(CN)- Three Los Angeles-area hospitals say Kaiser owes them at least $94 million for refusing to fully cover emergency services for its members.
Kaiser was legally required to encourage its members to use the hospitals, but in some cases pressured patients to transfer before their emergency conditions were stable, the hospitals say in their lawsuit.
“Because Kaiser elected to accept the benefit of the discounts available under the Multiplan Contracts, Kaiser was required by law and the Multiplan Contracts to actively encourage Kaiser Members to use the services of Hospitals, which Kaiser failed and refused to do,” the complaint says.
“On the contrary, Kaiser has directed its members to avoid going to Hospitals, refused to allow its members who received emergency services at Hospitals to complete their episodes of treatment at Hospitals, and pressured Hospitals’ physicians, patients’ families, and even patients themselves, to transfer patients out of Hospitals for non-medical reasons before the patients’ emergency conditions are stabilized,” the complaint continues.
The hospitals are Centinela Hospital Medical Center, Encino Hospital Medical Center and San Dimas Community Hospital. They sued for eleven different causes of action related to Kaiser’s alleged breach of contract.
The hospitals are represented by Marcia Augsburger of DLA Piper’s Sacramento office.