Klay v. Humana, Inc.
United States Court of Appeals for the Eleventh Circuit
382 F.3d 1241 (2004)
- Written by Mary Phelan D'Isa, JD
Facts
A plaintiff class of all doctors who submitted at least one claim to any of the defendant class health maintenance organizations (HMOs) comprised of almost all major HMOs sought class-action certification in federal district court. The doctors alleged that the HMOs conspired to program their computer systems to systematically underpay the doctors for their services. The district court certified the class action, and the HMOs appealed. The HMOs argued that class certification in this case would be catastrophic to the HMO industry and that one jury in one case should not decide the industry’s fate. The HMOs further argued that allowing the doctors’ claims to proceed in a class action would put undue pressure on the HMOs to settle.
Rule of Law
Issue
Holding and Reasoning (Tjoflat, J.)
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