Parkview Adventist Med. Center v. US

(United States First Circuit) – In an important case resting at the intersection of the Bankruptcy Code and Medicare law, involving the efforts of a medical center plaintiff which filed for bankruptcy to use the Bankruptcy Code to challenge the actions of Medicaid Services in terminating its Provider Agreement with plaintiff and declining to reimburse plaintiff for certain services provided after the effective date of that termination, the district court’s judgment that a) plaintiff’s claims arose under the Medicare statute and that the final sentence of 42 U.S.C. section 405(h) bars bankruptcy jurisdiction over such administratively unexhausted claims, and b) affirmance of the bankruptcy court’s holding that defendant had not violated the automatic stay, 11 U.S.C. section 362(a)(3), nor the non-discrimination provision, 11 U.S.C. section 525(a), are affirmed on narrower grounds evident from the record.