Arizona Society of Pathologists v. Arizona Health Care Cost Containment System Administration

OPINION

RYAN, Judge.

¶ 1 This litigation concerns Arizona Health Care Cost Containment System’s (“AHCCCS”) 1 compensation of hospital-based pathologists for “indirect services.” We conclude that AHCCCS did not have a lawful basis through a specific, applicable statute or properly promulgated rule for denying coverage of indirect pathology service claims. We therefore reverse the trial court’s grant of summary judgment to AHCCCS on the claims of the Arizona Society of Pathologists (“Society”) 2 and MallonAlvarez Pathology Group, P.C. (“Mallon-Alvarez”). 3

BACKGROUND

¶2 Pathologists are physicians…