UPMC files federal lawsuit against Pennsylvania AG over nonprofit obligations News
© WikiMedia (Doug Kerr)
UPMC files federal lawsuit against Pennsylvania AG over nonprofit obligations

The University of Pittsburgh Medical Center (UPMC) has filed a lawsuit in federal court against Pennsylvania Attorney General Josh Shapiro over what UPMC describes as the AG “illegally taking over nonprofit healthcare”.

UPMC is seeking class action status to sue for injunctive relief and federal equal protection against Shapiro’s interference in federal programs. UPMC argues that the AG’s actions have been preempted by several federal laws including Medicare Advantange, the Affordable Care Act and ERISA. UPMC is asking for injunctive relief to prevent the AG from limiting mergers and competition and requiring providers to accept all insurance while still maintaining their obligations as nonprofits.

At the same time as UPMC filed the complaint, it also filed a motion for preliminary injunction to halt the AG’s enforcement until the suit is resolved. In addition, Jones Day filed a memorandum in support of UPMC and a petition for special admission pro hoc vice. UPMC, meanwhile, has also asked to intervene in an Alabama class action suit brought by consumers against various national insurance providers.

This suit was filed in response to the February 7 suit filed by Shapiro. In Shapiro’s filing, he sought to limit excessive billing by UPMC and require UPMC to take out of network insurance. He supported this point by noting UPMC’s profits and the amount of tax-exempt land UPMC sits on.