Top 10 MSP-Related Events of 2011 – Number 6

Medicare Set-Aside Blog on January 8, 2012
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Haro v. Sebelius Injunction

In April, the United States District Court for Arizona certified a class of Medicare beneficiaries and enjoined CMS from putting recovery claims into collections while pending a waiver or compromise request. Makes sense, but in the past, CMS would routinely make such egregious threats in demand letters, all but requiring that you surrender your first born in satisfaction of frequently unsubstantiated debts to the federal government. While the overall outcome of the case was disappointing as it did little more than cause CMS to cease collection operations for maybe a month while it revised its demand letters, it did at least demonstrate that there is a limit to CMS’ reach and that despite the deference given its interpretation of the MSP in developing its policies, the acts themselves are not without limits. If more people took the time to bring such administrative claims against CMS, we could bring about needed change as opposed to continue to hope that Congress will help any time soon.