A federal court has dismissed all claims brought by Anthem Blue Cross of California against Irvine, Calif.-based HaloMD and its co-defendants, rejecting the insurer’s attempt to use federal litigation to challenge awards issued under the No Surprises Act’s Independent Dispute Resolution process, according to an April 13 news release.
In a 22-page ruling, Magistrate Judge Karen Scott found that Anthem’s lawsuit — which alleged RICO, ERISA, fraud and state law violations — had no legal foundation and could not be salvaged by amendment.
The court affirmed that the NSA’s IDR process was designed by Congress to be the final mechanism for resolving surprise billing disputes, and that the law’s limitations on judicial review preclude courts from second-guessing IDR eligibility and award determinations.
HaloMD, which provides technology-enabled support to nearly 20,000 healthcare providers in IDR proceedings, called the ruling a broader victory for the No Surprises Act, which has protected more than 30 million Americans from surprise medical bills since taking effect in January 2022.
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