STORY FROM: Reinsurance & Arbitration

8th Cir. Upholds Dismissal of Lawsuit Seeking to Recoup ACA Reinsurance Fee

MINNEAPOLIS — A federal appeals court has upheld dismissal of a lawsuit filed against the United States Government by the trustees of a self-insured group health plan seeking to claw back a fee paid under the Affordable Care Act’s transitional reinsurance program, ruling sovereign immunity was not waived.

In a Nov. 27 opinion, the 8th Circuit U.S. Court of Appeals agreed with the lower court that the lawsuit is a claim for money damages, and as such, the Administrative Procedure Act (APA) does not waive sovereign immunity.

In December 2014, the Twin City Pipe Trades Welfare fund, a self-insured, self-administered ...

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