www.hmocrisis.com                                                                      August 4th, 2004
 

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N.J. doctor's suit becomes class action - 08/04/04
Article from Modern Physician Online

A New Jersey physician won a round in a state court against the state's largest HMO when a judge certified three classes of plaintiffs in a lawsuit against Horizon Blue Cross Blue Shield of New Jersey. The suit alleges breach of contract and violations of prompt-payment laws.

John Sutter, M.D., a pediatrician from Clifton, N.J., filed suit in April 2002 covering a period of claims activity from 1996 up through the present date.

On Tuesday, New Jersey Superior Court Judge James Rothschild issued an opinion certifying that Sutter and a class of about 40,000 New Jersey physicians could go forward with a suit regarding prompt-payment issues.

Rothschild denied class certification for physicians of all specialties on an element of Sutter's suit regarding downcoding, bundling of claims and refusal to recognize modifiers. The judge allowed the suit to go forward on those issues as a class limited to Sutter and other pediatricians, but added he would allow nonpediatricians to apply for injunctive relief on downcoding, bundling and refusal to recognize modifiers.

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Article from AMED News

If you don't think CIGNA and Aetna are living up to their lawsuit settlement agreements, here's what you need to do to report problems.

Physicians, medical societies and lawyers who hammered out agreements with Aetna and CIGNA that will change the way the health plan giants handle physician claims have no reason to believe the changes won't go as promised.

But they aren't taking any chances.

The 40 medical societies that signed on to each agreement will help in making sure that the companies follow the settlement agreements and change their business practices.

"It's one of those trust-but-verify situations," said Connecticut State Medical Society Executive Director Timothy B. Norbeck. CSMS is one of the original medical societies to sue Aetna and CIGNA over the way they paid physicians. The Medical Assn. of Georgia, Texas Medical Assn., California Medical Assn. and more than a dozen other medical societies also were part of the original lawsuits.

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