GRAND PRAIRIE, Texas, June 29 /PRNewswire-FirstCall/ -- The Capella Group, Inc., a subsidiary of Precis, Inc. that does business as “Care Entree” received a favorable ruling Tuesday in a case pending in the Superior Court of California, Los Angeles County.
Judge Edward Ferns denied the motion of the plaintiffs, Manuela and Juan Zermeno, for a judgment that Care Entree’s operations violated Section 445 of the California Health and Safety Code, a provision that governs medical referral services. In denying the motion, the judge ruled that only the Attorney General, not individual plaintiffs like the Zermenos, has standing to bring an action under Section 445.
In a related claim, Judge Ferns declined to rule on the Zermeno’s motion for relief under California’s unfair competition law (Section 17200 of the Business and Professions Code) due to flaws in their motion. It is unknown whether or not the Zermenos intend to attempt to correct those flaws.
“Care Entree is pleased with the judge’s rulings today. His decision on the Section 445 matter is consistent with the position we have argued since this case was filed,” said Eliseo Ruiz III, Vice President and General Counsel for Precis, Inc. “We hope to have a final and favorable resolution of this case soon,” he added.
The Zermenos are former members of the Care Entree program. They brought their action in September 2003, seeking damages along with equitable and injunctive relief on behalf of the general public of California. Other claims brought by the Zermenos in their lawsuit were settled by the company in 2004.
“The timing for a favorable ruling in this case couldn’t have been better, as we recently completed strategic management changes and will soon launch our new product lines. We look forward to getting this uncertainty finally behind us,” says Frank Apodaca, President of Precis, Inc.
About Precis, Inc.
Precis, Inc. and its subsidiaries market non-insurance health care savings programs, administer tax-favored reimbursement accounts, provide third party administration services to self funded employer groups and offer a broad range of financial solutions such as health and life insurance to individuals and businesses. For more information on Precis, its subsidiaries Care 125, Care Financial, LLC, and Access Administrators visit www.precis-pcis.com, www.care125.com, and www.care-financial.com, www.ahs-access.com respectively.
Contact: Eliseo Ruiz III Joe Diaz General Counsel The RCG Group Precis, Inc. 480-675-0400 972-343-6500 Annemarie Marek Marek & Company 469-235-2166
Precis, Inc.
CONTACT: Eliseo Ruiz III, General Counsel of Precis, Inc.,+1-972-343-6500; or Joe Diaz of The RCG Group, +1-480-675-0400; orAnnemarie Marek of Marek & Company, +1-469-235-2166, both for Precis, Inc.
