DOJ Ends Blue Cross Antitrust Suit After Favored Nations Ban
Law360, Los Angeles (March 25, 2013, 9:57 PM EDT) -- The Department of Justice on Monday asked a Michigan federal court to dismiss its civil antitrust lawsuit against Blue Cross Blue Shield of Michigan in light of a new law banning health insurers from using the most favored nations clauses that federal attorneys were targeting with their suit.
The DOJ sued Blue Cross in October 2010, claiming that Michigan's biggest health care provider used MFN clauses to prevent other health plans from entering local markets in the state, thus stifling competition, raising health care costs and harming consumers. An MFN clause prevents a health care provider from charging a health insurer...
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