Blue Cross Can't Block New Trial In $26M Contract Suit

Law360, New York (June 30, 2015, 4:37 PM EDT) -- A jury that cleared Blue Cross Blue Shield of Louisiana in a $26 million breach of contract suit received improper instructions that held a medical equipment supplier and surgery staff provider to an unfair standard, a Texas federal judge ruled Tuesday, granting a new trial.

Judge Jorge A. Solis agreed with Encompass Office Solutions Inc.’s argument that the jury’s take-nothing decision was affected by an instruction that required the company to prove Blue Cross was “arbitrary and capricious” when it sent a letter to doctors telling them not to use Encompass and threatening to terminate them from its network if they...

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Case Information

Case Title

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Case Number

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Court

Texas Northern

Nature of Suit

Labor: Employee Retirement Income Security Act (ERISA)

Judge

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Date Filed

July 1, 2011

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