$3.5M Presbyterian Healthcare Services $3.5M Settlement, Presbyterian Billed Your Family for a Doctor Who Lacked the Credentials He Was Given Claim Before July 13

Presbyterian Healthcare Services agreed to pay $3,500,000 to resolve a class action lawsuit alleging it misrepresented the qualifications of Dr. Guy Rosenschein — a pediatric surgeon and urologist it employed from 2012 to 2016 at its Albuquerque, New Mexico facilities. The lawsuit focuses specifically on whether Presbyterian deceived parents about Rosenschein’s credentials, not the full scope of conduct alleged against the doctor himself. If you are a parent or guardian who received a bill from Presbyterian for your minor child’s treatment by Rosenschein during that period, you will receive an automatic payment — no claim form required. A final approval hearing is scheduled for July 13, 2026.

Field	Detail
Settlement Amount	$3,500,000
Amount Available to Class Members	$2,465,000
Claim Deadline	No claim form required — automatic payment
Who Qualifies	Parents or guardians billed by Presbyterian for a minor child’s treatment by Dr. Rosenschein between Nov. 26, 2012, and Dec. 31, 2016, who received a notice postcard or email
Payout Per Person	Pro rata — equal share of $2,465,000 among all participants
Proof Required	No
Settlement Status	Preliminarily approved
Final Approval Hearing	July 13, 2026
Administrator	Epiq Global (McLarty v PHS Claims Administrator)
Official Website	mclartyclassaction.com

Where Things Stand

• The settlement is preliminarily approved. The fairness hearing is set for July 13, 2026 — the court will decide final approval on that date.
• The settlement administrator will mail payments within 21 days of the court’s resolution of any appeals and final approval of the settlement.
• Class members who received a notice postcard or email are already identified by name in Presbyterian’s records. If you moved since receiving notice, update your address with the administrator immediately.

What Presbyterian Told Parents About This Doctor — And What Was Actually True

The lawsuit alleges that Rosenschein did not complete a residency or fellowship in the United States in either specialty and was not board-certified, rendering him unqualified to practice according to Presbyterian’s own bylaws as well as standards set by national accreditation organizations. Despite this, Presbyterian held him out to patients’ families as a qualified pediatric surgeon and pediatric urologist.

Rosenschein was arrested in 2016 for possessing and distributing child pornography and pled guilty to those charges in 2021. He was ultimately sentenced to 17 years in prison, followed by five years of supervised release, and must register as a sex offender. Separately from this class action — which focuses entirely on the credentials misrepresentation — many families have pursued individual civil claims related to the broader conduct alleged against him.

The plaintiffs in this class action assert that Presbyterian violated New Mexico’s Unfair Practices Act and state common law prohibitions on negligent and intentional misrepresentation. This case focuses on whether Presbyterian misled parents and guardians seeking medical services for their children by representing that Rosenschein was qualified to practice as a Pediatric Surgeon and Pediatric Urologist at Presbyterian’s facilities. Presbyterian denies any wrongdoing but chose to settle to avoid the cost and uncertainty of continued litigation.

This Settlement Covers a Specific Group of Parents — Here’s Whether You’re In

The class definition is narrow and based on Presbyterian’s own billing records. You are a class member if:

• You are a parent or guardian of a minor child
• Presbyterian Healthcare Services billed you for your child’s medical services provided by Dr. Guy Rosenschein
• That billing occurred between November 26, 2012, and December 31, 2016
• You received a postcard or email notice about this lawsuit

The class includes over 3,000 parents and guardians of minor patients who were billed by Presbyterian for medical services related to treatment by Rosenschein.

This settlement does not cover individual claims for physical harm, sexual abuse, or emotional distress — those are separate civil matters that require individual legal representation. If you believe your child experienced harm beyond the billing misrepresentation described here, speak with an attorney about your options separately from this class action.

Related article: Amazon Settled the Teamsters’ Strike Retaliation Case. Here’s What That Means If You Work There.

Your Check Is Automatic — But You Need to Make Sure It Reaches You

Unlike most class action settlements, you do not file anything to get paid. Class members do not need to file a claim to receive their share of the settlement. The settlement administrator will automatically mail a check to each class member’s last known address.

The $3,500,000 settlement fund breaks down as follows: $60,000 for administrative costs, $875,000 for attorneys’ fees and costs, $100,000 total in service awards to the two class representatives ($50,000 each), and $2,465,000 for payments to class members.

Each eligible class member receives an equal share of that $2,465,000. With over 3,000 identified class members, individual payments will likely fall in the range of several hundred dollars, though the final per-person amount depends on how many class members remain after opt-outs.

Class members must cash their checks within 150 days or the administrator will redistribute those funds to class members who did cash their checks. When your check arrives, cash it promptly. If any money remains after all payments and costs, the settlement administrator will donate it equally to Equal Access to Justice Inc. and Roadrunner Food Bank of New Mexico.

One Action Most Families Should Take Right Now

You don’t need to file a claim. But there is one thing worth doing:

Update your mailing address if you’ve moved. Contact the settlement administrator at [email protected] or call 1-877-759-3387. You can also visit the official settlement website at mclartyclassaction.com. The administrator mails checks to the last address on file — if that address is outdated, your payment goes nowhere.

If you want to opt out of the settlement and preserve the right to pursue independent legal action, you must submit a written exclusion request. Contact the administrator for the opt-out process — no deadline has been publicly confirmed yet, so check mclartyclassaction.com regularly for updates.

Estimated time to update your address: Under 5 minutes.

The Timeline From Arrest to Settlement

Milestone	Date
Rosenschein Arrested	November 2016
Presbyterian Ends His Employment	December 31, 2016
Class Action Lawsuit Filed	2020
Class Certified by Court	September 12, 2022
Settlement Preliminary Approval	TBD (confirmed as preliminarily approved)
Opt-Out Deadline	TBD — check mclartyclassaction.com
Objection Deadline	TBD — check mclartyclassaction.com
Final Approval (Fairness) Hearing	July 13, 2026
Expected Payment Date	Within 21 days of final approval

Your Questions Answered

Do I need a lawyer to receive payment from this settlement? 

No. Payment is automatic for qualifying class members. The administrator mails checks based on Presbyterian’s billing records. You only need a lawyer if you want to pursue individual claims outside this settlement — for example, if you believe your child suffered physical or psychological harm that this class action does not address.

Is this settlement legitimate? 

Yes. The case is Eilene McLarty and Ernestine Jaramillo, et al. v. Presbyterian Healthcare Services Inc., Case No. D-101-CV-2020-01566, pending in New Mexico’s First Judicial District Court. Epiq Global administers the settlement. The only authorized website is mclartyclassaction.com. You can also contact the administrator directly at 1-877-759-3387 or [email protected].

When will I receive my payment? 

The administrator will mail checks within 21 days of the court granting final approval and resolving any appeals. The final approval hearing is scheduled for July 13, 2026. If approved without delay, payments could arrive in late summer or fall of 2026. Cash your check within 150 days of receipt.

What if I didn’t receive a notice postcard or email? 

The class is defined as those who both received a bill from Presbyterian and received a notice about the lawsuit. If you believe you should be a class member but did not receive a notice, contact the administrator at [email protected] with your name and former mailing address so they can verify your status in Presbyterian’s billing records.

Will this settlement payment affect my taxes?

 Possibly. This payment compensates for a consumer protection claim — misrepresentation of a doctor’s credentials — rather than for personal physical injury. Payments of this type are generally taxable as ordinary income. If your payment exceeds $600, you may receive a 1099 form. Consult a tax professional about your specific situation.

Does accepting this settlement payment prevent me from filing a separate lawsuit about other harms?

 This is an important question to ask a lawyer before the opt-out deadline passes. This class action and its settlement relate only to Presbyterian’s misrepresentation of Rosenschein’s credentials under consumer protection law. It does not automatically release claims for physical harm, sexual abuse, or other conduct that falls outside those specific allegations. An attorney can review the settlement agreement and advise you on exactly what claims you retain or release by participating.

What if I missed the opt-out deadline? 

If the opt-out deadline has passed and you did not submit a written exclusion request, you will remain in the class and receive an automatic payment. You will also be bound by the settlement’s release of the specific claims it covers. Contact an attorney promptly if you are unsure whether opting out was in your interest.

What is this settlement NOT covering?

 This settlement addresses only the claim that Presbyterian misrepresented Rosenschein’s professional credentials to families who paid for his services. It does not resolve, and is entirely separate from, individual civil lawsuits alleging physical abuse, sexual assault, or psychological harm. Families pursuing those claims are doing so in separate proceedings with their own legal counsel.

Sources & References

• Official Settlement Website: mclartyclassaction.com
• Relman Colfax PLLC Case Page: relmanlaw.com/cases-mclarty-presbyterian-healthcare-consumer-protection
• New Mexico First Judicial District Court, Case No. D-101-CV-2020-01566
• Epiq Global Settlement Administrator: 1-877-759-3387 / [email protected]

Last Updated: April 2, 2026

Disclaimer: This article is for informational purposes only and does not constitute legal advice. Legal claims and outcomes depend on specific facts and applicable law. For advice regarding a particular situation — particularly if you believe your child experienced harm beyond what this class action addresses — consult a qualified attorney.