Failed Health Care Purchase Leaves Nonprofit in Dire Straits
Nossaman Partner Richard Spohn was quoted in the Daily Journal article, "Failed Health Care Purachase Leaves Nonprofit in Dire Straits," regarding Prime Healthcare Service's decision to pass on buying the Daughters of Charity Health System.
According to the article, the $843 million acquisition fell apart after Attorney General Kamala Harris tacked hundreds of stipulations onto the deal which proved to be overly burdensome according to Prime's general counsel, Troy Schell.
Mr. Spohn said Harris' list of stipulations actually went "beyond" what Prime and the DCHS had negotiated during the acquisition process and with thousands of people relying on these hospitals, the prospect of not finding a buyer is especially worrisome.
"Suppose you can't find a buyer," he said. "When you have six safety-net hospitals as impaired as this, that's a health care crisis."