David M. Aafedt

At the Attorney General’s Office and now in private practice, I have represented many hundreds of clients before state and federal regulators, as well as legislative bodies.  I also advise clients in conjunction with their oversight by, or interaction with, among others, the Minnesota Attorney General’s Office (consumer and charities enforcement ), Minnesota Office of the Governor, Minnesota Legislature, Department of Administration (data practices, contracts and procurement), Department of Agriculture, Department of Commerce (insurance, real estate brokers, agents, and appraisers, securities, debt collectors), Department of Health, Department of Human Services (licensing, Office of Inspector General), Department of Labor and Industry (OSHA and Construction Codes and Licensing), Department of Natural Resources, Pollution Control Agency, Department of Public Safety, Public Utilities Commission (energy and telecommunications), as well as the Boards of Medical Practice, Dentistry, Nursing, and Pharmacy.

I formerly represented the Minnesota Department of Health’s Managed Care, Health Facilities Complaints, Health Economics, and Environmental Health divisions, as well as the Attorney General’s Office in conjunction with health care litigation, audits and investigations, and enforcement actions.

I now represent medical and dental providers, trade associations, and health care businesses in a variety of capacities, including litigation and enforcement proceedings, health care licensing board investigations, compliance and regulatory matters, as well as federal, state, and private payer billing audits and investigations.  I also serve as outside general counsel to many dozens of individual health care professionals and practice groups, where I advise them on, among other issues, the purchase or sale of a medical or dental practice or business; general corporate governance, management, and employment issues; public and private payer reimbursement issues; fraud, waste and abuse, anti-kickback and Stark; credentialing, privileging and peer review processes; state and federal privacy laws, including data breaches. I also routinely work with health care providers and practice groups to conduct internal compliance investigations in an effort to identify potential compliance risks, and ensure that appropriate procedures and training are in place moving forward.

I also serve as an Assistant Adjunct Professor at the University of Minnesota School of Dentistry, where I teach Current Legal Issues for the New Dentist to the fourth year dental students.

INSURANCE

I represent insurers, reinsurers, and producers in their interactions with state insurance departments, Attorneys General, revenue departments, and other state and federal regulators. Specifically, a significant part of my practice is devoted to working with industry clients in conjunction with market conduct examinations, unclaimed property audits, investigations, civil investigative demands, enforcement actions, surplus lines regulation, premium tax and premium assessment issues, licensing and appointment matters, and insurance fraud investigation and reporting.

I also handle a wide variety of insurance litigation, including class action and coverage disputes in all lines of insurance; unfair and deceptive business practices; sales and suitability; bad faith and unfair claims handling; excess and surplus lines; and producer commission and non-compete disputes.

Representative Experience

• In the Matter of Various Life and Annuity Insurer Unclaimed Property and Claims Handling Market Conduct Examinations
  — Represented and successfully resolved numerous Minnesota Department of Commerce market conduct examinations related to claims handling and unclaimed property escheatment practices on behalf of various national and international Life Insurance and Annuity companies.
• Fresenius Medical Care Holdings, Inc. d/b/a Fresenius Medical Care North America v. Fresenius Medical Michael Rothman, in his capacity as Commissioner of the Minnesota Department of Commerce, and Edward P. Ehlinger, MD, MSPH, in his capacity as commissioner of the Minnesota Department of Health, State of Minnesota, Office of Administrative Hearings — Successful challenge – leading to rescission – of a Minnesota Department of Commerce and Department of Health unpromulgated rule, which purported to set forth criteria establishing the circumstances under which health insurers must accept premium payments, and the circumstances under which health insurers are not required to accept premium payments.
• In the Matter of the Excess Surplus Status of Blue Cross Blue Shield of Minnesota, 624 N.W.2d 264 (Minn. 2001) — Represented the Minnesota Commissioner of Commerce in a matter requiring a non-profit health plan service corporation to divest itself of $470 million in tobacco settlement proceeds as a result of exceeding statutory surplus requirements.
• Lumbermens Mutual Casualty Co. et al. v. Minnesota Special Compensation Fund et al., 2006 WL 3371968 — Obtained a $5.2 million recovery against the State of Minnesota and its workers’ compensation regulator as a result of erroneous premium assessments made against a group of client insurance companies.
• State of Minnesota, by its Attorney General v. Allianz Life Insurance Company of North America, Hennepin County District Court File No. 27-CV-07-581 — Represented a life insurance company in conjunction with a Minnesota Attorney General lawsuit relating to the suitability of the sale of equity indexed annuities to Minnesota consumers.
• State of Minnesota, by its Attorney General v. American International Group, Inc., Ramsey County District Court File No. 62-CO-06-001632, and Workers’ Compensation Reinsurance Association (WCRA) et al. v. American International Group, Inc., et al., Hennepin County District Court File No. 27-CV-08-10705 — Represented AIG and various insurers in litigation relating to alleged underreporting of workers’ compensation premiums to state and quasi-public agencies.

Energy

I have represented a wide range of clients – utilities, wind energy developers, rate payers, and other interested parties – in matters before the Minnesota Public Utilities Commission and Minnesota Department of Commerce, including rate cases, certificate of need, siting and route permitting, resource planning, and environmental review proceedings. I have also represented a national propane provider in significant litigation against the Minnesota Attorney General’s Office. I also served on the Public Utilities Commission’s Advisory Committee on rulemaking for Certificate of Need and Site and Route Permits for Large Electric Generating Plants and High-Voltage Transmission Lines.

Representative Experience

• CenterPoint Energy Rate Cases (2007-2017)
• Xcel Energy Rate Case (2016-17)
• Ferrellgas v. Minnesota Attorney General Lori Swanson, Ramsey County District Court, (2010) — Represented and successfully resolved litigation brought against client the Attorney General, where Minnesota’s consumer fraud and deceptive trade practices act claims were at issue.
• In the Matter of Xcel Energy’s Proposed Nuclear Uprate for the Prairie Island Indian Community. Represented the Prairie Island Indian Community in contested case proceedings and environmental review matters relating to Xcel Energy’s proposed nuclear uprate for its largest nuclear facility in the State of Minnesota.