Walker County, Ga., Appeals Ruling That It Pay Erlanger over $8 Million On Hutcheson Debt

  • Wednesday, August 24, 2016

Walker County has filed a notice of appeal to the 11th Circuit Court of Appeals on the ruling by Federal Judge Harold Murphy that the county pay Erlanger Health System over $8 million related to the Hutcheson Hospital bankruptcy.

Attorney Stuart James said, "In filing the notice of appeal, Walker County is questioning the ruling given by Judge Murphy granting summary judgment in Erlanger Hospital’s favor. Walker County believes that there are several issues that need to be addressed in the appellate courts ranging from the validity of the intergovernmental agreement to issues of sovereign immunity. The appeal will address all of those issues, and I have been given instruction to exhaust appellate remedies in his representation of the taxpayers of Walker County.

"Walker County firmly believes that Judge Murphy has made an incorrect analysis of the law in granting the summary judgment and in not dismissing the earlier claims on sovereign immunity grounds. The Georgia Constitution is fairly strict on both fronts and limits what governmental entities can do in entering contracts.  The Constitution also limits lawsuits against Georgia governmental entities such as Walker County. Our firm has been instructed to file an appeal with the 11th Circuit Court of Appeals and to also ask the 11th Circuit Court of Appeals to send these important questions to the Georgia Supreme Court for analysis under Georgia law.

"We are in a situation where we have to exhaust our appellate remedies barring any further settlement negotiations with Erlanger to resolve the issues of great legal importance. My door is always open to settlement of any claim and any settlement proposal will be passed onto our firm’s client.

"Erlanger has shown an unwillingness to settle, and has made misrepresentations in response to open records request made to it showing a pattern of conduct resulting in large expenses relating to the litigation of the Hutcheson issues. I do not expect Erlanger to be willing to discuss settlement. Therefore, I think it is imperative to have these important legal issues answered. The issues impact every county and city government in the state of Georgia.  The issues we raise will be of such a nature that either the 11th Circuit Court of Appeals or the Georgia Supreme Court should address them providing clarity in the law.

"I can assure the taxpayers of Walker County that we will use our best efforts to have these important legal questions answered.  All of the questions we raise will ultimately be resolved either by the 11th Circuit Court of Appeals or the Georgia Supreme Court. We are working diligently to make sure we protect the taxpayers interest by exhausting their rights on legitimate issues of concern as allowed by the law."

 

 

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