Sanford Health Plan facing lawsuit from Mayo Clinic for $700K
Jan 02, 2025
SIOUX FALLS, S.D. (KELO) -- Two major health systems are fighting over nearly $740,000 in medical bills from 2022.
According to court documents, Rochester, Minnesota-based Mayo Clinic is suing Sioux Falls-based Sanford Health Plan for medical bills of $739,956.20.
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“The result of Sanford’s negligent and material misrepresentations is that Mayo has gone unpaid for more than two years for the health care goods and service it provided,” the lawsuit complaint said.
The lawsuit was filed on Dec. 13 in Minnesota District Court.
In Sanford’s motion to dismiss the lawsuit, Sanford argues it is not responsible for the medical expenses “just because Mayo failed to follow standard Medicaid procedure. Mayo’s complaint avers that Sanford somehow breached a contract between it and Mayo but does not sufficiently identify the contract or the material terms allegedly breached,” court documents said.
A motion hearing on the lawsuit is scheduled for Feb. 11.
According to Forbes, Mayo Clinic is worth more than $21 billion in assets and more than $18 billion in total revenue, while Sanford Health has recorded $5.7 billion in revenue in 2023 and has more than $3.76 billion in total assets according to ProPublica.