Pursuant to the Court’s Minute Order dated March 6, 2018, these parties in the aboveconsolidated
cases respectfully submit this updated Joint Management Report. The United
States, Defendant Health Management Associates, Inc. (HMA), and the Department of Health
and Human Services Office of Inspector General (HHS-OIG) are continuing to negotiate a
global resolution of HMA’s criminal, civil and administrative liability. The respective States
also continue to work towards implementing the framework for a global resolution with HMA.
The parties therefore request that this case be stayed for an additional period.
Since the last status report, the states of Alabama, Arkansas, Florida, Georgia, Kentucky,
Mississippi, New York, North Carolina, Oklahoma, Pennsylvania, South Carolina, Tennessee,
Texas, Washington, and West Virginia have executed settlements with Emergency Medical
Services Corporation. The United States, relators and HMA are in the final stages of negotiating
draft civil settlement agreements. The DOJ Criminal Division, Fraud Section, and HMA are
working to finalize documents relating to the criminal component of the global resolution, and
intend to request an opportunity to meet with the Court to discuss the criminal component of the
global resolution. Counsel for HHS-OIG has provided a draft corporate integrity agreement to
HMA and expects comments shortly. The parties continue to believe that there is a realistic
possibility of reaching a global resolution which would address the remaining claims of the
United States and the states against HMA in the underlying cases.
In light of the ongoing global settlement progress, the parties request a further stay of the
litigation. This MDL involves a complex and diverse set of health care fraud claims, and
presents numerous factual, legal, and logistical challenges. Accordingly, the parties believe that
an additional stay is necessary to conclude a global resolution with HMA.
The United States, the States of Florida, Georgia, North Carolina, Oklahoma,
Tennessee, and Texas, HMA, Emergency Medical Services Corporation, Pro Med Clinical
Systems, Newsome, and relators in four cases1
believe that an extension from June 18, 2018,
up to and until September 18, 2018, with the parties reporting back to the Court on or before
September 4, 2018, is appropriate.
Relators in the remaining cases2
contend that an extension of six weeks should be
appropriate to resolve all remaining issues related to the global resolution of claims between the
United States and HMA, and request an extension from June 18, 2018, up to and until July 30,
2018, with the parties reporting back to the court by July 16, 2018. Further, relators in two of
those cases (U.S. ex rel. Mason and U.S. ex rel. Jacqueline Meyer) wish to advise the Court that
their pendent state law claims against HMA are not being settled as part of the proposed global
resolution. U.S. ex rel. Mason also includes unresolved pendent state law claims against
defendant EmCare. Since April 2014, these cases, along with all others in the MDL, have been
stayed, and relators are anxious to return their cases to their respective district courts to
commence litigation on unresolved claims.
A proposed order with dates to be entered by the Court is attached. Regardless of the
date selected by the Court, the parties are most willing to report to the Court prior to that date
upon request.
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