Despite insinuations that this morning’s bankruptcy hearing for the tottering Brotman Medical Center resembled its death bed, the Culver City hospital gained an undramatic reprieve to operate a few days longer.
In the face of onrushing deadlines that will be difficult for the hospital to meet, Brotman attorney Tom Patterson insisted that “there is no reason to suspect Brotman will not remain open for the foreseeable future.”
Mr. Patterson was asked how far ahead he could safely project that Brotman’s doors would remain open. “One way or another,” he said, “the debtor is absolutely committed to keeping the hospital open” as a full-service facility.
“The court recognizes the importance of the hospital to the community, and she remains available to resolve any disputes. I cannot foresee any circumstance under which the hospital would not be fully operating.”
Courtroom sources say, however, that it will be almost impossible for broke Brotman, in Chapter 11 since last September, to avoid a death sentence before this year is out, that only the final configuration remains to be decided.
In another one of those cases where the institution is sicker than its patients, lawyers for Prime Healthcare Services of Victorville, the likely next and final owner of the hospital, told the judge that Prime reluctantly will continue to funnel a weekly allowance to Brotman while the two parties edge toward a resolution.
They are tentatively scheduled to return to the courtroom of Judge Sheri Bluebond in 12 days, on Tuesday, May 6, to report their progress. The date is significant because it comes 48 hours before Brotman is due to meet its next payroll, which Prime is hardly eager to underwrite.
Judge Bluebond set several dates in May and June for progress reports.
Different Attitudes
When the two four-man legal teams for the rival sides filed into the 14th floor courtroom a little before 10 o’clock and took their seats on either side of a podium, it was easy to tell them apart.
There was fidgeting on the Brotman side, each lawyer searching for a comfortable place to put one hand, then the other.
On the other side, once they reached their chairs, Prime’s confident attorneys, reflecting their position of leverage, sat and never budged, making it clear they had nothing, evidently, to worry about.
Keeping a Throat Lubricated
Judge Bluebond set the relatively relaxed tone when she arrived at the bench. Just under medium height with long ebony hair and a valley-deep voice that enhanced her air of authority, her first act was to pour a libation, presumably coffee rather than water.
Throughout the hearing, just under half an hour, she never supped from the cup, though.
Low-key, as the mood, was not to be mistaken for casual. Every lawyer in the blonde paneled room knew who was in charge.
The moderate temperature was never in any danger of being disturbed. The exchanges were businesslike, nearly a monotone. Not one drop of emotion was spent by either camp.
Sunny Side up
Maintaining Brotman’s poker, becalmed face, Mr. Patterson, the attorney, told the newspaper that Brotman “has a number of legal options and alternative that it is exploring. As we reported to the court, a lot depends on what happens to the portion of the Prime claim that represents about $8 million in penalties, and the court set a further status conference on that for June 4.”
Prime’s Style
Aggressive Prime, which, typically, acquires small, failing hospitals and downsizes or converts them, is moving fast. Headed by Dr. Prem Reddy, whose name has become synonymous with fire engines in the corporate healthcare industry, Prime has bought five of its nine Southern California properties since a year ago last September.
By all indications, Brotman will be next to join Dr. Reddy’s swelling empire. Prime assumed its command position earlier this month when it purchased $18 million worth of Brotman’s loans.
