, that's a wonderful question. Actually technology is so far ahead of where our laws are both federal and state. You know what? It's always going to be a struggle, Susan, between trying to stop anti-social behavior in these tweets and freedom of expression under the first amendment.

That balance test is the constant in federal and state courts. You know what? I don't know that the law is ever going to catch up with social media and technology. I think it's going to be case by case always a struggle, always a battle in the courts, very difficult to answer.

HENDRICKS: All right, we're switching to Maine now. We're talking about one of the most famous pieces of art work in Maine. The governor ordered it to be removed. And the artist is claiming she does not want it to be removed because she was paid for this. Confusing case here, Richard, what do you think?

HERMAN: I think that the governor should have taken a look at the picture before he ordered it taken down. That would have been nice. But, you know, here the government, the government in Maine commissioned the picture.

They put it up to send a message by the government and now the government in Maine is determination they want to remove it and they can do that. They have every right to do that.

And these people who are complaining about this and bringing litigation, they really -- this is not the artist who is commissioned. These are just the public.

They don't have standing first of all. I don't believe they have any valid argument. The government had a right to take this thing down.

HENDRICKS: It was put up, Avery, in 2008, removed in 2011. Some claimed it was like being brainwashed. But isn't it that their right to remove the art work if they want to no matter what the reasoning? FRIEDMAN: Well, it's government speech, at least the trial court found that. This week there were arguments in front of a three judge federal panel, Susan. What the concern was, was it viewpoint discrimination.

If it was, it's unconstitutional. The governor should not have taken it down. You know what? At the end of the day, I hate to do this, I agree with Richard. I think that people who brought the suit don't have standing.

I think the case is going to be thrown out on that technical argument. But I got to tell you something, I think this is a case that should go to a jury. Decide is it government speech or viewpoint discrimination?

I think there is an absence of standing. I don't think the case will ever get there. I think the governor gets away with banning the art and the most famous art in Maine is now gone.

HENDRICKS: Imagine being on that jury. Richard, do you agree with Avery? Do you think it should go to a jury?

HERMAN: I don't believe it should go to a jury. You think it's more famous than the Zumba case in Maine, Avery? I don't know.

FRIEDMAN: Yes, that's right. That's in Providence. That's still going on, right?

HERMAN: This mural adorns the walls of the waiting room for people going in to workers compensation hearings. So while it was commissioned to show the history of workers in Maine.

There is an argument to take it down. The government decided we're going to take it down. The governor decided that. He has every right to do it. This should not go to a trial. This case is over.

HENDRICKS: Avery and Richard --

FRIEDMAN: I don't believe it.

HENDRICKS: I know you guys are coming back again today. Thanks so much. The legal guys are here every Saturday at this time and at 4:00 p.m. to give us their take on the most intriguing little cases of the day. We love their takes on that.

Former Arizona Congresswoman Gabby Giffords confronted her gunman in court this week and sat in the courtroom as she learned his fate. In our case closed, Jared Loughner has been sentenced to life in prison without parole for the attempted assassination of Gabrielle Giffords. The January 2011 shooting killed six people and wounded 13 others.

Obamacare is here to stay now that the president has been re-elected. So what does that mean for you and money, we're going to take a closer look.

(COMMERCIAL BREAK) HENDRICKS: Obamacare has survived a Supreme Court challenge and a presidential election. So now what? Christine Romans takes a look at what it means for you and your money in this week's "Smart is the New Rich."

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: The battle over health reform is over. The Supreme Court has ruled and now the president has been re-elected. The centerpiece of the legislation, when everyone has to have health insurance or pay a penalty, doesn't go into effect until 2014.

Several key pieces of the new law take effect next year. First, if you're a big earner, your taxes are going up. A new Medicare surtax means an individual making $250,000 is going to pay $450 more a year into Medicare.

A family earning say half a million dollars is going to pay $2,250 more. On top of that, high income families may also be subject to a new 3.8 percent Medicare tax on investment income. That is high earning families.

Next, if you contribute to a flexible spending account, the maximum amount you can set aside is $2,500. So if you're in the middle of open enrolment now, please plan accordingly.

Finally, lots of work is happening to get state health insurance up and running. There is where you're going to go to compare and buy plans if you need insurance.

Enrolment is supposed to start next October, less than a year from now. So far, only 14 states in Washington, D.C. are planning to establish their own exchange. They're the ones in blue here.

Other states have opted to partner with the federal government or just let the government come in and run it altogether. States face a November 16th deadline, this Friday, to say where they stand. I'm Christine Romans with this week's "Smart is the New Rich."

HENDRICKS: Christine, thank you for breaking that down for us.

Coming up, a pro golfer playing in a tournament faces a tough obstacle. He felt so sick he almost stopped playing. Instead, his story shows unusual toughness. You got to stick around for this.

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HENDRICKS: Breaking news now, almost a week after the election, state election officials in Florida have the final tally in the presidential race.

Nick Valencia joins me now. Nick, what you have learned?

NICK VALENCIA, CNN CORRESPONDENT: Susan, the election results are in, in the state of Florida. CNN can now confirm that President Barack Obama has won the state of Florida. He edges out Governor Mitt Romney 50.1 percent of the vote going to President Barack Obama. He edges out the governor who won 49.13 percent of the vote, just over eight million votes cast.

With the win, President Obama absorbs the 29 electoral votes and tops Mitt Romney in the final electoral vote count, 332 to 206. So again, just in to CNN. We're breaking in now. We are calling the election state of Florida goes to President Barack Obama -- Susan.

HENDRICKS: All right, Nick, thank you. Finally, it came in after all those folks in Florida waited in line tirelessly to vote. Thanks so much.

Checking today's other top stories, new details about the surprising resignation of CIA Director David Petraeus, the retired four-star general announcing he was stepping down. He made that announcement yesterday citing an extramarital affair.

A U.S. official tells CNN the FBI was investigating allegations Petraeus was having an affair with his biographer, Paula Broadwell. The official says there were concerns an affair could make Petraeus vulnerable to blackmail.

Nearly two weeks after superstorm Sandy, New Jersey Governor Chris Christie said he expects nearly all the power to be restored statewide by tonight.

Meanwhile, about 151,000 households across New York still don't have power. Most of those outages are in Long Island and harder hit areas of Queens like the Rockaway Peninsula.

How about this for a golfer gutting it out? Charlie Belljan, a PGA Tour complained he was having trouble breathing as he played that tournament yesterday.

In spite of that, the 28-year-old shot an eight under par round and has the lead in that event now. Concerned paramedics actually followed him around as he played.

Talk about dedication. An ambulance took him to the hospital with heart palpitations as soon as he finished playing. That is amazing.

Coming up this afternoon, we're going to keep our eyes on D.C. as the Petraeus resignation sends shockwaves through the Obama cabinet while the clock ticks toward a fiscal cliff.

And putting a face on superstorm Sandy from tragedy to acts of generosity, we have the human stories that you want to hear.

And the vote counting wrapping up in Florida four days after the election, Obama the winner. Why did it take so long? We're headed down to the sunshine state to shed some light on the situation there. Could it happen again? That and so much more ahead this afternoon. "YOUR MONEY" starts right now.