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Court Orders May 28, 2019 Deadline for Healthcare Providers to Submit Reimbursement Claims Relating to Riverstone Capital LLC

A number of our clients have provided medical care to patients covered by the now-defunct Riverstone Capital LLC multiple employer welfare arrangement (the “Riverstone MEWA”) and have still not been paid.

On May 9, 2019, the federal judge handling liquidation proceedings for the Riverstone MEWA issued his final order approving the Independent Fiduciary’s Plan of Liquidation.

Healthcare providers now have until May 28, 2019 to submit all reimbursement claims to the appropriate Third Party Administrators (TPAs) (Hawaii Mainland Administrators and S&S Healthcare Strategies).

The federal court also ordered, pursuant to its power under the All Writs Act, that providers who receive notice from the Independent Fiduciary, and who do not submit their claims to the relevant TPAs by May 28, 2019, are enjoined and prohibited from seeking payment from any other party, including the patients and their employers.  This means that providers who receive notice, but do not timely submit their claims, may not balance bill the patients.

Claims submitted to the TPAs will be handled and processed pursuant to the processes and procedures set forth in the court-approved Liquidation Plan.

For additional background, please review HLB’s May 3, 2019 client alert.  Additional notices may be found on the Independent Fiduciary’s website (which, at the time of this alert, had not yet been updated.)

For further information, please contact Eric Chan in Los Angeles or your regular Hooper, Lundy & Bookman contact.

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