Rutherford v. Department of Social Services

This is a medicaid overpayment case between petitioner, a physician who provided services under the medicaid program, and the Michigan Department of Social Services. In 1987, following an administrative hearing, the referee found that petitioner had failed to document numerous claims for payment of services funded by medicaid during 1980 and 1981. The referee concluded that petitioner frequently ordered tests when there was no medical necessity. Based on the referee’s recommendation, dss ordered petitioner to refund $73,205.06.

On appeal to the circuit court, petitioner challenged the method…