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Steven J. Bruzonsky

Attorney At Law

Law Office of
Steven J. Bruzonsky
917 E. San Angelo Ave.
Gilbert, AZ 85234
480-969-3003

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Please note that Attorney Bruzonsky has been doing this regular “Liens Corner” column since April 2006. His last “Liens Corner” article was for the November/December 2017 issue of The Advocate, having stepped down from this regular column, as he now works part-time (and is part-time retired) exclusively handling large subrogation/lien claims in very large personal injury and medical malpractice cases for other attorneys. However, attorney Bruzonsky may add notes to this website under the subject lien article headers from time to time. (Please keep in mind that this site contains general information for educational purposes only. It is not intended to provide legal advise, which can only come from a qualified attorney who is familiair with all the facts and circumstances of your specific case and relevant law.) 

 

 

2014-07/08: Some Not All FEHBA Carriers Suspend Collection Efforts in View of Kobold

June 25th, 2016 12:01:54 pm


This article has been published in “The Advocate”, a monthly publication of the Arizona Association for Justice/Arizona Trial Lawyers Association, July – August 2014 issue, @2014 by Steven J. Bruzonsky, Esq.

 

 

July/August 2014 Lien Updates

 

 

FEHBA Liens – Meridian  Suspends Collection of FEHBA Liens for BCBS in Arizona:

 

Several of our AzTLA members have received letters from Meridian, the subrogation collector for BCBS FEHBA health insurance plans, stating as follows: “As you may know, inKobold v. Aetna Life Ins. Co., No. 1 CA-CV 12-0315. 2013 Ariz. App. LEXIS 187 (Ariz. Ct. App. Sept. 5, 2013), the Arizona Court of Appeals issued a ruling that the Federal Employees Health Benefits Act does not preempt Arizona’s state anti-reimbursement laws. Accordingly, we have voluntarily suspended efforts to obtain reimbursement recoveries on behalf of the Blue Cross Blue Shield Service Benefit Plan in Arizona unless and until the Kobold decision is reversed or the law is otherwise changed.” We understand that Rawlings, the subrogation collector for Aetna, had similarly suspended its efforts regarding FEHBA lien collection. However, since that time, on May 8, 2014, the Arizona Court of Appeals issued an order staying the Kobold mandate/order that returns the case to the trial court for ninety (90) days from the date of the order. Attorney David Abney, handling the Kobold appeal for the injured plaintiff, advises that the stay on issuance of the mandate does not affect the Kobold opinion’s validity or controlling nature; that as the Arizona Supreme Court denied the petition for review, Kobold is the substantive law of the State of Arizona (that there is no federal preemption and Arizona anti-subrogation case law applies to FEHBA lien claims); and that Kobold will remain the substantive law of the State or Arizona unless and until Congress amends the FEHBA or the U.S. Supreme  Court accepts a petition for writ of certiorari and then reverses the Arizona Court of Appeals. I understand from a fellow AzTLA member that in his FEHBA lien case, the FEHBA subrogation collector, post the May 8th stay, has requested that the attorney continue to hold the FEHBA lien funds in Trust pending the duration of the stay order. I imagine this may well be occurring in other FEHBA liens cases as well.



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© Copyright 2006, Steven J. Bruzonsky, Attorney
Terms of Use: This site contains general information for educational purposes only. It is not intended to provide legal advise, which can only come from a qualified attorney who is familiar with all the facts and circumstances of your specific case and relevant law. If you use this site, or send information or e-mail the attorney, such action does not create an attorney-client relationship. For legal advise please personally consult with an experienced attorney like Steven J. Bruzonsky.