Supreme Court Strikes Back at Home Depot

The U.S. Supreme Court on Monday declined to hear Home Depot’s challenge to a $2.7 billion antitrust settlement involving Blue Cross Blue Shield.

The decade-old case alleged that Blue Cross Blue Shield engaged in anti-competitive behavior that contributed to high prices. Home Depot complained that the settlement would limit any potential future antitrust claims against the insurer. Blue Cross Blue Shield denies any wrongdoing.

“We are pleased with both the Supreme Court’s decision and the opportunity to begin implementing this settlement we agreed to almost four years ago,” said a Blue Cross Blue Shield spokesman. Newsweek in a statement on Monday.

Newsweek I reached out to Home Depot for comment via email on Monday.

The settlement was reached in October 2020 after a group of people and companies that received health insurance from Blue Cross Blue Shield alleged that the company conspired with others to suppress competition.

“Plaintiffs allege that the Settlement Defendants violated antitrust laws by entering into an agreement not to compete with each other and to restrict competition with each other in the sale of health insurance and health insurance administrative services,” according to the official Blue Cross Blue Shield Settlement website.

“As part of the settlement, defendants deny all allegations of misconduct and claim that their conduct results in lower health care costs and greater access to care for their clients. The court did not decide who was right and who was wrong. Instead, Plaintiffs and Defendants settled and agreed to a Settlement Agreement intended to avoid the risk and expense of further litigation.”

Lawyers for subscribers who settled the case with Blue Cross Blue Shield, in what Reuters described as one of the largest class-action judgments, asked the court to dismiss Home Depot’s claims.

Last October, the agreement was appealed to the United States Court of Appeals for the Eleventh Circuit, which dismissed the petition. This decision prompted Home Depot to take the case to the Supreme Court.

The agreement will create a $2.67 billion settlement fund and change Blue Cross Blue Shield’s business approach.

“The settlement defendants will also agree to make changes to the way they do business that plaintiffs believe will increase opportunities for competition in the health insurance market,” the website reads.

People who may qualify for the settlement include individuals, groups of insureds and self-funded accounts who received insurance from Blue Cross Blue Shield between February 2008 and October 2020.

“The settlement group period for individuals and insured groups runs from February 7, 2008 to October 16, 2020. The settlement group period for self-financing accounts runs from September 1, 2015 to October 16, 2020.” – stated on the website. “Dependents, beneficiaries (including minors) and non-employees are not eligible to receive the payment.”