Blue Cross Blue Shield
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Pennsylvania Chiropractic Association v. Blue Cross Blue Shield Association (N.D.Ill.)
On behalf of a nationwide class of healthcare providers and several chiropractic associations, this action challenges 22 Blue Cross & Blue Shield entities' abusive practices in using post-payment audits and false allegations of fraud to pressure providers to repay substantial sums that were previously paid for providing healthcare services to BCBS subscribers. This practice is called "Recoupment" and is the most recent scheme by a number of insurers, including BCBS. The Court upheld Plaintiffs' ERISA claims in denying Defendants' motion to dismiss. Pennsylvania Chiropractic Ass'n v. Blue Cross Blue Shield Ass'n, 2010 U.S. Dist. LEXIS 49151 (N.D. Ill. May 17, 2010). In a separate action brought by BCBSRI in the District of Rhode Island, Blue Cross & Blue Shield of Rhode Island v. Korsen, Pomerantz obtained a successful ruling that the majority of BCBSRI's allegations were preempted by ERISA. Blue Cross & Blue Shield of Rhode Island v. Korsen, 2010 U.S. Dist. LEXIS 116175 (D.R.I. Oct. 27, 2010). Plaintiffs' motion for class certification is pending before the Court in the Northern District of Illinois.
