Thursday, Nov. 19, 2009

Dispute with Jefferson County Memorial Hospital leads to lawsuit

by Kenneth Lassiter

A Wichita company has filed a civil lawsuit in county district court against Jefferson County Memorial Hospital alleging non-payment, but hospital CEO LaMont Cook said the suit doesn’t point to any financial hardships at the Winchester medical facility.

Cascade Health Services LLC of Wichita filed the lawsuit Nov. 5 through attorney John Gilliford Jr. of Overland Park. The lawsuit states the two parties had a contract for medical staffing services for elderly clients between May 2008 and October 2009. The services came at an hourly rate agreed to by both parties, and the outstanding invoice from Cascade amounted to $27,927.96 plus “penalties and interest.”

Cascade states it has performed all its obligations and asked the court to grant them the money owed from the hospital plus penalties and interest, costs and expenses and other relief as deemed “just and proper.” Cascade also is alleging the hospital failed to properly terminate the contract between the parties.

Cook had little comment on the case as it is a legal matter. He said the situation points more to a problem with a vendor rather than any financial difficulties at the hospital.

“We had been paying them,” Cook said. He added that there were a combination of concerns with Cascade that led to the situation. “There is nothing out of the ordinary (about the hospital’s financial situation).”