Judge’s Aetna-Humana Ruling Sparks Class-Action Lawsuit: 5 Things to Know

A Pennsylvania law firm filed a class-action lawsuit against Aetna following a judge’s ruling the payer’s proposed $37 billion acquisition of Humana violated antitrust laws. The lawsuit alleges the Hartford, Conn.-based payer made false claims about its decision to withdraw from the majority of ACA exchanges it participated in, reports Insider Louisville.

Here are five things to know.

1. U.S. District Judge John Bates determined Aetna’s August decision to exit most of the ACA exchanges where it sold health plans was not solely a business strategy, but was “for the purpose of improving its litigation position,” according to the 156-page opinion issued Jan. 23.

2. Kessler Topaz Meltzer & Check, a law firm in Radnor, Pa., filed a lawsuit against Aetna claiming the insurer violated the Securities Exchange Act of 1934. The lawsuit claims Aetna made “false and/or misleading statements and/or fail[ed] to disclose material adverse facts about the company’s business, operations and prospects.”

3. The lawsuit also claims Aetna made false and/or misleading statements about and/or lacked a reasonable basis to exit the exchanges. Prosecutors argue Aetna withdrew from the exchanges to gain favorable treatment in court and not for business reasons.

4. The firm filed the suit on behalf of shareholders, as Aetna’s stock declined following the opinion.

5. Aetna has not responded to the firm’s complaint, according to the report. In response to Judge Bates’ ruling, Aetna CEO Mark Bertolini said the insurer would decide whether to appeal the decision by Feb. 15.

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