M&A Risks To Your 'Grandfathered' Health Plan

Law360, New York (November 15, 2010, 12:50 PM EST) -- The recently enacted health care reform legislation in the U.S. (collectively, referred to as the act[1]) imposes many new obligations and expenses on group health plans and presents some critical issues that should be carefully considered by parties to a merger, stock or asset purchase, or other business combination (an M&A transaction).

Specifically, while certain health plans are considered “grandfathered” from many provisions of the act, this grandfathered status may be lost in connection with an M&A transaction or may be difficult to maintain following such...
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