Secure Health Plans of Georgia LLC et al v. DCA of Hawkinsville LLC

Filing 25

ORDER DISMISSING WITHOUT PREJUDICE 1 Complaint. Ordered by Judge Marc Thomas Treadwell on 7/6/2011. (tlh)

IN THE UNITED STATES DISTRICT COURT
MIDDLE DISTRICT OF GEORGIA
MACON DIVISION

SECURE HEALTH PLANS OF
GEORGIA, LLC, et al.,
Plaintiffs,
v.
DCA OF HAWKINSVILLE, LLC, f/k/a
HAWKINSVILLE DIALYSIS CENTER,
Defendant.

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CIVIL ACTION NO. 5:10-CV-417 (MTT)

ORDER
This matter is before the Court on further consideration of the Defendant’s Motion
to Compel Arbitration, to Dismiss or, Alternatively to Stay (Doc. 5) (the “Motion”). For
the following reasons, the Court dismisses this action without prejudice.
The facts are discussed in detail in an Order entered November 22, 2010. (Doc.
12). In that Order, the Court enjoined the arbitration of any claims that DCA had
implicitly or explicitly asserted against Taylor because no agreement existed requiring
DCA and Taylor to arbitrate their claims. The Court refused to enjoin the arbitration of
claims asserted by DCA against Secure Health and which arose under the DCA/SH
agreement. Further, the Court refused to enjoin the arbitration of any indemnification
claim asserted by Secure Health against Taylor. The Court expressly did not enjoin the
arbitration of any claims on the grounds of ERISA preemption.

The Parties have advised the Court that the arbitration has concluded.
According to Taylor, the arbitrator awarded no damages to DCA on DCA’s “main issue”
against Secure Health. However, again according to Taylor, the arbitrator awarded
$50,000 in “nominal” damages to DCA and against Secure Health. Apparently, Secure
Health and Taylor did not arbitrate any claims between them, including any claim by
Secure Health for indemnification.
Secure Health now contends that this matter can be dismissed. Taylor contends
that the matter should not be dismissed because Taylor suspects that Secure Health
will now contend, presumably pursuant to its indemnification agreement with Taylor, that
Taylor must reimburse Secure Health for the $50,000 nominal damages award. In this
event, according to Taylor, DCA will accomplish through the “back door” precisely what
the Court enjoined, i.e., DCA will be able to satisfy its claims against Taylor.
The Court’s injunction has accomplished its goal; the arbitrator did not decide
any claims asserted by DCA against Taylor. If, in the future, Taylor believes that
Secure Health is effectively attempting to violate the Court’s injunction by seeking to
enforce its claim for indemnification, then Taylor can file an appropriate action.
However, the Court notes that Secure Health and Taylor have agreed to arbitrate such
claims and the Court did not enjoin the arbitration of those claims. Also, as noted
above, the Court did not rule that the arbitration of claims against Taylor were precluded
by ERISA preemption. Rather, the Court simply ruled that Taylor and DCA had not
agreed to arbitrate those claims.

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Accordingly, this matter is DISMISSED WITHOUT PREJUDICE.
SO ORDERED, this 6th of July, 2011.

S/ Marc T. Treadwell
MARC T. TREADWELL, JUDGE
UNITED STATES DISTRICT COURT

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