8 recent hospital lawsuits, settlements

From New York City-based Mount Sinai accused of overstaying a lease, to a New Mexico hospital accused of illegal debt collection practices, here are eight hospital lawsuits making headlines:  

1. Sutter Health settles improper billing allegations for $13M

Sacramento, Calif.-based Sutter Health, and its affiliate Sutter Bay Hospitals, agreed to pay more than $13 million to resolve allegations that they violated the False Claims Act by improperly billing for lab tests.

2. U of Iowa agrees to pay $15M to settle healthcare worker overtime lawsuit

The University of Iowa's Board of Regents agreed to pay $15 million to settle a class-action lawsuit with current and former Hospitals & Clinics employees who alleged managers didn't pay overtime, bonuses or accrued leave as quickly as state and federal laws require.

3. Lawsuit: Former St. Louis hospital CEO owed damages in wake of resignation

The former CEO of South City Hospital in St. Louis claims in a lawsuit that conditions of a separation agreement were not met. Gregory Brentano filed the lawsuit nearly two years after SA Acquisition Group finalized its purchase of the hospital out of bankruptcy. His lawsuit states he resigned in December 2021 and had a separation agreement that included "certain considerations" until August 2022. 

4. New Mexico hospital sued over alleged illegal debt collections

Las Cruces, N.M.-based Mountain View Regional Medical Center is facing a class-action lawsuit alleging the hospital sued hundreds of patients over unpaid medical bills who should have been protected by a state law.

5. Providence hospital settles allegations it failed to accommodate injured worker

Providence Centralia (Wash.) Hospital, part of Renton, Wash.-based Providence, agreed to settle a lawsuit with a former employee who alleged the hospital refused to accommodate limitations caused by an on-the-job injury. 

6. Nationwide Children's withheld pay for meal break even when employees worked, lawsuit alleges 

A phlebotomist accused Nationwide Children's Hospital in Columbus, Ohio, of failure to pay employees overtime wages. The lawsuit alleges that workers were required to have a daily meal break deducted from their hours worked, usually for 30 minutes, but that they often couldn't take a meal break, took a shortened one, or had their meal break interrupted with substantive responsibilities.

7. Mount Sinai faces lawsuit for allegedly overstaying lease

Mount Sinai Health System is facing charges from a landlord who alleges it overstayed its lease. The gastroenterologist who owns the building where Mount Sinai Heart Institute is housed alleges the hospital refused to leave the property in March 2021 when its sublease expired. 

8. John Muir Health sued for allegedly overcharging patients

The law firm Hagens Berman filed a lawsuit against Concord, Calif.-based John Muir Health accusing the health system of "unconscionable" billing practices. The proposed class-action suit alleges the health system charged a patient more than $6,000 for a routine drug screening during an emergency department visit.

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