GableGotwals Secures Dismissal of $94 Million False Claims Act Allegations Against Texas-Based Healthcare Provider

United States District Judge Xavier Rodriguez dismissed a lawsuit this week against Fort Worth-based company Creative Solutions in Healthcare, the largest skilled nursing provider in Texas. The district court’s order ends years of litigation during which Creative Solutions’ CEO Gary Blake consistently maintained that his company had done no wrong while providing high-quality care at its healthcare facilities.

The False Claims Act allegations were brought by the Austin-based data analytics company Integra Med Analytics, LLC in December 2017. Integra accused Creative Solutions of falsely billing Medicare and Medicaid for unreasonable and unnecessary therapy services in violation of the False Claims Act, claims for which Integra sought more than $94 million in damages. The skilled nursing facility industry has faced numerous lawsuits making similar claims that have resulted in multi-million dollar settlements and judgments.

Creative Solutions wholly rejected and denied the allegations. After years of hard-fought litigation, Integra ultimately agreed to dismiss its claims with prejudice. In exchange, Creative Solutions agreed not to pursue recovery of attorney fees and costs under the law permitting recovery for an action that was “clearly frivolous, clearly vexatious, or brought primarily for purposes of harassment.” Creative Solutions paid nothing.

“The dismissal of this lawsuit completely vindicates Creative Solutions in Healthcare,” said lead attorney Trent Shores. “GableGotwals is proud to have achieved this significant and just result for our client through the diligent efforts of every member of our litigation team to pursue the truth of this matter and defend the integrity of Creative Solutions in Healthcare. This dismissal allows Gary and Malisa Blake to continue focusing on doing what they do best – providing high-quality healthcare to America’s greatest generation and others in need of skilled nursing.”

“We are pleased with Judge Rodriguez’s decision and commend GableGotwals’ litigation team in their successful efforts to defend Creative Solutions in Healthcare against these baseless accusations,” said Gary Blake, CEO of Creative Solutions. “The dismissal of this case validates the integrity of our company and our commitment to ethical practices.”

The False Claims Act is an important tool the United States Department of Justice uses to protect the integrity of taxpayer-funded healthcare programs. However, the U.S. internal policies also call for it to, among others, curb meritless actions, prevent parasitic or opportunistic actions, and control litigation brought on behalf of the United States.

The dismissal resolves with finality the allegations levied by Integra Med Analytics and vindicates the good character and law-abiding business practices of Creative Solutions in Healthcare.

This matter was handled by a GableGotwals False Claims Act civil litigation team led by former United States Attorney and current Shareholder Trent Shores and Shareholders Adam Doverspike and Justin Lollman, Of Counsel Barrett Powers, Associate Lacy Pulliam, and Senior Paralegal Cheryl Anderson. This result is also the product of GableGotwals’s collaborative work with Creative Solutions in Healthcare General Counsel Eric Weborg and Paralegal Heather Gee.

About Creative Solutions in Healthcare
Creative Solutions is a family-owned healthcare company co-founded by Gary and Malisa Blake in Granbury, Texas in 2000. Creative Solutions is now the largest long-term care provider in Texas with more than 130 facilities. Their top priority is to care for seniors with the respect, compassion, and dignity they deserve through quality meals, clean spaces, and compassionate nursing care. Under the leadership of Gary and Malisa Blake, Creative Solutions’ corporate culture has been grounded in the golden rule, “Do unto others as you would have them do unto you.” For more information, visit CreativeSolutionsinHealthcare.com.

About GableGotwals
GableGotwals is a full-service law firm with nearly 100 attorneys and more than 70 professionals in Oklahoma and Texas. We represent a diversified client base across the nation, and our connections and reach are global. Fortune 500 corporations, privately owned companies, entrepreneurs, foundations, and individuals entrust us every day with the stewardship and strategic management of their legal challenges. For more information, visit gablelaw.com.