University Medical Center of El Paso (Texas) and El Paso Children's Hospital have failed to resolve their conflict over outstanding debt through mediation, and now their fight is headed to court, according to an El Paso Times report.
The two organizations are involved in a multimillion-dollar dispute concerning El Paso Children's Hospital's debt. The hospital filed for bankruptcy in May, and UMC is by far the hospital's largest creditor and has a lien on the bankrupt hospital, according to a KVIA report.
UMC claims El Paso Children's Hospital owes it more than $100 million. However, administrators from El Paso Children's Hospital disagree and argue that amount is inflated, according to KVIA.
The two organizations have tried to reach an agreement through mediation on three separate occasions, and all three attempts failed.
After the parties most-recent mediation ended without an agreement, El Paso Children's Hospital CEO Mark Herbers issued a statement saying, "We will now proceed with litigation to resolve these matters in court," according to the report.
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