Nevada exchange to discuss class action lawsuit

CARSON CITY, Nev. (AP) -- A state board overseeing Nevada's bungled health insurance change will discuss options to minimize the state's exposure in a class-action lawsuit, including invoking a contract provision that could put the legal onus on Xerox.

The board is scheduled to discuss the lawsuit filed in Clark County on behalf of hundreds of consumers who claim they paid for health insurance but didn't receive coverage and were left with big medical bills.

Xerox was awarded a $75 million contract to build and operate Nevada's online exchange.

A provision in that contract states that to the fullest extent permitted by law, Xerox "shall indemnify, hold harmless and defend" the state from liability.

Las Vegas attorney Matthew Callister says about 200 people have joined the lawsuit.


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