Banner Health System, Phoenix, agreed to pay North Dakota $1 million to settle a lawsuit over Banner's 2002 sale of a hospital and five nursing homes in the state. North Dakota had sued over proceeds of the sale of the not-for-profit facilities, claiming their assets belonged in the communities that had supported them. Banner won a state court ruling dismissing the lawsuit, but North Dakota appealed. The state said it would use the settlement for healthcare or related purposes. South Dakota and New Mexico also challenged Banner over the sale of not-for-profit healthcare facilities. The system reached an $8.5 million deal with New Mexico. The South Dakota case is pending. -- by Patrick Reilly
Banner, N.D. settle suit over 2002 facilities sale
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