Faraci Lange, LLP is currently litigating two putative class actions on behalf of consumers who are seeking to recoup overcharges they paid for copies of their own medical records.
The proposed class representatives are patients of area hospitals who, in connection with the prosecution of their personal injury claims, requested copies of their medical records. The proposed class would include all consumers who were overcharged to obtain copies of their medical records.
New York law caps the amount a patient may be charged for their medical records to a reasonable charge not exceeding the costs incurred by the hospital, which reasonable charge cannot exceed $0.75 per page. Plaintiffs allege that the hospitals contracted with vendor companies to respond to requests for medical records and to produce such records to patients. Plaintiffs claim that the vendors obtained these contracts by offering improper kickbacks to the hospitals that are built into the overcharges to the patients. Plaintiffs claim the profits are then split between the vendors and hospitals via their overcharge and kickback scheme.
Plaintiffs allege that the hospitals and vendors have systematically violated New York law by manipulating charges for medical records, and by charging artificially inflated amounts to Plaintiffs and other class members. Plaintiffs’ complaints allege that these artificially inflated amounts exceed the actual cost of producing such records and include built-in kickbacks from vendors to area hospitals and other health care providers in New York. Plaintiffs further claim that defendants engaged in this conduct in bad faith, knowing that their actions were contrary to New York law, in order to unjustly enrich themselves at the expense of Plaintiffs and other Class members.
Plaintiffs claim these practices are deceptive, misleading, and unlawful. Plaintiffs assert claims against Defendants for violations of New York Public Health Law, New York General Business Law § 349, and for unjust enrichment, and seek injunctive, declaratory, and monetary for Defendants’ unlawful conduct.