Stuart James, special counsel to Walker County in its litigation with Erlanger Health System, said the county "will not be intimidated."
He noted a recent email sent from Edward A. Marshall, counsel to Erlanger, to Tom Weldon, counsel for the Dade, Catoosa and Walker County Hospital Authority. In the April 15 email attorney Marshall notes the hospital may pursue civil action against individual board members of the Dade, Catoosa and Walker County Hospital Authority in the amount of $36 million if they refuse to accept the settlement terms offered by Erlanger.
Attorney James said, "Those settlement demands reportedly include a requirement that the Authority members execute documentation which will help Erlanger avoid the sovereign immunity issues raised and other defenses to Erlanger’s lawsuit."
“Erlanger is becoming understandably impatient,” said attorney Marshall in the email.
Attorney James said, “It’s very unfortunate that this issue has been clouded by yet another volley from Erlanger. Both Commissioner Heiskell and I are confident that the law will be followed in this entire matter and look forward to doing what is in the best interests for the health and well-being of the citizenry of North Georgia which is Commissioner Heiskell’s goal. We are not going to be intimidated by what ‘might’ happen. We are going to move forward thoughtfully and purposefully as this matter is heard by the court.”
He said, "Erlanger’s’ threats against the authority board members began shortly after HMC’s bankruptcy trustee refused to renew the board's E&O Coverage, leaving the board members in the position of self funding any such frivolous suit by Erlanger.
"Weldon, in turn, is trying to schedule a hearing to lift a stay that would allow the hospital authority to transfer property to him for the purposes of receiving payment. Erlanger’s threat of suit to the individual board members is based on an alleged improper transfer of property which if permitted, would constitute an intentional act giving rise to a potential new frivolous Erlanger claim.
“We understand the quagmire Attorney Weldon is in on this issue; however, when he accepted this appointment, he knew the challenges he would be facing. This issue is too important for such actions to complicate and jeopardize the federal court proceedings which will decide the issues anyway.”
“Commissioner Heiskell and I remain optimistic that this very complicated matter will continue to stay on a track that will result in the best of outcomes for the citizens of North Georgia.”
Erlanger officials said, “Erlanger has been and remains committed to exhausting any and all remedies available to it in order to collect on this $36,000,000 judgment.”