In re North Cypress Medical Center Operating Co. (Opinion)Annotate this Case
At issue was a trial court order requiring Defendant-hospital to produce information regarding its reimbursement rates from private insurers and public payers for the services it provided to Plaintiff.
Plaintiff sought a declaratory judgment that Defendant’s charges were unreasonable and its hospital lien for the amount of its services was invalid to the extent it exceeded a reasonable and regular rate for services rendered. During discovery, the trial court ordered Defendant to produce information regarding the reimbursement rates at issue. Defendant filed a petition for writ of mandamus arguing that the trial court abused its discretion in ordering production of the information because the reimbursement rates were irrelevant to whether its charges to Plaintiff, who was uninsured, were reasonable. The Supreme Court denied the writ, holding that the amounts Defendant accepted as payment for services from other patients, including those covered by private insurance and government benefits, were relevant to whether the charges to Plaintiff were reasonable and were thus discoverable.