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State Files Suit Against Harvard Over Name Use

Mass. argues HMO can keep 'Harvard' in its name

The state of Massachusetts sued the University yesterday, seeking to ensure that Harvard Pilgrim Health Care can keep its name intact, regardless of whether Harvard grants permission.

The suit came less than a week after

Provost Harvey V. Fineberg '67 sent a brief letter to Attorney General Thomas F. Reilly stating that the University has a right to decide whether the debt-ridden health maintenance organization (HMO) can use the Harvard name.

"Harvard University asserts its rights to use of its name by Harvard Pilgrim or by any successor," the letter reads.

The University and the health plan have no official ties, although Robert H. Ebert, then-dean of the Harvard Medical School, had a hand in its 1969 creation.

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But in the lawsuit, the state argues that Harvard Pilgrim has used the name for decades without objection.

"By the use of the word 'Harvard' in connection with health care coverage and services for over thirty years, Harvard Pilgrim has obtained common law rights in the word 'Harvard' in connection with health care coverage and services," the state's complaint reads.

Harvard Pilgrim lost nearly $200 million in 1999 and the state took control of the HMO earlier this year. The University, along with several private investors, has proposed a bailout plan, which the state is considering.

Harvard spokesperson Joe Wrinn defended the University's decision to raise the name issue now, given recent media reports that the state has considered--among other options--turning the HMO into a for-profit company.

"We think it's responsible for us to remind the people involved that we believe we own the use of the Harvard name and how it relates to teaching and research and medical education," Wrinn said.

Reilly said the timing of Fineberg's letter "placed a cloud" over the already difficult process of rehabilitating Harvard Pilgrim--a task that has fallen to the state and to its insurance commissioner, Linda L. Ruthardt, who serves as the state-appointed receiver of the HMO.

"Our job is to protect the plan and the million members who signed up to Harvard Pilgrim and not Harvard University," Reilly said.

He said Harvard Pilgrim has used the name for so long that it has a right to continue to use Harvard in its title.

"This is its name," Reilly said. "There is a complete package of rights that go with that name. They are interfering with our use of Harvard Pilgrim and the reputation of Harvard Pilgrim, which has been earned over a long period of time, independent of Harvard University."

Harvard Pilgrim has 1.1 million members. Reilly said he sees the program as an asset to the state--and said the suit is well worth taxpayers' money.

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