The Law Office of Jason Ingber represents a California-based healthcare property owner in a complex legal dispute involving a long-term care facility operator accused of unlicensed operations, breach of contract, and fraudulent conduct.
The case, filed in Los Angeles County Superior Court, centers on the transfer and operation of a skilled nursing facility under a series of agreements that the plaintiff alleges were unlawful, void, and contrary to public policy.
Unlicensed Operation and Breach of Agreement
According to court filings, the facility operator took control of day-to-day management and revenues of a skilled nursing facility under several agreements, including a Management and Operations Transfer Agreement and Interim Sublease Agreement.
However, the operator allegedly failed to obtain proper state licensure, continuing to run the facility unlawfully for years while profiting from its operations. The property owner contends that these agreements are unenforceable because they facilitated and concealed the unlicensed management of a healthcare facility, an act strictly prohibited under California law.
Defenses Against Cross-Claims
In response to cross-claims filed by the operator, the plaintiff’s answer categorically denies all allegations of wrongdoing and asserts multiple defenses, including:
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Illegality of Contract: The agreements were void because they enabled unlawful operation of a healthcare facility without licensure.
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Fraud and Concealment: The operator allegedly concealed critical information about revoked professional licenses, regulatory denials, and prior violations.
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Unclean Hands and Unjust Enrichment: The operator retained millions of dollars in facility profits despite noncompliance with licensing laws.
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Failure of Consideration and Breach: The operator failed to meet regulatory obligations, rendering the agreements unenforceable.
The filing further argues that any alleged payments or obligations owed to the operator are offset by the substantial revenues they collected during their control of the facility, revenues that allegedly exceed $5 million.
Broader Implications for Healthcare Operations
This case underscores the importance of compliance in healthcare transactions, particularly those involving skilled nursing or long-term care facilities.
Under California law, it is illegal for an unlicensed entity to operate a facility or share in its profits. Agreements that attempt to circumvent these regulations are considered void and unenforceable.
The Law Office of Jason Ingber is pursuing rescission of the unlawful agreements, restitution of wrongfully retained funds, and damages for conversion and breach of contract.
Protecting Integrity in Healthcare Business Practices
At the Law Office of Jason Ingber, we handle complex disputes involving healthcare operations, regulatory compliance, fraud, and business misconduct. Our firm is dedicated to protecting the integrity of California’s healthcare system and ensuring that property owners and investors are not exploited through unlawful agreements or unlicensed operators.
Contact The Law Office of Jason Ingber
If you are involved in a healthcare business dispute or suspect an operator is unlawfully managing a facility, contact us today for a free consultation.
Our attorneys can review your agreements, evaluate regulatory compliance, and take decisive action to protect your interests.
We work on a contingency fee and hybrid basis, meaning you pay nothing unless we recover compensation for you.