Sutter Health has agreed to settle a massive class-action lawsuit accusing the nonprofit health system of illegally wielding its market power to drive up Californians’ health care costs by more than $400 million.
The long-running federal lawsuit was settled on the eve of trial on Sunday. It would have been the second time the case, Sidibe v. Sutter Health, was tried before a jury. In 2022, a U.S. appeals court determined that a judge’s error caused the jury to miss out on crucial details and overturned Sutter’s win.
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Terms of the settlement were not immediately released on Monday, but it’s likely sizable given the scope of the case. The individuals and businesses suing Sacramento, Calif.-based Sutter want to be repaid for the money they spent on health insurance from 2011 through 2020.
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