Acadia Settles Investor Suit Over Care Quality, Avoiding Trial

Acadia Healthcare Co. Inc. agreed to settle an investor class action alleging the behavioral health-care provider misrepresented its patient care, among other issues, as the case had been teed up for trial.

The shareholders leading the class told the US District Court for the Middle District of Tennessee they reached a settlement in principle. The agreement came several weeks after Chief Judge William L. Campbell Jr. denied Acadia’s bid to skirt a trial after seven years of litigation over whether the health-care company misled investors about issues including staffing levels, US regulatory compliance, and the financial performance of its United ...