Dive Brief:

UHS of Delaware, a fully-owned subsidiary of Universal Health Services, and Pinnacle Management Group NV will pay approximately $4.7 million, after a court found the companies had interfered with Prime Healthcare physicians’ contracts.

Saint Mary’s Health Network, an affiliate of Prime Healthcare, alleged UHS of Delaware acted improperly by soliciting physicians and senior leaders from the health system and encouraging them to breach contracts in order to leave.

The total fallout for UHS is still an open question. The court ordered UHS of Delaware to pay $500 million in punitive damages, however, the system plans to challenge the verdict and damages on appeal. If such challenges are unsuccessful, the judgment could have a “material adverse effect on the financial condition

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