448 F. App'x 79
2d Cir.2011Background
- HealthNow sued the State of New York and AG to declare invalid and enjoin enforcement of NY General Obligations Law § 5-335 (Anti-Subrogation Law).
- HealthNow dropped claims against the State after dismissal; the remaining defendant was the Attorney General in his official capacity.
- District court granted dismissal under Ex parte Young for lack of subject-matter jurisdiction, finding no proper connection or willingness to enforce the Anti-Subrogation Law.
- HealthNow asserted two injuries-in-fact: (i) about $14 million potential loss from subrogation limitations, and (ii) threat of enforcement under NY Exec. Law § 63(12).
- Court reviews a Rule 12(b)(1) dismissal de novo for standing; the case was decided on standing grounds, not merits.
- Court affirmed district court’s dismissal for lack of standing, thus terminating the case
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Standing to challenge the Anti-Subrogation Law | HealthNow alleges injury from the law’s existence and enforcement. | AG is not the proper cause of HealthNow’s injury; injury is caused by insureds under the law. | No standing; dismissal affirmed. |
| Threat of § 63(12) enforcement constitutes an injury in fact | HealthNow faces potential enforcement by AG under § 63(12). | No current or imminent enforcement threat; injury speculative. | Insufficient to confer standing; no redressable injury. |
Key Cases Cited
- Lujan v. Defenders of Wildlife, 504 U.S. 555 (Supreme Court 1992) (standing requires injury, causation, redressability)
- Massachusetts v. EPA, 549 U.S. 497 (Supreme Court 2007) (complete standing framework for environmental cases; injury in fact)
- Davis v. FEC, 554 U.S. 724 (Supreme Court 2008) (threatened injury must be real, immediate, direct to confer standing)
- Triestman v. Fed. Bureau of Prisons, 470 F.3d 471 (2d Cir. 2006) (standing de novo review; can affirm on any ground in record)
- S. Jackson & Son, Inc. v. Coffee, Sugar & Cocoa Exch, Inc., 24 F.3d 427 (2d Cir. 1994) (standing requires concrete injury traceable to defendant)
- Beth Israel Med. Ctr. v. Horizon Blue Cross & Blue Shield of N.J., Inc., 448 F.3d 573 (2d Cir. 2006) (standing and injury requirements discussed)
- Lujan v. Defenders of Wildlife, 504 U.S. 555 (Supreme Court 1992) (reiterated standing framework)