United Health Services say it plans to appeal after a Washoe County jury awarded Saint Mary's Health Network over $510 million, including punitive damages.
Saint Mary's filed a complaint back in 2021 alleging that during the height of the pandemic, UHS of Delaware actively recruited their primary care physicians and staff members enticing them to break their contracts.
Lawyers for Saint Mary's described it as the orchestration of a mass resignation event that disrupted patient care and relationships.
The verdict includes a $500-million verdict against UHS and smaller judgments against Pinnacle Medical Group Northern Nevada and staff members who violated their contracts.
Jurors unanimously found that UHS:
- Illegally solicit Saint Mary’s physicians and employees
- Orchestrate a mass resignation event
- Breach contracts and duties of loyalty to Saint Mary’s
- Disrupt patient care and relationships
“This verdict delivers a resounding message for all of healthcare: integrity and compassion must guide every decision we make," says Sunny Bhatia, M.D., President of Prime Healthcare.
Universal Health Services, Inc. (UHS) released this statement:
UHS of Delaware, Pinnacle Medical Group and the other named defendants strongly disagree with the jury’s verdict in this matter. We believe the evidence presented in this case demonstrated that the actions of the defendants did not violate any laws, nor warrant this verdict. These physicians and advanced practice providers chose on their own volition to leave St. Mary’s Medical Group and to form a new practice to benefit themselves and their patients. In our opinion, this case is and has always been a business dispute relating to providers’ ability to move to a new employer. The jury’s verdict on compensatory damages was $4.6 million. The punitive damages awarded are inconsistent with Nevada Statute and should be reduced to a maximum of approximately $14 million and possibly less based upon recent Nevada Supreme Court precedent. Notwithstanding, we intend to appeal this undeserved verdict.
