Hospital operator alleges California attorney general violated its constitutional rights

By Noddy A. Fernandez | May 18, 2018

LOS ANGELES (Legal Newsline) – The operator of a California hospital has filed a suit against the state's attorney general over allegations its constitutional rights have been violated.

LOS ANGELES (Legal Newsline) – The operator of a California hospital has filed a suit against the state's attorney general over allegations its constitutional rights have been violated.

Deanco Healthcare LLC, doing business as Mission Community Hospital, filed a complaint on May 10 in the U.S. District Court for the Central District of California Western Division against California Attorney General Xavier Becera, et al. alleging violation of the Supremacy Clause.

According to the complaint, the plaintiff operates a general acute care and acute psychiatric care hospital known as Mission Community Hospital in Panorama City, California.

"Rather than enjoy the benefits from the Affordable Care Act’s epic success, Deanco has been penalized by defendants as defendants have enforced, and continue to enforce, arbitrary and capricious actions that punish the hospital in almost equal proportion to health care reform’s documented success," the suit states. 

"Because defendants have held Deanco to certain financial benchmarks established in 2010, Deanco has been punished by every individual since 2010 who has procured health insurance to avoid the penalty imposed through the individual mandate, qualified for health insurance by the expansion of Medicaid, or simply obtained health insurance as a result of the transparency and simplicity inherent in the design of the health insurance exchanges," the suit states.

The plaintiff alleges it has been harmed by the defendants' "capricious implementation of what has come to be known as 'charity care' obligations."

The plaintiff seeks an award of costs of suit and attorney’s fees incurred; and such other and further relief it may deem to be just and proper under circumstances presented, or predicated. It is represented by Craig B. Garner of Garner Health Law Corp. in Marina del Rey, California.

U.S. District Court for the Central District of California, Western Division case number 2:18-cv-03934-ODW-PJW

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Garner Health Law Corporation U.S. District Court for the Central District of California Western Division

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