Mantese Honigman, P.C.: Federal Court Approves Settlement in Class Action Lawsuit Requiring Dramatic Improvements in the Delivery of Mental Health Services to Michigan Children and Young Adults

TROY, Mich., Sept. 2, 2025 /PRNewswire/ -- Dave Honigman, legal counsel appointed by a federal court to represent a class of Michigan children and young adults with mental health disorders, lauded the court's approval on August 27, 2025, of a landmark settlement agreement in D.D. v. Michigan Department of Health and Human Services (formerly titled K.B. v. Michigan Department of Health and Human Services) that requires sweeping reforms to the state's Medicaid behavioral health system for children and young adults under age 21. The agreement resolves a class action lawsuit brought on behalf of Medicaid-eligible children with intensive mental and behavioral health care needs who were denied the services they needed in their homes and communities. The families sought injunctive relief to require the state to provide the medically necessary mental health services children are entitled to under federal law.

Plaintiffs filed this lawsuit in 2018, alleging that Michigan violated the Medicaid Act's Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) mandate requiring the State to ensure that children and young adults under age 21 receive all medically necessary care.

The class action lawsuit, the settlement agreement, and the Court's decision approving the agreement and retaining jurisdiction to enforce it, were also based on the US Supreme Court's landmark Olmstead decision, which held that persons with disabilities have a "right to live in the world" and participate in community life. 

The lawsuit also alleged violations of the Americans with Disabilities Act, Section 504 of the Rehabilitation Act, and Due Process guaranteed by the US Constitution.

The settlement agreement requires the Michigan Department of Health and Human Services (MDHHS) to make comprehensive systemic reforms, including:

• Ensuring statewide timely access to medically necessary intensive home and community-based services for children with significant behavioral health needs;
  
  
• Establishing a standardized eligibility and assessment process so that children are identified and connected with services consistently and equitably;
  
  
• Improving data collection and oversight to track timeliness and adequacy of services and outcomes;
  
  
• Implementing continuous quality improvement measures to sustain progress; and
  
  
• Demonstrating the capacity to provide medically necessary mental health services before the State of Michigan may exit from monitoring and supervision by Class Counsel and the Court.

The settlement agreement establishes a five-year target date for implementation of the systemic reforms. Prior to the full enactment of the reforms contemplated by the settlement agreement, children with mental health disorders remain entitled to medically necessary mental health care.

At the hearing, Class Counsel Honigman offered profuse thanks to Gov. Gretchen Witmer, MDHHS, and the many attorneys from the Michigan Atty. Gen.'s staff that worked on the case. Honigman expressed gratitude to US District Court (Eastern District of Michigan) Judge Thomas Ludington and Kelly Winslow, Judge Ludington's case manager and staff attorney, for "patiently monitoring the progress of the parties and helping to guide us on our journey."

Honigman concluded his presentation to the Court by stating: "I have always believed that the most incredible thing about miracles is that they happen. The settlement before you is a miracle that has indeed happened."

Co-counsel Gerard Mantese, at Mantese Honigman, PC states: "I conceived of this case 8 years ago with the goal of helping people who are struggling with obtaining medical care under the Medicaid system. I'm proud of what we achieved and confident that this settlement will provide needed care to tens of thousands of families."

Class Counsel Honigman encouraged families experiencing problems obtaining services to contact him by email at [email protected] or by phone at 248-457-9200, extension 2050. If journalists have questions or wish to discuss the lawsuit, please feel free to contact Mr. Honigman by email at [email protected] or by phone at 248-330-2962 (cell phone) or 248-457-9200 (law office).

SOURCE Mantese Honigman, P.C.