Matter of People Care Incorporated v. The City of New York Human Resources Administration
Successfully convinced the First Department that the City of New York Human Resources Administration (HRA) has no authority to recoup funds provided to client People Care, Inc. by the New York State Department of Health pursuant to the Health Care Reform Act. The First Department, in an important 3-2 decision involving complex issues of statutory and regulatory interpretation, upheld the decision of the New York State Supreme Court, New York County granting People Care’s Article 78 petition and annulling HRA’s demand to recoup approximately $7 million from People Care. The decision came after a decade of litigation with the City and represented a rare appellate victory against the City in regulatory affairs.