Million Dollar Verdict Against Nursing Home Sends Shock Waves Through Industry

Associated Press reports that Orange County-based Skilled Healthcare faces a $677 million verdict, sending shock waves through the industry and rekindling calls for tort reform.

The verdict as it stands is already thought to be the largest in the country this year and its ramifications are still being sorted out weeks after the jury surprised even the plantiffs’ lawyers with the size of their verdict. Tort reformers have seized on the verdict as the latest example of litigation abuse.

The company’s stock price has plunged on fears it will have to file bankruptcy. A class-action lawsuit representing 32,000 patients that blamed the nursing home staff shortage  — echoing a common complaint across the country that for-profit nursing homes are too concerned with the bottom line

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