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Wit v. United Behavioral Health Appeals

By David Thornton on August 25, 2022
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I recently discussed the appeals request in Wit v. United Behavioral Health, a case that could set a precedent for the behavioral health industry and access to mental health and addiction treatment, for a Behavioral Health Business article. In February 2019, the U.S. District Court for the Northern District of California ruled that United Behavioral Health violated the Employee Retirement Income Security Act (ERISA) by incorrectly denying behavioral health claims. The company appealed to the 9th Circuit, and in March 2022 a three-judge panel reversed the decision. The plaintiffs are now appealing that decision, requesting that the full panel of judges review the case.

While I said the initial 9th Circuit decision is typical of ERISA cases, I explained “In one respect, the [appeals court] said, ‘This is the standard of review: Is this arbitrary and capricious or an abuse of discretion?’” I added that the circuit court effectively came to the answer that “the district court misapplied that standard.”

However, I acknowledged that this case is “ripe” to be heard given the implications within the behavioral health industry. “I think that this case is ripe for the full 9th Circuit to have another set of eyes on it,” I explained. “I find it very unusual not to go into the facts.”

The full article, “How Wit v. United Behavioral Health Could Impact the Future of Behavioral Health Parity,” was published by Behavioral Health Business on August 19 and is available online.

Photo of David Thornton David Thornton

David Thornton helps employers deliver retirement, health and welfare benefits to their executives and employees. With more than 30 years of experience, he has developed a diverse practice counseling hundreds of public and private employers and non-profit organizations in drafting, maintaining and administering…

David Thornton helps employers deliver retirement, health and welfare benefits to their executives and employees. With more than 30 years of experience, he has developed a diverse practice counseling hundreds of public and private employers and non-profit organizations in drafting, maintaining and administering retirement plans ranging from $1 million to several billion dollars in assets, including many in the $100 million to $500 million asset range. He has deep experience in ESOP transactions, successfully navigating the significant fiduciary duty considerations and tax code requirements involved with these transactions.

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  • Posted in:
    Health Care and Life Sciences
  • Organization:
    Bass, Berry & Sims PLC

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