Unexpected closure of North Carolina hospital spurs legal dispute

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The bitter legal battle over the unexpected closure of Yadkin Valley Hospital in Yadkinville, N.C., is heating up.

Following the closure of Yadkin Valley Hospital on May 22, the Yadkin County Board of Commissioners sued the hospital's for-profit manager, its parent company and its local operational unit. The for-profit manager filed a countersuit in November, and Yadkin County officials have now denied those claims, according to a Winston-Salem Journal report.  

CAH Acquisition and its parent company Rural Community Hospitals of America filed their countersuit Nov. 27. The countersuit includes breach of contract and unfair trade practices claims. The two organizations also claim Hugh Chatham Memorial Hospital in Elkin, N.C., and the hospital's manager interfered with CAH Acquisition and RCHA's contract with the county, as Yadkin officials have been in negotiations with Hugh Chatham Memorial about reopening Yadkin Valley Hospital.

The county's attorney, Edward Powell, said the counterclaims "have absolutely no basis in law or fact," according to the report.

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