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On January 9, 2019, California Attorney General Xavier Becerra filed a motion with the U.S. Bankruptcy Court for the Central District of California – Los Angeles Division (the “Court”), requesting that the court stay its December 27th Sale Order, which approved Santa Clara County’s $235 million bid to purchase two hospitals from Verity Health System of California (“Verity”).[1] The Sale Order authorized Santa Clara County’s (the “County”) acquisition of O’Connor Hospital in San Jose and St. Louise Regional Hospital in Gilroy (including the DePaul Health Center in Morgan Hill) as part of Verity’s ongoing Chapter 11 Bankruptcy reorganization.[2]
Continue Reading California AG Aims to Block County’s Purchase of Two San Jose-Area Hospitals