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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Lehman et al. v. Health Net of California (Unfair and Deceptive Business Practices)

A California class-action lawsuit alleged that Health Net misrepresented its physician and hospital networks and made fewer physicians and hospitals available to purchasers of Affordable Care Act-compliant plans Health Net began offering in October 2013. According to the lawsuit, Health Net’s customers are at risk of delays in accessing needed medical care and paying out-of-network costs and are subject to exceedingly long wait times on customer service phone lines. In August 2018, a settlement was reached whereby Health Net agreed to reimburse members who were enrolled in a Health Net individual and family PPO plan in 2014 and submitted a claim for out-of-network medical services from a provider they believed was in-network. Health Net also agreed to pay $5,000 to each of the two lead plaintiffs, and up to $625,000 in plaintiffs’ legal fees.

Misconduct Type
Consumer Affairs
Enforcement Agency
Non-Governmental
Contracting Party
None
Court Type
Civil
Disposition
Settlement
Date of Complaint
12/19/2014
Contractors Involved Penalty
Total
Health Net, Inc. Unknown
Further Information Released
Settlement Agreement 8/8/2018
Consumer Watchdog Press Release 2/3/2015
Complaint 12/19/2014

Federal Contractor Misconduct Database