Health Systems Face Insured Patient Debt Collection Suit

  • Written by Julie Steinberg of Bloomberg Law

The DCH Regional Medical Center and Avectus Healthcare Solutions LLC failed to shake a proposed class suit alleging they wrongfully collected payments from insured patients, as a federal court in Alabama said it has jurisdiction over the matter.

Mitchell McAteer raised various claims on behalf of an Alabama class, alleging DCH and Avectus collected payments that exceeded what DCH was entitled to recover under contracts with Blue Cross/Blue Shield and other insurers.

The federal court has jurisdiction under the Class Action Fairness Act because Avectus, a non-Alabama citizen, is a primary defendant, the U.S. District Court for the Northern District of Alabama said.

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