Skilled Healthcare Agrees to $50 Million Settlement in Nursing Home Staffing Case

Sept. 10, 2010, 4:00 AM UTC

SAN FRANCISCO—A California judge Sept. 10 granted preliminary approval to a $50 million settlement with Skilled Healthcare Group Inc., which was facing a $676.8 million state jury verdict for failing to adequately staff 22 California facilities (Lavender v. Skilled Healthcare Grp. Inc.).

Some 32,000 residents of care facilities and their families in 2006 sued the Foothill Ranch, Calif.-based company, which operates nursing homes in seven states, alleging violations of California’s nursing staffing law and unfair competition law. The Humboldt County district attorney intervened later in 2006.

A Humboldt County Superior Court jury on July 6 returned a verdict ...

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