Cedars-Sinai, Huntington settle affiliation lawsuit with California

California reached a settlement with Cedars-Sinai Health System and Huntington Hospital after the hospitals challenged affiliation conditions proposed by the state, according to Pasadena Now.

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In court documents filed by the state’s attorney general’s office July 19, California agreed to settle the hospitals’ objections to competition conditions. One of the conditions was a price cap on Pasadena, Calif.-based Huntington’s negotiated rates with insurers, and another was a condition that would have given insurers a leg up in negotiations with Huntington and Los Angeles-based Cedars-Sinai, according to Pasadena Now.

In a lawsuit filed March 30 against the California Department of Justice and the Office of the Attorney General, the hospitals argued the conditions would have put Huntington at a disadvantage compared to area hospitals.  

Attorneys will ask a state judge July 20 to cancel a trial slated for July 29 and to replace the old affiliation conditions with revised ones, according to the report. 

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