Extendicare Real Estate Investment Trust ("Extendicare REIT") said claims made in a class action lawsuit filed in United States District Court, District of Minnesota, in Minneapolis against Extendicare Health Services, Inc. and Extendicare Homes, Inc. (collectively "Extendicare"), two wholly owned U.S. based subsidiaries of Extendicare REIT, are incorrect and misleading. Extendicare will vigorously defend against the lawsuit in court. The lawsuit is brought as a class action under Minnesota's Prevention of Consumer Fraud Act; Deceptive Trade Practices Act.
"We have just received the lawsuit and have not had sufficient time to fully evaluate the complaint. However, based on the information we have seen, this is a duplicate of the lawsuit that was recently filed in the state of Washington, and those same law firms are involved as co-counsel with this Minnesota firm. It would appear that Extendicare is the latest in a long list of nursing home providers targeted by the same lawyer who previously filed a series of similar class-action style lawsuits in other states," said Tim Lukenda, President and CEO of Extendicare REIT. "Those lawsuits also alleged that nursing home providers falsely advertised the quality of care they provided to residents. This lawyer has not been successful in proving such allegations in a court of law. Many providers have undoubtedly been forced to settle these cases out of court rather than fight the allegations and prove them to be false because of the costs of litigation," Lukenda said.
"We intend to vigorously and successfully defend this lawsuit. The allegations being made are incorrect and misleading, and clearly designed to maximize the recovery of attorney's fees rather than benefit residents," said Lukenda.
Extendicare says it is remains committed to continuing to provide quality care and services to its residents as it defends the inflammatory allegations in this baseless lawsuit.
About Us
Extendicare REIT, through its wholly owned subsidiaries, is a major provider of short and long-term care services for seniors in North America. We operate 268 nursing and assisted living facilities in North America, with capacity for approximately 30,300 residents. As well, we offer medical specialty services such as subacute care and rehabilitative therapy services in the United States, and home health care services in Canada, and employ approximately 38,100 people in North America.
Extendicare facilities have won numerous awards for quality over the years, including four facilities that were recently recognized for quality achievement by receiving the Step 1 National Quality Award presented by the American Health Care Association. These awards are modeled after the criteria of the Malcolm Baldridge National Quality Award.
Contact:
Contacts:
Extendicare Real Estate Investment Trust
Holly Gould
Executive Director of Communications and Consumer Relations
(414) 908-8147
(414) 908-8111 (FAX)
Email: hgould@extendicare.com
Visit Extendicare's Website at http://www.extendicare.com
Source: Extendicare REIT
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