Hospitals Can Sue Under Prompt Pay Law: NY Appeals Court

Law360, Washington (March 5, 2014, 8:07 PM EST) -- A New York appeals court on Wednesday ruled that the state’s so-called Prompt Pay Law allows health care providers to directly sue insurers for excessively delaying payment on claims, in a $19 million claims dispute between a Brooklyn hospital and First United American Life Insurance Co.

The Supreme Court of New York Appellate Division, Second Judicial Department affirmed a lower court order declining to dismiss a Maimonides Medical Center’s suit seeking reimbursement tied to $19 million worth of medical services for patients insured by First United....
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