Kaufman & Forman, P.C.
Call to arrange a consultation
678-957-7769 | 770-390-9200
Contact Us
practice areas

Georgia benefit contract could lead to business litigation

The state of Georgia has some 650,000 people that are covered by the state's health benefits. This includes teachers, state employees, retirees, school staff and dependents. Therefore, it may not surprise anyone that there could be business litigation over what company or companies get the state's benefits contract.

The contract that is set to begin on Jan. 1, 2014, was recently awarded to Blue Cross/Blue Shield of Georgia and recently affirmed by the Department of Community Health. This decision has drawn strong objections from the two companies that have the contract through the end of this year, United Healthcare and Cigna. United Healthcare has alleged that the bidding process for the contract was faulty.

Blue Cross/Blue Shield says that it complied with Georgia's requirements throughout the bidding process. The company says it will be able to save the state well over $1.5 billion. Reportedly, this has medical providers concerned that just one healthcare insurer will result in them receiving lower payments; especially considering the amount of money the company says it can save the state.

The disagreements among these healthcare insurers could end up in business litigation. When companies are in competition for something such as a government contract, it is not uncommon for a party that is not awarded the contract to continue the fight. There is always the possibility that company could get a second chance to bid for the contract. If the court determines that the bidding process was faulty, the state may be required to begin the process of choosing its insurer a second time.

Source: gpb.org, Court Fight Likely After State Affirms Benefit Contract, Andy Miller, Nov. 8, 2013

No Comments

Leave a comment
Comment Information

Contact Kaufman & Forman, P.C. Now

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

get Legal Help Now

Kaufman & Forman, P.C.
8215 Roswell Road, Building 800
Atlanta, GA 30350

Toll Free: 800-461-5864
Phone: 678-957-7769
Fax: 770-395-6720
Atlanta Law Office Map

Robert Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the May issue of The American Lawyer & Corporate Counsel magazine.Alex Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the December issue of The American Lawyer & Corporate Counsel magazine.

*AV Preeminent and BV Distinguished are certification marks of Reed Elsevier Properties Inc., used in accordance with the Martindale-Hubbell certification procedures, standards and policies. Martindale-Hubbell is the facilitator of a peer review rating process. Ratings reflect the confidential opinions of members of the bar and the judiciary. Martindale-Hubbell ratings fall into two categories: legal ability and general ethical standards.