The former chief quality and value officer of Lebanon, N.H.-based Dartmouth Health has filed a lawsuit claiming she was fired in retaliation for raising supply chain safety concerns.
Seven things to know:
1. Carol Barsky, MD, filed the lawsuit April 3 against Dartmouth-Hitchcock Medical Center, Dartmouth-Hitchcock Clinic, Mary Hitchcock Memorial Hospital and Dartmouth-Hitchcock Health in the U.S. District Court for the District of New Hampshire, according to court documents reviewed by Becker’s.
2. Dr. Barsky, an emergency physician who was hired as chief quality and value officer in 2021 and fired in January, is seeking damages and other relief for alleged unlawful and retaliatory termination, according to the complaint. Dartmouth Health had not filed a formal response in court as of publication.
3. A Dartmouth Health spokesperson shared the following statement with Becker’s on April 13:
“Dartmouth Health is committed to maintaining a fair, respectful, and compliant workplace for all employees, and we follow established policies and applicable laws in all our employment decisions,” the spokesperson said. “As with any active litigation, and to protect the privacy of those involved, we will not comment further at this time but will pursue our available legal options.”
4. In January 2025, Dartmouth Health’s board asked President and CEO Joanne Conroy, MD, to have Dr. Barsky investigate whether any patients or staff had been harmed by defective products in the system’s supply chain. Dr. Barsky learned the system was notified in 2024 about potential irregularities and conflicts of interest in the supply chain department, according to the lawsuit.
She determined that large quantities of medical supplies procured by the system’s former vice president for purchasing and supply chain were purchased on the “gray” market and likely not safe for clinical use. The gray market refers to a space between the white market — the legal, official or authorized market for goods and services — and the black market — illicit channels to exchange goods and avoid government sanctions. The complaint notes that while many health systems purchased gray market products during the pandemic, the practice was widely abandoned once shortages eased.
The complaint also alleges the investigation raised concerns about the COO’s oversight failures, which contributed to his eventual resignation, and that Dr. Conroy — a close personal friend of the COO who had recruited him to Dartmouth Health — then began what the complaint describes as retaliation against Dr. Barsky.
5. Dr. Barsky presented her preliminary findings and mitigation plan to the board in February 2025, including sequestration of all products from gray-market vendors pending testing and implementation of stronger internal processes. The complaint alleges that before the meeting, Dr. Conroy and the COO made edits to Dr. Barsky’s materials that downplayed safety risks. She was asked to make a report to the full board in April 2025, during which Dr. Conroy allegedly interrupted and contradicted her.
6. The complaint alleges Dr. Conroy excluded Dr. Barsky from critical meetings, opportunities and decisions throughout 2025. Dr. Conroy verbally terminated Dr. Barsky on Jan. 20, 2026, citing a comment Dr. Barsky allegedly made to a colleague on Jan. 8 that Dartmouth Health contends violated its Disruptive Behavior Policy and Code of Conduct. The complaint characterizes the stated reason as pretextual, alleging the termination decision was made before anyone spoke with Dr. Barsky about whether the conversation had occurred or sought her perspective. Written notice of termination followed Feb. 9.
7. Dr. Barsky is bringing three counts against Dartmouth Health: wrongful termination in violation of public policy, violation of the New Hampshire Whistleblower Protection Act and violation of the anti-retaliation provision of the federal False Claims Act. The complaint also includes allegations of discriminatory comments and treatment based on religion throughout her tenure, cited as context for the wrongful termination claim. She is seeking back pay, future lost wages, harm to reputation, punitive and enhanced damages, reinstatement, equitable and injunctive relief, interest and attorney’s fees and costs.
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