Society files appellate brief in effort to restore $200 million to Fund

In its next step of legal action disputing the raid of $200 million from the Wisconsin Injured Patients and Families Compensation Fund (Fund), the Society yesterday filed its appellate brief with the Court of Appeals. Because the issues in the lawsuit involve questions of law, the Court of Appeals is not required to give the trial court's decision any weight. Instead, the Court of Appeals may take a fresh look at the issues and arguments.

The Society’s brief outlines several reasons why the Court of Appeals should reverse the trial court’s decision.

Some of the reasons why the Society should prevail include the following:

• Health care professionals who pay into the Fund have a constitutionally protected property interest in ensuring the integrity and security of the Fund. According to the statute, the full net worth of the Fund is held in an irrevocable trust and may not be used for non-trust purposes. The withdrawal of $200 million from the Fund was an unconstitutional taking.
• Contrary to the trial court’s decision that sovereign immunity bars all but the Society's takings claim, sovereign immunity does not bar the Society's other claims.
• The taking of $200 million from the Fund constitutionally impairs health care professionals' contract rights in the Fund. The structure of the Fund shows a clear intent to create an insurance contract between the State and health care professionals. The State's administration of the Fund does not diminish or revoke health care professionals’ vested contract rights that arise as a result of paying premiums.
• The transfer of $200 million from the Fund by the State is an unlawful tax. The State did not promulgate a tax but instead took funds that were privately contributed by health care professionals for a public purpose.

The brief is a public document, so you may share it with your colleagues and/or members of your district. Click here to view the brief.