Ontario, Calif.-based Prime Healthcare has filed suit against Philadelphia-based Hudson Hospital Holdco, alleging the for-profit hospital operator used systematic efforts and "political muscle" to block Prime's entry into the New Jersey hospital market, according to a Star-Ledger report.
The lawsuit alleges that Hudson Valley Holdco fueled fierce community and union opposition to Prime. The allegations stem from Prime's bid to buy Saint Mary's Hospital in Passaic, N.J.
Prime contends that Vivek Garipalli, partial owner of Hudson Valley Holdco, told Prime CEO Prem Reddy that New Jersey was his area and vowed to use "political muscle" to dirty Prime's reputation with legislators, unions and other stakeholders, according to the report.
Prime already owns hospitals in California, Nevada, Texas and Pennsylvania, and is strategizing to make a place for itself in New Jersey. Hudson Valley Holdco operates Hoboken (N.J.) Medical Center, Christ Hospital in Jersey City, N.J., and Bayonne (N.J.) Medical Center.
The complaint was filed in Superior Court in Passaic County last week, according to the report.
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The lawsuit alleges that Hudson Valley Holdco fueled fierce community and union opposition to Prime. The allegations stem from Prime's bid to buy Saint Mary's Hospital in Passaic, N.J.
Prime contends that Vivek Garipalli, partial owner of Hudson Valley Holdco, told Prime CEO Prem Reddy that New Jersey was his area and vowed to use "political muscle" to dirty Prime's reputation with legislators, unions and other stakeholders, according to the report.
Prime already owns hospitals in California, Nevada, Texas and Pennsylvania, and is strategizing to make a place for itself in New Jersey. Hudson Valley Holdco operates Hoboken (N.J.) Medical Center, Christ Hospital in Jersey City, N.J., and Bayonne (N.J.) Medical Center.
The complaint was filed in Superior Court in Passaic County last week, according to the report.
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