The Hawaii Intermediate Court of Appeals has approved the dismissal of an appeal involving Liberty Dialysis – Hawaii, LLC and Health Management Network, Inc. This decision affects the healthcare industry in Hawaii, particularly the relationships between healthcare providers and their networks. The ruling is significant as it resolves part of a larger dispute over healthcare management and trust agreements.
The case, Liberty Dialysis – Hawaii, LLC v. Health Management Network, Inc., was filed on August 28, 2026, under docket number CAAP-24-0000193. The dispute centers around Liberty Dialysis, a provider of dialysis services, and Health Management Network (HMN), which is involved in managing healthcare services. The case also includes several third-party defendants, including various health and welfare trusts.
The conflict escalated to the appellate court after HMN and its partner, Multiplan, sought to challenge a lower court's decision. The parties involved in this case include Liberty Dialysis, HMN, Multiplan, and several health trust funds. The appeal was initially filed in March 2024 and involved multiple claims against various parties.
On July 2, 2026, HMN and Multiplan filed a joint motion to hold the appeal in abeyance, indicating that they were engaged in settlement discussions with the ILWU Local 142 Health and Welfare Trust. This motion sought a temporary pause in the appeal process while negotiations were ongoing. On August 11, 2026, the parties submitted a stipulation for dismissal concerning the ILWU Trust, which the court subsequently approved.
The court ruled, "The Stipulation to Dismiss provides that HMN-Multiplan and ILWU Trust stipulate and agree to dismiss HMN-Multiplan's appeal, but only as to Appellee ILWU Trust, and without an award of costs or attorneys' fees to any party." The ruling was made by Presiding Judge Katherine G. Leonard, along with Associate Judges Clyde J. Wadsworth and Sonja M.P. McCullen.
This ruling means that HMN-Multiplan's appeal against ILWU Trust is officially dismissed. However, the court noted that this dismissal does not affect the ongoing claims against other third-party defendants involved in the case. The court also stated that both HMN-Multiplan and ILWU Trust would bear their own costs related to the appeal.
The decision is important for the healthcare sector in Hawaii as it highlights the complexities of healthcare management agreements and the legal disputes that can arise from them. By resolving part of this case, the court may pave the way for clearer guidelines in future healthcare agreements and disputes.
Going forward, this ruling could influence how healthcare providers and management networks negotiate their contracts and handle disputes. The dismissal of the appeal against ILWU Trust allows HMN-Multiplan to focus on their claims against the remaining parties without the distraction of this particular appeal.
Details about the potential for further appeals or related cases were not available in the court filing. However, the dismissal of the appeal leaves open the possibility for HMN-Multiplan to continue their legal efforts against the other defendants in the case.