Pro Bono: Assessing Medical Liability Risks in Correctional Healthcare Bankruptcy
In the Chapter 11 bankruptcy proceedings of Wellpath Holdings, Inc., the largest provider of correctional healthcare services in the US, Brattle was engaged by Willey Law Firm – working alongside Public Interest Experts and Worth Rises on behalf of certain tort claimants – to assess the company’s proposed reorganization plan. Brattle Principals David McKnight and Edmond Esses authored expert reports challenging the feasibility of the company’s proposed plan of reorganization and spotlighting the significant costs of inadequate medical care.
In a filing objecting to plan confirmation, the claimants relied on Mr. McKnight and Mr. Esses’s analyses to argue that Wellpath had underestimated its future medical malpractice liabilities, and that – without operational reforms – the reorganized company would be unable to meet its long-term obligations if faced with adverse developments.
Brattle’s analysis helped secure $6.7 million in additional funding for healthcare worker training – a direct investment in improving care for incarcerated patients. In addition, the debtors incorporated testimony at the confirmation hearing that acknowledged the concerns raised by the claimants and outlined a path forward to address care quality.
