Insurance Giant UnitedHealth Predictably Goes Judge Shopping in 5th Circuit Territory After CMS Rating Downgrade – Accountable US

This week, subsidiaries of insurance giant UnitedHealth—which covers 29% of all Medicare Advantage enrollees—sued the Biden-Harris administration over the Centers for Medicare & Medicaid Services’ (CMS) decision to downgrade the insurer’s “star rating” following an evaluation of a customer service call. Government watchdog Accountable.US raised concerns that where the Minnesota-based insurer chose to file their lawsuit seeking an injunction—the Eastern District of Texas under the jurisdiction of the far-right Fifth Circuit Court of Appeals—represents the latest case in a worsening corporate venue shopping crisis.

The intent is clear: set the lawsuit on a path to the Fifth Circuit that is notorious for industry-friendly rulings, including in favor of predatory lenders, discriminatory big banks, and greedy credit card issuers—with Big Pharma likely soon to follow. UnitedHealth has disclosed membership in the corporate-funded U.S. Chamber of Commerce that has filed lawsuits challenging federal regulations in district courts under the Fifth Circuit’s jurisdiction 63 percent of the time since January 2017, a previous Accountable.US analysis found.

The case is now before Trump appointee Judge Jeremy D. Kernodle. An Accountable.US review found Kernodle is a prominent Federalist Society figure who in 2023 took travel, meals, and lodging from the right-wing Federalist Society and the Scalia Law School, which is also closely linked to right-wing court “architect” Leonard Leo and has been seen as a “an easy pass-through” for donors to influence judges.