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High Street Rehabilitation, LLC v. American Specialty Health Inc.

United States District Court, E.D. Pennsylvania

August 30, 2019

HIGH STREET REHABILITATION, LLC, and DEFABIO SPINE AND SPORT REHAB, LLC, individually, and on behalf of all others similarly situated, Plaintiffs,
v.
AMERICAN SPECIALTY HEALTH INCORPORATED, AMERICAN SPECIALTY HEALTH NETWORKS, INC., CIGNA CORPORATION and CONNECTICUT GENERAL LIFE INSURANCE COMPANY, Defendants

          FINAL APPROVAL OF THE SETTLEMENT AGREEMENT; FINAL JUDGMENT; AWARD OF ATTORNEYS' FEES, EXPENSES, AND SERVICE AWARDS; AND ORDER OF DISMISSAL WITH PREJUDICE

          Nitza I. Quinones-Alejandro, U.S.D.J.

         WHEREAS, Plaintiffs High Street Rehabilitation, LLC and DeFabio Spine and Sport Rehab, LLC, individually and on behalf of the Settlement Class Members, as defined below, and Defendants Cigna Corporation and Connecticut General Life Insurance Company (together, "Cigna"); and American Specialty Health Incorporated and American Specialty Health Networks, Inc. (together, "ASH," and together with Cigna, "Defendants") (with Plaintiffs and Defendants collectively referred to herein as the "Parties"), have agreed to settle the above-captioned matter (the "Action") on the terms and conditions set forth in the Settlement Agreement dated March 25, 2019 and all exhibits thereto;

         WHEREAS, on April 8, 2019, this Court entered a Preliminary Approval Order (DE 171) that conditionally certified pursuant to Federal Rule of Civil Procedure 23, for settlement purposes only, a class consisting of:

All ONET Chiropractic Providers who provided clinical services up to the Final Approval Date to a Plan Member, and whose claims for reimbursement of such services were subjected to the ASH policies or practices as part of the claims review or benefit determination process and where some or all of the claim was denied (the "Settlement Class").

         WHEREAS, in the Preliminary Approval Order, the Court approved the form and content of the Notice of Proposed Class Action Settlement and Final Approval Hearing ("Notice") directed to members of the Class and the Summary Notice;

         WHEREAS, during the period of May 6, 2019 through May 24, 2019, the Settlement Administrator caused the Notice to be mailed to all members of the Class, which informed members of the Class of the Settlement terms and that the Court would consider the following issues at the Final Approval Hearing: (i) whether the Court should grant final approval to the Settlement; (ii) the amount of attorneys' fees, costs, and expenses to be awarded to Class Counsel; (iii) whether to approve the payment of the Service Awards to the Class Representatives and the amount of the Service Awards; and (iv) any objections by members of the Class to any of the above that were timely and properly served in accordance with the Preliminary Approval Order;

         WHEREAS, on May 13, 2019, the Settlement Administrator caused the Summary Notice to be published in The American Chiropractor (digital advertisement) and once over a national newswire service;

         WHEREAS, the Settlement Administrator provided notice to the appropriate state and federal officials under the Class Action Fairness Act of 2005, 28 U.S.C. § 1715;

         WHEREAS, on June 10, 2019, Plaintiffs moved unopposed for final approval of the Settlement Class ("Plaintiffs' Motion for Final Approval");

         WHEREAS, on June 10, 2019, Class Counsel filed an application for (i) attorneys' fees and expenses and (ii) the Service Awards to Lead Plaintiffs (the "Fee Application");

         WHEREAS, this Court finds that the papers are detailed and sufficient to rule on Plaintiffs' Motion for Final Approval and the Fee Application on the papers; and

         WHEREAS, this Court, having heard from Class Counsel on behalf of the Settlement Class, and from Defendants' Counsel, and having reviewed all other arguments and submissions presented by all interested persons and entities with respect to the Settlement and the Fee Application; and

         WHEREAS, all capitalized terms used herein have the meanings set forth and defined in the Settlement Agreement, it is hereby

         ORDERED, ADJUDGED, ...


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