Category: Legal & Regulatory Issues

New York health system sues insurer to recoup $228M in COVID-19 losses

Buffalo, N.Y.-based Kaleida Health is suing its insurance provider, American Guarantee and Liability Insurance Co., arguing it should cover $228 million in losses tied to the COVID-19 pandemic, the Buffalo News reported March 21. 

2 sentenced for $48M medical reimbursement account fraud scheme

Louisiana residents Denis and Donna Joachim were sentenced March 17 for creating, marketing and operating a $48 million fraudulent medical reimbursement program, according to a Justice Department news release.

Virginia physician sentenced in $1.8M fraud scheme against payers, patients

Former Virginia physician Leonard Rosen, MD, was sentenced March 18 for his role in a $1.8 million fraud scheme that exploited payers and patients, according to The Washington Post.

7 recent hospital lawsuits

From a health system defeating an antitrust lawsuit to a defunct Arkansas hospital sued for allegedly failing to protect patient information, here are the latest hospital lawsuits making headlines. 

Arkansas hospital sued after leaving behind patient records after closure

The Arkansas attorney general filed a lawsuit March 17 against a defunct hospital accusing it of failing to protect sensitive patient information after it closed.

Justice Department can join Methodist Le Bonheur fraud suit, court rules

The Justice Department can intervene in a lawsuit accusing Methodist Le Bonheur of orchestrating a kickback scheme and submitting hundreds of millions of dollars in false claims, the Commercial Appeal reported March 15. 

Democrats introduce anti-merger bill: 3 things to know

Democrats in both chambers of Congress introduced a bill March 16 that would require the Federal Trade Commission and the Justice Department to overhaul their merger processes, according to Politico. 

Novant Health sued over $2K ER visitation fee

A patient filed a putative class-action lawsuit against Charlotte, N.C.-based Novant Health, accusing the health system of charging a hidden fee for emergency room visits. 

Idaho passes abortion ban modeled on Texas’ law

Idaho on March 14 passed legislation that would ban abortions after about six weeks and allow families to sue clinicians who perform the procedures. The bill is modeled after Texas’ law, which took effect last September, according to The New York Times…

Sutter Health defeats $411M class-action antitrust suit

Sacramento, Calif.-based Sutter Health has defeated a $411 million class-action lawsuit alleging that it used its market power to negotiate restrictive contracts with major insurers and overcharge millions of premium-paying patients, according to Law360.