Locke Lord Obtains Verdict Holding Steward Health Care Not Liable for Failing to Hire Executives in Connection With Acquisition

A Locke Lord team led by Jonathan Young (Boston) obtained a First Circuit opinion upholding the reversal of a prejudicial order against  Steward Health Care System LLC. The Bankruptcy Court had entered the order holding Steward liable for failing to hire certain executives in connection with the acquisition of the Quincy Medical Center. The U.S. District Court for the District of Massachusetts reversed the Bankruptcy Court’s decision for lack of subject matter jurisdiction. On appeal at the First Circuit, the case was argued before a panel that included Chief Judge Jeff Howard, Judge Kermit Lipez and retired Supreme Court Justice David Souter. In an opinion entered on June 2, 2017, the First Circuit affirmed the District Court in all respects.
Posted June 6, 2017