A federal appeals court affirmed a $101.6 million judgment that Ventas, Chicago, won in a lawsuit against fellow healthcare real estate investment trust, HCP, Long Beach, Calif., and also opened the door to potential punitive damages, according to the ruling (PDF).
Appeals court upholds judgment against HCP
Ventas had sued HCP in U.S. District Court in Louisville, Ky., over contractual claims as a result of the two organizations' battle to purchase a third healthcare REIT, Sunrise Senior Living Real Estate Investment Trust, Toronto, a fight that Ventas eventually won in 2007.
After losing the lawsuit in September 2009, HCP appealed the decision to the Sixth U.S. Circuit Court of Appeals, Cincinnati, which in addition to affirming the decision, ruled that the court erred in not giving the jury the opportunity to award punitive damages and ordered the case back to trial to determine what damages should be awarded.
In February, Ventas reached a deal to purchase Nationwide Health Properties, Newport Beach, Calif., for $7.4 billion in stock and debt, potentially making it the largest healthcare REIT in the country.
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