RCT FILES SUIT SEEKING OVER $500 MILLION FROM STERLING PARTNERS ON BEHALF OF THE ADEPTUS LITIGATION TRUST
On May 17, 2019, RCT filed suit in the Delaware Court of Chancery against entities and individuals affiliated with Chicago-based private equity firm Sterling Partners on behalf of the Adeptus Litigation Trust. The suit alleges breach of fiduciary duty of loyalty that Sterling Partners owed as a controlling stockholder, unjust enrichment, and aiding and abetting breaches of fiduciary duty. The Adeptus Litigation Trust is the successor-in-interest to Adeptus Health, Inc. (“Adeptus”), a publicly traded operator of free-standing emergency rooms that filed for bankruptcy in April 2017. The suit alleges that, not long before Adeptus’s bankruptcy, Sterling Partners obtained $566.5 million in connection with offerings of Adeptus stock and Adeptus’s purchase of limited liability company units from Sterling in self-dealing transactions, constituting a windfall. Certain former Adeptus officers and directors are also named as defendants in the suit.
Read complaint here.
Prior results do not guarantee a similar outcome.