Sutter Health has agreed to settle a massive class-action lawsuit accusing the nonprofit health system of illegally wielding its market power to drive up Californians’ health care costs by more than $400 million.
The long-running federal lawsuit was settled on the eve of trial on Sunday. It would have been the second time the case, Sidibe v. Sutter Health, was tried before a jury. In 2022, a U.S. appeals court determined that a judge’s error caused the jury to miss out on crucial details and overturned Sutter’s win.
Terms of the settlement were not immediately released on Monday, but it’s likely sizable given the scope of the case. The individuals and businesses suing Sacramento, Calif.-based Sutter want to be repaid for the money they spent on health insurance from 2011 through 2020.
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