Judge partially vacates judgement against Wellmont from physicians group lawsuit


KNOXVILLE, Tenn. (WJHL) — A federal judge has partially vacated a judgment against Wellmont Health System that was the result of a class-action lawsuit filed against the health system by a physicians group.

The lawsuit filed in 2016 by Highlands Physicians Inc. accused Wellmont of breaching an agreement between the two organizations.

A three-week jury trial resulted in a verdict of nearly $58 million in damages against Wellmont. Wellmont was also ordered to pay $5 million in attorney’s fees and expenses.

An appeals court judge vacated the $5 million award after determining that the trial court failed to submit the attorney’s fee issue to the jury.

The judge affirmed the $58 million judgement.

Wellmont Health System merged with Mountain State Health Alliance in 2018 to form Ballad Health.

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