A federal appeals court on Friday resurrected a class action lawsuit that claims Sutter Health overcharges hundreds of thousands of Californians on their insurance premiums by monopolizing the markets.
In a unanimous decision, a three-judge panel determined it wasn't "inherently implausible" that Sacramento-based Sutter Health abused its market power in northern California markets, sending the case back to a trial judge.
Sutter Health attorneys have successfully fought the claims before.
The named plaintiffs in the complaint are Djeneba Sidibe and Diane Dewey. Both have had commercial insurance policies and say they have paid higher out-of-pocket costs for care at Sutter hospitals because of the alleged monopolistic practices.
The 2013 lawsuit seeks to represent anyone in the San Francisco and Sacramento metropolitan statistical areas who had a healthcare plan that included Sutter.
