Taft Detroit partner Christopher Ryan partnered with co-counsel from Miller Johnson (Neil Marchand), Varnum (Sarah Wixson), and Secrest Wardle (Chris Cooke) to secure a major declaratory ruling in the Michigan Court of Claims. The Court declared that the State’s Request for Proposal (RFP) for behavioral health services violates Michigan’s Mental Health Code.

Following three days of testimony in December 2025, Judge Christopher P. Yates granted partial summary disposition to Plaintiffs, finding that the RFP “impermissibly conflicts with Michigan law in numerous respects” by restricting Community Mental Health Service Programs (“CMHSPs”) from fulfilling their statutorily mandated duties. The Court found the RFP bars CMHSPs from entering into financial contracts necessary to provide crisis intervention, recipient rights protections, preadmission screening, and other services required under Michigan law.

What Was at Stake

The litigation challenged the State’s attempt to transition Michigan’s behavioral health system from 10 regional service areas to three mega-regions through a competitive procurement process. The RFP, issued in August 2025, affects approximately $6 billion in state-administered Medicaid funding and would have fundamentally restructured how Michigan delivers behavioral health services to its most vulnerable citizens.

Plaintiffs argued the RFP unlawfully stripped CMHSPs of their ability to coordinate care and maintain provider networks, despite statutory mandates requiring them to provide comprehensive behavioral health services “regardless of an individual’s ability to pay”. The Court agreed, finding that Medicaid funding comprises up to 95% of CMHSP budgets and is essential for them to fulfill their legal obligations.

The case was defended by five attorneys general representing the State of Michigan and its departments. The full opinion can be found here.

Ryan is a seasoned commercial litigator representing businesses and individuals in high-stakes litigation. A significant portion of his practice is in the health care industry, devoted to representing various stakeholders in a wide range of litigation and administrative matters.