Barton sues Carson Valley Medical Group over Gardnerville center
GARDNERVILLE – The owners of the Carson Valley Medical Center are suing its operators, claiming they breached a management agreement and now owe more than $500,000.
Barton Memorial Hospital, its Management Services Organization Inc. and the Barton Memorial Nevada Medical Clinic, which own the medical center, named the Carson Valley Medical Group in the suit, filed last week in Douglas District Court.
The suit says the Medical Group and the Barton groups had a management services agreement under which Barton would provide billing, collection and other services for the Medical Group, which operates from the complex at 1107 Highway 395.
Barton paid for various items and services on behalf of the Medical Group, the lawsuit says, and in exchange was to get 50 percent of the Medical Group’s net income.
The Medical Group pulled out of the agreement Dec. 31, 1995, and at that time, the suit claims, Barton was to get half of all money collected for work in progress, as well as work performed prior to the termination of the agreement.
Barton alleges the Medical Group breached the contract by failing to pay those amounts, totaling $383,806.95.
A second claim says Barton also handled purchase of inventory and payment of expenses, but has not been paid and is owed $62,470.56.
Other sums Barton claims the Medical Group owes it are:
— $7,211.97 for capital and non-capital equipment and phone switch charges;
— $47,953.41 that Barton says it advanced the medical group to help meet other obligations;
— $2,472.88 in rent for the medical center;
— $36,535.60 for radiology and pharmacy services Barton says it provided.
Barton also says the Medical Group is withholding accounting records that show what payments were made to doctors from money collected.
Barton says it is owed a total of $540,451.37. It is seeking general and special damages in excess of $10,000, plus attorneys’ fees.
Barton built the medical center, which initially opened late in 1993. A major expansion was completed in May 1996, giving the facility 60,000 square feet of space and a 24-hour emergency room and a surgical center.
The medical center is the largest in Douglas County. Carson-Tahoe Hospital is planning its own complex north of Minden, which is expected to open in the summer of 1998.
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