Resilience Healthcare, the operator of two Chicago-area hospitals that closed in August 2025 and March 2026, respectively, has filed a lawsuit against the hospitals’ landlord over eviction notices that Resilience alleges violated terms of the lease.
Meanwhile, one of the hospitals, West Suburban Medical Center in Oak Park, Ill., has begun reopening.
Five things to know:
1. Resilience Healthcare, which operates Weiss Memorial Hospital in Chicago and West Suburban Medical Center, filed a complaint for declaratory judgment April 14 in the Circuit Court of Cook County, Ill., against its landlord, Ramco Healthcare Holdings.
2. West Suburban Medical Center closed March 27 due to payroll challenges tied to a failed EMR system transition. The hospital is resuming hospital-based clinic and testing services beginning April 15, marking the first step in reopening, a hospital spokesperson said in a statement shared with Becker’s.
The hospital-based clinic will initially offer primary care, followed by some specialty visits and testing services. Some staff are returning from furlough, with additional staff expected to return as patient volume increases. Emergency department and inpatient services remain suspended.
Its sister hospital, Weiss Memorial Hospital closed Aug. 8 amid CMS’ plan to terminate the facility’s Medicare program participation.
3. The lawsuit stems from a split ownership structure wherein Ramco Healthcare Holdings owns the hospitals’ real estate and Resilience Healthcare operates the facilities. The complaint alleges Ramco Healthcare Holdings and its owner, Rathnakar Patlola, engaged in a pattern of conduct aimed at forcing out hospital management for financial gain.
Specifically, the hospitals allege the landlord failed to maintain key infrastructure, including HVAC systems and elevators, demanded rent despite the hospitals’ financial distress and refused to engage in required good-faith negotiations.
4. According to the complaint, in late February Mr. Patlola demanded roughly $500,000 per month in rent and immediate payment of property taxes. On April 9, Ramco issued eviction notices demanding millions of dollars within five days, according to the filing.
The complaint alleges the eviction notices are invalid under the lease agreement, which requires a 90-day notice and cure period, and further states the landlord cannot unilaterally terminate the lease under any circumstances, including default.
5. The lawsuit seeks a declaratory judgment that the eviction notices are invalid, affirmation of the hospitals’ lease rights and to prevent Ramco from removing Resilience as operator. A hearing in the case is scheduled for June 15.
“We said from the beginning that this eviction notice was without merit,” Resilience Healthcare CEO Manoj Prasad, MD, PhD, said in an April 14 statement shared with Becker’s. “Today’s filing shows that Mr. Patlola signed a lease that explicitly prevents him from doing what he is now attempting to do. Our focus remains on reopening this hospital for the community that depends on it.”
Becker’s has reached out to Mr. Patola and will update this story if more information becomes available.
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.