Three insurance companies were sued by two patients and their pharmacies after the companies had refused to pay for blood-clotting-factor products under ERISA health plans. Eventually, the insurance companies paid them in full, including interest. Each time, the patients recovered through settlement, not court order.
The patients filed for attorneys' fees under ERISA, which allows for recovery of attorneys' fees when there has been "some success" on the merits. The settlements were success enough, the First Circuit reasoned, deciding for the first time that the catalyst theory allows recovery of fees in ERISA cases. ERISA attorneys, now's the time to pop the champagne.