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METHODIST HOSPITALS, INC. v. SULLIVAN

Nos. 95-3078, 95-3200 and 95-3983.

91 F.3d 1026 (1996)

The METHODIST HOSPITALS, INC., et al., Plaintiffs-Appellants, Cross-Appellees, v. Cheryl SULLIVAN, Secretary of the Indiana Family and Social Services Administration, and James M. Verdier, Assistant Secretary and Director of the Indiana Office of Medicaid Policy and Planning, Defendants-Appellees, Cross-Appellants.

United States Court of Appeals, Seventh Circuit.

Decided August 2, 1996.

Attorney(s) appearing for the Case

David B. Love, Raymond J. Kelly, EvaMaria Wohn, Seyfarth, Shaw, Fairweather & Geraldson, Chicago, IL, Bonnie C. Coleman (argued), Jill M. Madajczyk, Earle F. Hites, Hodges & Davis, Merrillville, IN, for Plaintiff-Appellant Methodist Hospitals, Inc.

David B. Love, Raymond J. Kelly, EvaMaria Wohn, Seyfarth, Shaw, Fairweather & Geraldson, Chicago, IL, Bonnie C. Coleman, (argued), Jill M. Madajczyk, Earle F. Hites, Hodges & Davis, Merrillville, IN, for Plaintiffs-Appellants David E. Ross, M.D., James Jones, M.D., Douge Barthelemy, M.D., Randall C. Morgan, M.D.

David B. Love, Raymond J. Kelly, EvaMaria Wohn, Seyfarth, Shaw, Fairweather & Geraldson, Chicago, IL, Bonnie C. Coleman, Jill M. Madajczyk, Earle F. Hites (argued), Hodges & Davis, Merrillville, IN, for Plaintiff-Appellant Deborah McCullough, M.D.

Mark H. Lynch (argued), Covington & Burling, Washington, DC, Timothy G. Kline, Joseph S. Bokkelen, Goodman, Ball & Van-Bokkelen, Highland, IN, Matthew R. Gutwein, Richard E. Shevitz, Office of the Attorney General, Indianapolis, IN, for Cheryl Sullivan and James M. Verdier.

Before EASTERBROOK, RIPPLE, and DIANE P. WOOD, Circuit Judges.

EASTERBROOK, Circuit Judge.

On January 1, 1994, Indiana changed the formulas it uses to pay providers of services under the Medicaid program. For the most part, these rules were short-lived; with the exception of the rules governing outpatient services, all were replaced within a year. But the litigation in their wake is long-lived. Joined by five physicians, the Methodist Hospitals of Gary, Indiana, filed this suit under 42 U.S.C. § 1983, contending that the...

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