People's Choice Hospital successfully defends civil RICO lawsuit
Clients People's Choice Hospital, LLC, The
Jones Day advised People's Choice Hospital (PCH) and its founder Dr. Seth Guterman, who were sued by Aetna in a civil RICO action in federal court in connection with a reference lab program that PCH operated in rural hospitals. The case involved the propriety of certain reference lab programs and whether they were covered by Aetna’s managed care contracts, among other issues. Aetna sought treble damages that were greater than $60 million. After discovery and motion practice, PCH was able to resolve the matter for less than the cost of litigation.
Aetna Inc., et al. v. The People's Choice Hospital, LLC, et al., No. 2:17-cv-04354-BMS (E.D. Pa.)