Doctors Assigned Payment Rights Can Sue Insurers: 3rd Circ.

Law360, New York (September 11, 2015, 4:15 PM EDT) -- The Third Circuit on Friday reversed a lower court's ruling that a surgical center that was assigned rights to payment by patients did not have standing to sue Aetna Inc. under the Employee Retirement Income Security Act, holding that assignment of benefits is sufficient to confer standing.

In a published opinion, a three-judge panel held that as a matter of common law, when patients assign their right to payment for health care services to their providers without directly referencing the patient's legal claim to that payment, the providers have standing to sue a health insurer if payment isn't made. The court...

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