Arizona hospital fires back at physician staffing company with lawsuit

Santa Cruz Valley Regional Hospital in Green Valley, Ariz., has filed a counterclaim against Global Hospitalist Solutions after the Memphis, Tenn.-based physician staffing company sued the hospital for more than $1.9 million, according to Green Valley News.

Five things to know:

1. Santa Cruz Valley Regional Hospital entered into contracts with Global Hospitalist Solutions in 2018. In its lawsuit, GHS alleges the hospital fell behind on its payments. When the physician staffing company notified the hospital's CEO of the overdue payment, the hospital allegedly terminated its contracts with GHS "without cause."

2. The termination agreement called for the contracts to end Jan. 31. However, the hospital allegedly continued to fall behind on payments, and GHS terminated the agreement Dec. 31.

3. The hospital recently filed a counterclaim against GHS, alleging the physician staffing group breached its contract with the hospital, failed to act in good faith and interfered with the hospital's business relations, according to Green Valley News.

4. The hospital alleges that it was often unable to bill patients for services provided by GHS physicians because the physicians left many patient files incomplete and unsigned. The hospital also raised concerns about the quality of services provided by GHS.

GHS "caused the hospital substantial reputational harm, lost and diverted business opportunities and the inability to bill and collect for services rendered," the hospital's counterclaim states, according to the report.

5. In a response to the hospital's counterclaim, an attorney representing GHS denied the allegations brought by the hospital.

Access the full Green Valley News article here.

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