The Maul Firm, P.C.

Health Law and Policy

Anthony F. Maul is an attorney and public policy consultant with over a decade of experience in complex and class action litigation. With a practice focused on health care advocacy and reform, Mr. Maul provides expert legal and consulting services to patients, providers and professional associations.

Filtering by Tag: Recoupment cases

Court Certifies Class of Providers Challenging Repayment Demands by UnitedHealthCare

Senior U.S. District Judge Dickinson R. Debevoise of the District of New Jersey has certified a class of healthcare providers challenging UnitedHealthCare's ("UHC") policy of issuing repayment demands to out-of-network providers without complying with the notice and appeal rights mandated by the Employee Retirement Income Security Act ("ERISA"). The plaintiffs representing the certified class are a midwest-based provider of durable medical equipment and a surgical center operating in Beverly Hills, California. The case is entitled Premier Health Center, P.C. et al. v. UnitedHealth Group, et al., No. 11-425 (ES) (D.N.J.).

The Court's opinion can be viewed here. In finding that the plaintiffs satisfied the requirements for certification under federal rules, Judge Debevoise reaffirmed an earlier holding that UHC's repayment demands violate ERISA rules in at least three respects common to the class:

First, they fail to provide “[a] description of the plan's review procedures and the time limits applicable to such procedures, including a statement of the claimant's right to bring a civil action under section 502(a) of [ERISA] following an adverse benefit determination on review.” 29 C.F.R. § 2560.503–1(g)(1)(iv). Second, they fail to indicate that the provider, “upon request and free of charge, [will have] reasonable access to, and copies of, all documents, records, and other information relevant to the” overpayment determination. 29 C.F.R. § 2560.503–1(h)(2)(ii). Third, they fail to “[p]rovide claimants at least 180 days following receipt of a notification of an adverse benefit determination within which to appeal the determination.” 29 C.F.R. § 2560.503–1(h)(3)(i).
Defendants fail to provide any evidence whatsoever that United substantially complied with the three aforementioned ERISA regulations....

The class representatives are joined as plaintiffs in the lawsuit with several national and state associations of chiropractors. In addition to challenging UHC's repayment demands, these chiropractic associations have also asserted claims challenging UHC's practices with respect to provider profiling, pre-authorization and utilization review.

The plaintiffs are represented by Zuckerman Spaeder LLP, Buttaci & Leardi LLC and the Maul Firm P.C. Out-of-network providers with pending repayment demands from UHC or its subsidiaries are encouraged to e-mail attorney Anthony F. Maul.

Court Awards Damages and Issues Permanent Injunction on Behalf of Providers Who Faced Recoupments by Independence Blue Cross

The United States District Court for the Northern District of Illinois has awarded damages and a permanent injunction to two Philadelphia-area chiropractors who were subjected to post-payment recoupments by insurer Independence Blue Cross ("IBC"). The Court had previously issued a permanent injunction against IBC on behalf of the Pennsylvania Chiropractic Society ("PCA"), holding that IBC's recoupments failed to comply with the due process requirements of the Employee Retirement Income Security Act ("ERISA"). However, the Court's new decision extends similar injunctive relief directly to the individual providers, Mark Barnard, D.C. and Barry Wahner, D.C., who testified on behalf of the PCA in a December 2013 trial. The new decision also requires that IBC repay, with interest, the money it recouped from Drs. Barnard and Wahner.

The Court's opinion can be viewed here, and the Court's permanent injunction can be viewed here. The Maul Firm represented Drs. Barnard and Wahner in conjunction with co-counsel including Zuckerman Spaeder LLP.

Court Issues Permanent Injunction Against Independence Blue Cross on Behalf of Maul Firm Client

On May 19, 2014, U.S. District Court Judge Matthew Kennelly of the Northern District of Illinois issued a permanent injunction requiring Independence Blue Cross ("IBC") to provide ERISA-compliance due process when issuing repayment demands to members of the Pennsylvania Chiropractic Association ("PCA"). The injunction follows the Court's trial decision, in which Judge Kennelly held that IBC systematically violated the rights of PCA members by seeking to recoup money from them without affording them the informational items and appeal processes required by ERISA. Judge Kennelly also issued an opinion and order along with the injunction.

The case is a landmark achievement, as it is the first time a provider association has achieved permanent injunctive relief under ERISA on behalf of its members. At trial, attorney Anthony F. Maul of the Maul Firm was co-lead counsel to the PCA. 

The Maul Firm Wins Trial Victory Against Independence Blue Cross

On March 28, 2014, the Honorable Matthew F. Kennelly of the U.S. District Court for the Northern District of Illinois issued a trial decision in favor of the Pennsylvania Chiropractic Association ("PCA") in a case against Philadelphia-based insurance company Independence Blue Cross ("IBC"). The Maul Firm's principal attorney, Anthony F. Maul, represented the PCA as co-lead counsel in a bench trial held in December 2013.  

In Pennsylvania Chiropractic Association v. Blue Cross Blue Shield Association, Mr. Maul and his co-counsel brought suit on behalf of various health care providers and professional associations. The lawsuit challenged the practice by IBC and other Blue Cross Blue Shield entities of issuing repayment demands to in-network providers without providing them the notice and appeal rights required by the Employee Retirement Income Security Act ("ERISA") and the U.S. Department of Labor regulations promulgated thereunder.

Judge Kennelly's decision is a complete victory for the PCA, ruling in its favor on every legal and factual issue contested in the trial. In particular, Judge Kennelly held that IBC's practices "come nowhere near substantial compliance with ERISA's notice and appeal requirements," and that the PCA was entitled to permanent injunction enjoining those unlawful practice.

The ruling establishes several ground-breaking precedents that strengthen the rights of providers facing repayment demands: it is the first trial decision holding that repayment demands constitute "adverse benefit determinations" under ERISA; it is the first time a court has held that in-network providers who receive direct payment from insurance companies are ERISA "beneficiaries"; and it is the first case in which a provider association has prevailed at trial on ERISA claims.

The Maul Firm is counsel in similar litigation against United Healthcare, Aetna and other insurers.

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