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Civil Litigation

Apr. 21, 2025

Judge backs Allstate in key rulings on alleged $1.4M insurance fraud scheme

The lawsuit claims a network of companies submitted nearly 400 bogus MRI bills in a scheme led by an unlicensed provider. Defendants say Allstate is trying to drive lien-based services out of business.

A Los Angeles County judge issued a sweeping tentative ruling largely favoring Allstate Insurance Co. in its $1.4 million fraud suit, supporting the insurer's effort to strike down key defenses in a case alleging nearly 400 bogus MRI claims tied to an unlicensed provider and a network of sham medical and billing companies.

Superior Court Judge Daniel M. Crowley largely sustained demurrers by Allstate in his tentative ruling on Thursday, although he did grant defendants some wi...

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