No. 89-5577.

896 F.2d 808 (1990)

CHESTER COUNTY INTERMEDIATE UNIT, Lincoln Intermediate Unit, Mr. and Mrs. John M. Gillespie, and Mr. and Mrs. Kevin Nonemaker, Appellants, v. PENNSYLVANIA BLUE SHIELD and Capital Blue Cross.

United States Court of Appeals, Third Circuit.

Decided February 28, 1990.

Attorney(s) appearing for the Case

Allen C. Warshaw (argued), Duane, Morris & Heckscher, Harrisburg, Pa., for appellants.

Thomas E. Wood (argued) and Donna S. Weldon, Keefer, Wood, Allen & Rahal, Harrisburg, Pa., for appellee, Pennsylvania Blue Shield.

Mary Jane Forbes (argued), McNees, Wallace & Nurick, Harrisburg, Pa., for appellee, Capital Blue Cross.

Ernest N. Helling, Acting Chief Counsel and Debra R. Cruel, Asst. Counsel, Harrisburg, Pa., for amicus curiae, Pennsylvania Dept. of Educ.

Before SLOVITER and BECKER, Circuit Judges, and LIFLAND, District Judge.


SLOVITER, Circuit Judge.



The principal issue before us is whether the Education of the Handicapped Act (EHA or Act), 84 Stat. 175, as amended, 20 U.S.C. §§ 1400 et seq., precludes companies offering medical and hospital insurance from excluding from coverage services provided free of charge under that Act. The parents of two handicapped...

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