Claims Against Signify Health Over Caravan Merger Get Trimmed

A Delaware court on Thursday narrowed claims against Signify Health Inc. over its $250 million acquisition of Caravan Health Inc.

Vice Chancellor Nathan A. Cook dismissed a breach of contract claim alleging Signify rushed to integrate Caravan’s workforce after deal closed in December 2021 in order to avoid making $50 million in post-deal payments. The former Caravan investors’ interpretation of the merger agreement is “not reasonably conceivable” to support that claim, Cook said in a bench ruling delivered by teleconference.

He agreed with Signify’s argument that the investors had failed to allege that it had changed anything about the corporate ...