Hospitals Must Re-Evaluate Subcontractor Status

Law360, New York (April 16, 2013, 12:48 PM EDT) -- The U.S. District Court for the D.C. Circuit has ruled in UPMC Braddock v. Harris that three hospitals affiliated with the University of Pittsburgh Medical Center (UPMC) qualify as federal government “subcontractors” because they have a contract with a health maintenance organization to provide medical services to beneficiaries of the Federal Employees Health Benefits Program (FEHBP) — medical services which the HMO is obligated to provide pursuant to its prime contract with the federal government.

The March 30 ruling subjects the hospitals to federal affirmative action...
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