Central California Hospital Medicine Group filed the lawsuit Dec. 23, claiming St. Agnes’ new contract with national physician staffing firm Vituity will cause it to go out of business, and violates MediCal and unfair competition laws, The Fresno Bee reported Jan. 6.
“While Saint Agnes does not comment on pending litigation, Saint Agnes has experienced a seamless transition of hospitalist physician services to Vituity, a well-known and highly-regarded physician group, without any disruption or elimination of services,” a hospital spokesperson said in a statement to Becker’s. “Vituity has had a long-standing relationship with Saint Agnes in the emergency department,” the statement said, adding all hospitalists are welcome to join Vituity and continue their practice.
CCHMG includes 12 hospitalists who provide care for their patients at St. Agnes. Two independent physicians not affiliated with the medical group also joined the lawsuit. The physicians are seeking a preliminary injunction to block the hospital from entering the contract with Vituity, which went into effect Dec. 29, until a final judgment is made. A hearing to review the request is set for Jan. 29.
Since the contract went into effect, CCHMG has been able to see existing patients at the hospital but is no longer permitted to see new patients, Armen Bedrosian, MD, the group’s CFO, told the Bee.
In court filings, attorneys for the hospital said the shift was prompted by patient safety issues and increased regulatory scrutiny.
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