SDHA
Grossmont Healthcare Dist. v. SDHA
Opinion
Opinion
This is an action by Grossmont Healthcare District (the District) to recover possession of a publicly owned hospital and related assets that the District leased and transferred in 1991 to two private nonprofit corporations, defendants and respondents San Diego Hospital Association (SDHA) and Grossmont Hospital Corporation (GHC), under three written agreements made under the provisions of Health and Safety Code section 32000 et seq. (The Local Health Care District Law). The District's complaint alleges the agreements are void under Government Code [1] section 1092 because the District's chief executive officer, its general counsel, and all five members of its board of directors had personal financial interests in the agreements in violation of section 1090, one of California's conflict-of-interest statutes. GHC filed a motion for summary judgment, joined by SDHA, on the ground the District's action is time-barred. The District filed a cross-motion for an order summarily adjudicating there is no merit to the statute of limitations defense asserted by GHC and SDHA because it is barred under the "no limitations" rule in Hoadley v. San Francisco (1875) 50 Cal. 265 , 1875 WL…