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Reason
Reason
Politics
Eugene Volokh

No Sealing of Record to Protect Reputation of Defendants

From Liberty Mutual Fire Ins. Co. v. Maple Manor Neuro Center Inc., decided Tuesday by Judge Linda Parker (E.D. Mich.):

This dispute arises from no-fault insurance benefits that Plaintiffs … paid to Defendants … for the treatment of [Plaintiffs'] insureds pursuant to Michigan's No-Fault Act. Plaintiffs are insurance companies providing no-fault insurance coverage in Michigan…. Plaintiffs filed a Complaint alleging that Defendants engaged in a scheme to submit false and fraudulent medical records, bills, and invoices through interstate wires, which sought payment for treatment and services from an unlicensed healthcare provider. Plaintiffs allege that Defendants conduct violates the federal Racketeer Influenced and Corrupt Organizations Act ("RICO"), 18 U.S.C. § 1962(c) and (d), and state law.

On or about December 16, 2022, the parties entered into a good faith Settlement Agreement and Mutual Release …. On December 22, 2022, Defendants filed a motion to seal the entire record, which Plaintiffs consented to as part of the Settlement….

Defendants argued "that Plaintiff's complaint has 'zero merit' due to a recently issued Michigan Court of Appeals opinion, thus warranting the sealing of the entire record"; the court disagreed:

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