Old Forge School District v. Highmark Inc.

OPINION

Justice SAYLOR.

This case involves the issue of whether the Commonwealth Court abused its discretion in awarding attorneys’ fees to Highmark, Inc. (“Highmark”) on the ground that Appellants, who are subscribers and policyholders of Highmark, engaged in “vexatious” conduct by commencing several actions seeking to challenge Highmark’s rates and reserves.

On August 3, 2002, the Pennsylvania Insurance Department (the “Department”), announced that it was beginning a review process regarding the surplus and reserve levels maintained by the Pennsylvania Blue Plans, including Capital Blue Cross…