David M. Levy L’48 Professor of Law Nina Kohn recently spoke with the Denver Post about a Colorado nursing home management company sued by short-term staffing vendors for allegedly failing to pay them. Some of the ownership has changed since the lawsuits.
Nursing homes typically don’t have many discretionary expenses, with most money going toward staffing, said Kohn, an expert on long-term care reform. That makes it particularly important to maintain a reputation for paying on time, because they wouldn’t be able to function if vendors cut them off, she said.
“Even if there is 100% new (ownership) turnover, the reputation may remain,” Kohn said.
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