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American Healthcare Ex-CEO Must Release $5.2 Million Escrow

Nov. 21, 2022, 7:55 PM

A pharmacy benefits manger’s former CEO had no discretion to hold on to $5.2 million, which had been placed in escrow by the company’s buyer, after all the conditions for releasing the hold were satisfied, a Delaware court said.

The Delaware Chancery Court ordered Lee Aizen to turn the money over to American Healthcare Administrative Services Inc. and its shareholders, Grover Lee and Christine Schaffer. Keeping the money on hold as a source for recovering funds Aizen said he’s owed under a termination agreement wasn’t consistent with the purpose of the sales contract, the court said.

Lee and Schaffer founded ...