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Ninth Circuit Lets Plan Recoup Dissipated Tort Settlement from Future Medical Benefit Payments (PDF)
J. Stewart Borrow,
Dec. 20, 2022 11 pages. "[A] recent decision from the Ninth Circuit appears to present a possible end-run around Montanile. After reviewing this case and the plan's recoupment clause, this article will examine the potential application of recouping overpayments to other contexts which could facilitate plan administration. A discussion of some of the practical challenges likely to be encountered by plans implementing this remedy will follow ... This article will conclude with a review of some of the policy considerations that plan sponsors should take into account in designing a recoupment provision so as to ameliorate the potentially harsh impact of such clauses." [Mull v. Motion Picture Industry Health Plan, No. 20-56315 (9th Cir. Jul. 25, 2022)] |
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