ALVES v. HARVARD PILGRIM HEALTH CARE INC.

No. CIV.A.99-CV-12559-PB.

204 F.Supp.2d 198 (2002)

James ALVES and Hillel Stavis, individually and on behalf of persons similarly situated, Plaintiffs, v. HARVARD PILGRIM HEALTH CARE, INC., Harvard Pilgrim Health Care of New England, Inc., a Massachusetts corporation, Harvard Pilgrim Health Care of New England, Inc., a Rhode Island corporation, Harvard Vanguard Medical Associates, Inc., and Pilgrim Health Care, Inc. Defendants.

United States District Court, D. Massachusetts.

June 4, 2002.


Attorney(s) appearing for the Case

Stuart T. Rossman, Boston, MA, Frederic L. Ellis, Edward A. Broderick, Edward D. Rapacki, Ellis & Rapacki, Boston, MA, for Plaintiffs.

Michael A. Walsh, John Scott L. McConchie, Daniel P. Tighe, Griesinger & Walsh, LLP, Boston, MA, for Defendants.


MEMORANDUM AND ORDER

SARIS, District Judge.

I. INTRODUCTION

This case presents the interesting question of whether a sponsor of a health care benefit plan subject to the Employee Retirement Income Security Act ["ERISA"] may charge its members a "copayment" for certain prescription drugs that sometimes exceeds its own per-unit cost because of discounting arrangements with

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