The nursing home industry has been on a wild ride this past year, with major regulation up in the air and a flip in the White House leaving operators unsure of whether they should applaud or brace for impact. Rhetoric surrounding the federal minimum staffing mandate has changed drastically throughout the year, with leaders condemning […]
Category: Litigation
For-profit nursing home South Jersey Extended Care (SJEC), has been removed from the Medicaid program, after a trio of owners were found to have defrauded the state program out of millions of dollars. All the while, patient care deteriorated and the facility had a one-star rating for a number of years. SJEC demonstrated a pattern […]
Luigi Mangione, the 26-year-old suspect in the killing of UnitedHealthcare CEO Brian Thompson, has family connections to the skilled nursing and senior living sector. Mangione’s grandfather – Nick Mangione Sr. – founded Lorien Health Services, according to multiple news reports published Monday after the suspect was taken into custody. Lorien is not commenting at this […]
In the litigation against the federal nursing home staffing mandate, in which state attorneys general from 20 states are seeking a temporary halt, a federal judge heard oral arguments from both the government and the states on Thursday. The U.S. Department of Justice (DOJ) urged the federal judge to deny the injunctive relief requested by […]
In the latest development related to litigation against the federal nursing home staffing mandate, the U.S. Department of Justice (DOJ) is urging a federal judge to deny the injunctive relief requested by 21 state attorneys general and several providers. The DOJ on Nov. 21 filed a memo with the U.S. District Court for the Northern […]
Aubrey B. Preston has been granted the role of emergency conservator for Forrest Preston, CEO of Tennessee-based nursing home giant Life Care Centers of America. Bradley County Chancery Court Chancellor Jerri Bryant ruled in favor of the conservatorship, which will last 60 days. Aubrey Preston is authorized during this period to take “any and all […]
Joseph Schwartz, the former head of Skyline Healthcare, is again pleading guilty to his involvement in a $38 million employment tax fraud scheme affecting nursing homes across the United States, the Department of Justice (DOJ) announced. Schwartz, who once oversaw a vast network of 95 nursing facilities across 11 states, had previously pleaded guilty in […]
New York nursing home operator Centers Health Care must pay $45 million to settle civil charges related to Medicaid fraud, patient neglect and mistreatment. The office of New York Attorney General Letitia James filed a civil lawsuit against owners Kenneth Rozenberg and Daryl Hagler in 2023 alleging fraud and neglect incidents across several facilities, and […]
An emergency petition on Tuesday was filed to expedite the conservatorship action brought by the son of Life Care Centers of America CEO Forrest Preston, as other executive members cited year-end obligations. Preston’s son, Aubrey B. Preston, should be appointed as his conservator on an emergency basis, executives said, due to the critical and time-sensitive […]
The CEO and sole owner of Life Care Centers of America, Forrest Preston, is facing a conservatorship bid from his son, with the suit raising questions about the future of one of the nation’s largest nursing home providers. Preston’s son, Aubrey B. Preston, is seeking a court intervention in the matter, alleging in an Oct. […]
The Centers for Medicare & Medicaid Services (CMS) overstepped its authority in finalizing the federal nursing home staffing mandate, which “cannot stand” and should be set aside swiftly by a judge. This is the argument that the American Health Care Association, LeadingAge and other plaintiffs made in a Motion for Summary Judgment filed on Oct. […]
The number of states challenging the federal minimum staffing mandate has now grown to 21 states, after 20 states filed a joint lawsuit. As of Tuesday, Iowa’s attorney general was the latest to sue the Biden-Harris administration, challenging the nursing home federal minimum staffing mandate along with Kansas, Virginia, South Carolina, and other mostly Republican-led […]
Pennsylvania bankruptcy court late Monday approved the $53 million sale of nine nursing homes in the state to affiliates of Kadima Healthcare Group, as part of Chapter 11 bankruptcy proceedings for more than a dozen facilities operating under Comprehensive Healthcare Management Solutions. Notably, transaction documents do not transfer assets to any insiders, affiliates, officers or […]
The U.S. Supreme Court’s June decision regarding civil monetary penalties (CMPs), which allows defendants the right to present their case to a federal jury when a federal agency is seeking financial penalties, may seem like a win for nursing homes at first glance. However, many providers are unlikely to pursue this path. The CMP decision […]
The Centers for Medicare & Medicaid Services (CMS) on Friday filed a 75,000-page administrative record for its defense of the nursing home staffing mandate. It’s the first movement from CMS since the American Health Care Association (AHCA) filed a lawsuit challenging the mandate in May. The 75,000 pages were shared via a file-sharing device between […]
Half a dozen nursing homes in New Jersey have filed a lawsuit against the state’s minimum staffing mandate, challenging its constitutionality. They are joined by the Health Care Association of New Jersey, according to a complaint, filed last week. The nursing homes argue that the 2020 law setting minimum staffing requirements is unachievable due to […]
The rising acuity at nursing homes alongside increasingly stringent government regulation, is raising operational risk – and litigation – leaving facilities “overwhelmed” in its wake. As residents increasingly age in place for longer, they are arriving at skilled nursing facilities with more serious health conditions. This trend, combined with regulatory pressures and heightened scrutiny from […]
A resolution to the lawsuit challenging the nursing home federal minimum staffing mandate could be reached as early as January, if the court finalizes a proposed schedule put forth by the American Health Care Association (AHCA), LeadingAge and other industry leaders. If this turns out to be the case, the lawsuit would be resolved more […]
The Centers for Medicare & Medicaid Services’ (CMS) issuance of civil monetary penalties is in the crosshairs of litigators, as increasingly gained enforcement power comes up against a Supreme Court decision. In the Securities and Exchange Commission (SEC) v. Jarkesy case, SCOTUS ruled that defendants have a constitutional right to make their case to a […]
While hopeful that the Supreme Court’s recent Chevron decision will undermine the federal staffing mandate and lead to a more rational regulatory environment, leaders in the nursing home sector also are warning that the ruling could create a period of uncertainty and tumult. Steve LaForte, director of corporate affairs and general counsel for Idaho-based Cascadia […]