Healthcare investment banker Cain Brothers recently filed a lawsuit against DeKalb Medical Center in Decatur, Ga., claiming the hospital owes more than $4.7 million in financial advisory fees associated with the hospital's merger with Atlanta-based Emory Healthcare, according to Law.com.
In its breach of contract lawsuit, Cain Brothers alleges it sent a bill to DeKalb Medical Center in August. The hospital, which was renamed Emory Decatur Hospital after the merger was finalized in September, allegedly sent Cain Brothers a check for less than half the amount due. The hospital also allegedly sent a document stating that negotiating the check would constitute payment in full and release the hospital from future liability resulting from the fee agreement, according to the report.
Cain Brothers returned the uncashed check to the hospital and has not been paid since, according to the complaint. The investment bank is seeking the unpaid financial advisory fees and reimbursement for legal expenses and fees.
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