Lawsuit: Hudson Hospital Holdco Built Community Opposition to Prime Healthcare in N.J.

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.

Advertisement

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.

More Articles on Hospital Lawsuits:

Excela Health Hasn’t Discussed Settlements for 115 Overstenting Lawsuits, Lawyers Say
FTC Begins Process to Split Merged Georgia Hospitals
Nurse Files Suit Against South Jersey Healthcare Over Overtime Pay

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Advertisement

Next Up in Legal & Regulatory Issues

Advertisement

Comments are closed.