Physician Hospitals of America and Texas Spine and Joint Hospital Will Appeal Federal Court Judgment Decision

PHA and TSJH to Challenge Several Key Points Including the Justification for Retroactive Interference with Expansion Transactions

Washington, D.C. (April 25, 2011) -  Physician Hospitals of America (PHA) and Texas Spine and Joint Hospital (TSJH) have decided to appeal the adverse summary judgment decision entered by the U.S. District Court for the Eastern District of Texas.

PHA and TSJH will ask the Fifth Court of Appeals to review the lower court’s refusal to apply the Constitution's substantive due process standard or to evaluate fully appellants' equal protection arguments. Appellants will also seek the Fifth Circuit's review of the district court's refusal to hold a trial to determine the contested facts of this case, and the lower court’s determination that Congress’ law was not retroactive in its effect on settled hospital expansion transactions.

"We are eager for the Fifth Circuit's review of Congress' choice to strip from the health care industry one of its highest performing sectors, physician-owned hospitals, by retroactive and arbitrary means,” says Scott Oostdyk lead council, McGuireWoods.  “If our Constitution means anything it is that legislators cannot take the private property of expanding businesses without the due process of law."

"Section 6001 of President Obama's health care law limits patient access to some of the highest quality medical facilities in the country," adds PHA President Dr. Michael Russell.  "The government's own surveys prove Physician Owned Hospitals lead the field in quality outcomes and patient satisfaction."  According to its HCAHPS survey data, physician owned hospitals rank first for patient satisfaction in 20 states.

There are currently 275 physician owned hospitals serving patients in 33 states.  These hospitals include general acute care, long term acute care, emergency medicine, multi-specialty, women’s, children’s, rehabilitation and psychiatric.  

For more information visit:  www.phapulse.org

Contact:

Leslie Fossey

(903) 539‐7712 / leslie@azaleaortho.com

Scott Christiansen

(312) 961-4745 /scott@physicianhospitals.org

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