Split Supreme Court Clarifies Definition of 'Group Purchaser' Under PPO Statute

The Louisiana Supreme Court ruled that a technology company that licenses medical billing software and provides bill review services was not a “group purchaser” subject to the state’s Preferred Provider Organizations statute. In 1984, the Louisiana Legislature enacted Chapter 12 of Title 40 of the Louisiana Revised Statutes to establish the “Preferred Provider Organizations” statute. The Legislature stated that it authorized the formation of PPOs as an "incentive for purchasers and providers to strive for more cost-efficient and effective methods for provid...