Laughlin v. Evanston Hospital

Plaintiffs are the trustees of two union health benefit plans that pay the cost of hospital services for their members. Defendants are 10 Chicago-area hospitals which have contracted with Health Care Services Corporation (HCS), the administrator of the Illinois Blue Cross plan, to provide medical services for Blue Cross subscribers. The defendants’ contracts with HCS provide that the medical expenses incurred by Blue Cross subscribers are paid by HCS, and that any amount in excess of 105% of a hospital’s cost in treating Blue Cross patients is refunded to HCS. The form of these contracts was…