Sovereign Health — Blue Cross Litigation

Client
Sovereign Health Group
Type of Engagement
Litigation
Subject Matter
ERISA
Unfair Competition
Forum
Central District of California

The Challenge

Ensuring that Sovereign Health Group, one of the nation’s largest independent providers of behavioral health treatment, is fairly compensated for its award-winning work fighting drug addiction.

The Engagement

In May 2015, we filed suit in the Central District of California on behalf of Sovereign Health Group. The suit named over 20 members of the Blue Cross and Blue Shield Association and dozens of related ERISA-governed welfare plan defendants. The Blues provide health insurance coverage to about one in three Americans. The complaint seeks redress for Blue Cross’s systematic disregard of valid assignments of benefits, as well as promises to pay providers directly, in connection with insurance reimbursement. The defendants’ conduct violates both federal and state law.

The Result

While many defendants have settled, the closely watched case is ongoing, and a leading example of growing provider efforts to be compensated for their front-line efforts against health epidemics that insurance companies prefer to ignore.

“Stris & Maher is our first-choice litigation counsel on all matters. Without exception, they have shown excellent judgment and given sound advice. I know we can turn to them in any circumstance and they will deliver results.” Seth D. Zajac, General Counsel, Sovereign Health Group
Key Case Materials

Oral Argument Transcript (May 31, 2016)

Defendants’ Reply (April 4, 2016)

Our Opposition (March 21, 2016)

Defendants’ Motion to Dismiss (January 25, 2016)

Our First Amended Complaint (October 5, 2015)