A Circuit Court Places 32 Wisconsin and 1 Michigan Home In Receivership to Protect Residents
Atrium Health and Senior Living, a company based in Little Falls, NJ, said it has reached an agreement with its lender to have Michael Polsky of Beck, Chaet, Bamberger & Polsky S.C. in Milwaukee placed as receiver of the facilities. The decision was put in place by the Circuit Court of Wood County.
The purpose of the receivership is to enable residents of the nursing homes and assisted living centers to continue to receive care and for the companies to continue to pay employees and vendors. These facilities consist of 23 nursing homes and nine assisted-living centers, mostly located in central and northern Wisconsin. Also included is one nursing home in Michigan. A receivership is a state-court proceeding similar to bankruptcy
Attorney Michael Polsky said in a statement, ““Our main focus at this time is to stabilize the company and ensure that residents continue to receive seamless quality care in the centers from the staff they have come to know.” Concerning the company’s employees and suppliers he added, “This plan also helps ensure that all payroll and benefits are provided to employees and that vendors are paid for ongoing services on a timely basis.”
To keep the homes running for the benefit of the residents, Polsky hired Health Dimensions Consulting Inc., which does business as Health Dimensions Group, as operations consultant. Health Dimensions Group is a Minneapolis company which does ‘consulting and management with expertise in post-acute, long-term care and senior living’.
Are Financially Failing Assisted Living Communities Becoming A Trend?
It is interesting to note that last year in another case of an Assisted Living company going bust, Polsky was appointed receiver for a different set of 65 nursing homes and assisted-living centers. These included 28 facilities in Wisconsin, previously managed by Fortis Management Holdings that were placed in receivership because the operating company could no longer pay its bills. In 2017 Fortis Management Group reached an agreement with its landlords to have a receiver oversee the company’s operations until management could be transferred to new operators.
Whether these two failed businesses specializing in the operation of Assisted Living communities and Nursing Homes represents a trend may not necessarily be the case, it does demonstrate the importance of carefully researching and maintaining awareness of a company’s soundness when you or a loved one is a part of that community. After all, the ability of a company to pay its staff, purchase supplies and maintain its buildings is what it’s all about when it comes to your loved ones health, safety and happiness.
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