Dr. Robert L. Meinders, D.C., Ltd. v. United Healthcare Services, Inc.

Federal 7th Circuit Court
Civil Court
Arbitration
Citation
Case Number: 
No. 20-2832
Decision Date: 
July 30, 2021
Federal District: 
S.D. Ill.
Holding: 
Affirmed

In action alleging that defendant violated Telephone Consumer Protection Act by sending fax to plaintiff, Dist. Ct. did not err in dismissing complaint based upon arbitration clause contained in agreement that plaintiff-chiropractor had signed with third-party, even though defendant had not signed said agreement. Record showed that: (1) plaintiff entered into provider agreement with third-party (which was wholly owned subsidiary of defendant) in order to gain access to defendant’s network of patients, and that provider agreement allowed third-party to assign its obligations to others without approval from plaintiff; (2) once plaintiff had signed agreement, plaintiff submitted over 6,000 patient claims to defendant; and (3) third-party subsequently signed agreement with defendant that required that defendant provide administrative services required in plaintiff’s provider agreement with third-party. As such, Dist. Ct. could properly find that contractual theory of assumption applied, where defendant had assumed material obligations of third-party in provider agreement, such that defendant could enforce arbitration clause in provider agreement. Ct. further noted that plaintiff was aware that defendant was performing said services, and that plaintiff had essentially assented to defendant’s performance of said obligations.