Levine Lee News

Complaint Against Healthfirst Dismissed with Prejudice on Doctrines of Preemption and Exhaustion

As reported in Law360 and other media outlets, the U.S. District Court for the District of New Jersey granted the firm’s motion on behalf of defendant Healthfirst, Inc. to dismiss the complaint with prejudice. The action, brought by MHA, LLC, which encompasses the Meadowlands Hospital Center, alleged violations of New Jersey’s insurance statutes and regulations, fraudulent and negligent misrepresentation, unjust enrichment and quantum meruit, and sought $30 million in damages. The Court held that plaintiff had failed to exhaust its administrative remedies and that the Medicare Act expressly preempted MHA’s Medicare-based claims. In addition, the Court denied MHA’s motion for leave to file an amended complaint. Scott B. Klugman, Seth L. Levine and Lara J. Fogel worked on the matter, along with co-counsel Manatt Phelps & Phillips LLP.

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