Zwick Partners v. Quorum Health Corporation

The information contained on this web page is only a summary of the information presented in more detail in the Notice of Proposed Settlement of Class Action, Motion for Attorneys' Fees and Expenses, and Final Approval Hearing (“Notice”). Because this web page is just a summary, you should review the Notice and Frequently Asked Questions for additional details.

The action, Zwick Partners, LP and Aparna Rao v. Quorum Health Corporation, et al., No. 3:16-cv-02475 (“Action”), was brought in the United States District Court for the Middle District of Tennessee (“Court”). This Action alleges violations of the Federal Securities Laws (specifically Sections 10(b) and 20(a) of the Exchange Act (15 U.S.C. §78j(b) and 78(t)(a)) and Rule 10b-5 promulgated thereunder (17 C.F.R. §240.10b-5)) against Quorum Health Corporation (“Quorum”), Community Health Systems, Inc. (“CHSI”), Wayne T. Smith, W. Larry Cash, Thomas D. Miller, and Michael J. Culotta ("Defendants").

Plaintiff alleges that, during the Class Period (i.e., between May 2, 2016 and August 10, 2016, both dates inclusive), Quorum’s stock price was artificially inflated as a result of a series of untrue or materially misleading statements regarding Quorum’s goodwill and long-lived assets.

The Court-appointed representatives for the Court certified Class, Zwick Partners, LP ("Plaintiff" or "Class Representative"), on behalf of themselves and the Class, have reached a proposed settlement of the Action with Defendants for $18,000,000 ("Settlement Fund").

The Class Consists of:

All persons and entities who purchased or otherwise acquired Quorum Health Corporation common stock between May 2, 2016 and August 10, 2016, both dates inclusive.

Persons and entities that acquired Quorum common stock in the spin-off from Community Health Systems, Inc. (“CHSI”) during the Class Period may be members of the Class.

Excluded from the Class are Defendants, current and former officers and directors of Quorum and CHSI, and their families and affiliates.

Your Legal Rights and Options in This Settlement

Submit a Claim Form	The only way to be eligible to receive a payment from the Net Settlement Fund. Claim Forms must have been postmarked (if mailed), or submitted online no later than November 23, 2020.
Object to the Settlement	Write to the Court about why you do not like the Settlement, the request for attorneys’ fees and expenses, and/or the Plan of Allocation. Any objections must have been received on or before November 13, 2020, in accordance with the instructions contained in the Notice.
Go to the Settlement Fairness Hearing	Ask to speak in Court about the fairness of the Settlement. Notices to appear must have been received by the Court on or before November 13, 2020. The Settlement Fairness Hearing was held on November 30, 2020 at 9:30 a.m.
Do Nothing and Remain in the Class	Receive no payment. You will, however, still be a Class Member, which means that you give up your right to ever be part of any other lawsuit against the Defendants about the legal claims being resolved by this Settlement and you will be bound by any judgments or orders entered by the Court in the Action.

The Frequently Asked Questions page of this website has more information on your rights as a Class Member in this Action.