GRETNA – A home health care company is suing the former owners of a competing company they purchased claiming they maintained a separate bank account and continued to derive income from the business after the sale.
Stat Home Health of Northwest Louisiana LLC filed suit against Classic Care of Baton Rouge Inc., Supra Home Health Care and Larry Butler in the 24th Judicial District Court on Nov. 12.
Stat Home Health of Northwest Louisiana alleges they entered into an agreement with Classic Care of Baton Rouge Inc., Supra Home Health Care and Larry Butler to purchase Supra Home Health Care in Shreveport. The plaintiff contends that Butler executed the agreement on behalf of the other defendants. However, Stat Home Health of Northwest Louisiana asserts that after the purchase they found that reimbursements from governmental services and insurers for Supra’s services were being paid to an outside bank account that was not transferred at the time of the sale. In addition, the plaintiffs claim they were subjected to recoupment of funds from Supra for activities they were involved in before the purchase.
The defendant is accused of breach of contract, enrichment without cause, fraud, theft, failing to transfer all of its bank accounts, breach of representation that the bank accounts transferred in the sale was the sole operations account and failing to reimburse the plaintiff for funds recouped for actions prior to the closing date of the sale.
An unspecified amount in damages is sought by the plaintiff.
Stat Home Health of Northwest Louisiana is represented by attorney Geoffrey C. Northland of Baton Rouge.
The case has been assigned to Division P Judge Lee V. Faulkner Jr.
Case no. 744-194.