A federal choose dismissed the lawsuit filed by the Louisiana Municipal Danger Administration Company in opposition to TeamHealth on Friday, ruling that the plaintiff doesn’t have standing to sue.
Choose Clifton Corker handed down the choice within the U.S. District Courtroom for the Japanese District of Tennessee, writing that the plaintiff couldn’t advance the lawsuit as a result of the reimbursements in query got here from authorities entities, not the Louisiana Municipal Danger Administration Company, which administers advantages for native authorities staff within the Pelican State.
The Louisiana Municipal Danger Administration Company sued TeamHealth in March, alleging the Knoxville, Tennessee-based supplier group violated federal legislation by inappropriately billing for “tens, if not 1000’s, of a whole bunch of 1000’s of claims” and working beneath an opaque company construction. The company sought class-action standing to characterize each self-funded employer that paid for TeamHealth’s providers over the past 4 years.
The plan administrator’s allegations mirrored these made by UnitedHealthcare, which has sued TeamHealth a number of instances with various success. The nation’s largest insurer notched a authorized win in opposition to TeamHealth in Could when Corker tossed the supplier group’s movement to dismiss the case in opposition to it.
The Louisiana Municipal Danger Administration Company’s lawsuit differs from UnitedHealthcare’s grievance, Corker wrote in his opinion Friday. As a result of the company didn’t function a fiduciary for native governments’ plans, the administrator didn’t straight or not directly endure due to TeamHealth’s alleged upcoding, Corker wrote.
“Louisiana Municipal Danger Administration Company hinges its argument on the truth that it paid TeamHealth’s invoices. However LMRMA, by its personal admission, paid these invoices with the native governments’ cash. The court docket fails to see how LMRMA was injured when it by no means was susceptible to dropping its personal property,” Corker wrote.
TeamHealth and the Louisiana Municipal Danger Administration Company didn’t instantly reply to interview requests.