The trial between the Foundation for Seacoast Health and Hospital Corporation of America began yesterday, as both parties contend for control of Portsmouth (N.H.) Regional Hospital, according to a Seacoast Online report.
Portsmouth Regional is currently owned and operated by HCA. The lawsuit stems from the 1983 sale of the hospital, which created the foundation. A condition of the sale allowed the foundation to buy back the hospital if HCA ever put it up for sale or transfer.
In Dec. 2009, Rockingham County Superior Court Judge Kenneth McHugh ruled that a 1999 organizational change effectively transferred the assets of the hospital to another entity in violation of the agreement. Both parties have gone to trial to find a remedy for that violation and the foundation is also seeking $400,000 in damages that resulted from its inability to repurchase the hospital in 1999.
HCA and FSH made their opening arguments yesterday. The lead attorney for HCA said the chain purchased a failing hospital and rescued it. He also said the community did not suffer any injuries as a result of the breach.
FSH attorney Peter Resnik said HCA ignored and finessed the provisions of the asset purchase agreement. Mr. Resnik also claimed that, after 1999, HCA "sucked money out of the hospital."
Trial between the two parties is expected to take three weeks.
Read the Seacoast Online report on Hospital Corporation of America and Foundation for Seacoast Health.
Related Articles on Portsmouth Regional Hospital:
HCA, Hospital Foundation Head to Court Over Ownership Dispute
HCA's Portsmouth Regional Willing to Settle Ownership Suit Out of Court
Lawsuit Over Ownership of New Hampshire Hospital Moves to Trial
Portsmouth Regional is currently owned and operated by HCA. The lawsuit stems from the 1983 sale of the hospital, which created the foundation. A condition of the sale allowed the foundation to buy back the hospital if HCA ever put it up for sale or transfer.
In Dec. 2009, Rockingham County Superior Court Judge Kenneth McHugh ruled that a 1999 organizational change effectively transferred the assets of the hospital to another entity in violation of the agreement. Both parties have gone to trial to find a remedy for that violation and the foundation is also seeking $400,000 in damages that resulted from its inability to repurchase the hospital in 1999.
HCA and FSH made their opening arguments yesterday. The lead attorney for HCA said the chain purchased a failing hospital and rescued it. He also said the community did not suffer any injuries as a result of the breach.
FSH attorney Peter Resnik said HCA ignored and finessed the provisions of the asset purchase agreement. Mr. Resnik also claimed that, after 1999, HCA "sucked money out of the hospital."
Trial between the two parties is expected to take three weeks.
Read the Seacoast Online report on Hospital Corporation of America and Foundation for Seacoast Health.
Related Articles on Portsmouth Regional Hospital:
HCA, Hospital Foundation Head to Court Over Ownership Dispute
HCA's Portsmouth Regional Willing to Settle Ownership Suit Out of Court
Lawsuit Over Ownership of New Hampshire Hospital Moves to Trial