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REID COLLINS DEFEATS MOTION TO DISMISS $550 MILLION LAWSUIT AGAINST STERLING PARTNERS

On January 21, 2020, Reid Collins defeated a motion to dismiss its $550 million lawsuit against Sterling Partners on behalf of the Adeptus Litigation Trust. The suit alleges that Sterling and its co-defendants breached their fiduciary duties to Adeptus Health Inc., a former public company and largest owner of free-standing emergency rooms in the country. Specifically, the suit alleges that Sterling forced Adeptus to buy out its position at artificially inflated prices shortly before Adeptus collapsed into bankruptcy. In denying Sterling’s motion, the Delaware Chancery Court described the case as involving “a very sophisticated pump-and-dump scheme . . . carried out by a highly sophisticated investment firm.”
See hearing transcript here.

Prior results do not guarantee a similar outcome.