• Whether Medicaid is only a contract - the circuit held that pursuant to statutes upon states participating in Medicaid and similar programs - those programs are not merely contract provisions, but federal laws

  • Whether acts passed under the spending power are the supreme law - the circuit rejected the district court's argument and found that acts passed under Congress' spending power are supreme law, a principle that has not been abandoned in recent decisions.

  • Whether the suit is barred by sovereign immunity - the circuit court found that Ex Parte Young provided a foundation for an exception to the sovereign immunity doctrine.

  • Whether there is a private right of action under § 1983 - again, the circuit rejected the district court's third party beneficiary theory and held that the Supreme Court's Blessing v. Freestone three part analysis allowed the plaintiffs in this case to proceed as an intended beneficiary of the provision.

This important decision reaffirms the position that Medicaid beneficiaries and providers can enforce provisions of the federal Medicaid Act in federal court.

The decision may be accessed through on line services (LEXIS, Westlaw), or by going to http://pacer.ca6.uscourts.gov/cgi-bin/getopn.pl?OPINION=02a0172p.06