Michigan Blues Will Pay $30 Million to Close Litigation Over Most Favored Nation Clauses

Blue Cross Blue Shield of Michigan will pay $30 million to resolve accusations of violating federal and state antitrust laws through its use of “most favored nation” clauses in some hospital contracts, according to a settlement approved by the U.S. District Court for the Eastern District of Michigan (Shane Group, Inc. v. Blue Cross Blue Shield of Michigan, 2015 BL 91619, E.D. Mich., 2:10-cv-14360-DPH-MKM, 3/31/15).

Judge Denise Page Hood found the settlement to be fair, despite 26 objectors’ arguments to the contrary. She held that their motion to intervene—filed more than four years after the original 2010 ...