A health care network provider must release $1.8 million held in escrow after the Delaware Court of Chancery ruled that it did not have a pending claim against a company it acquired subsidiaries from in 2011. The court held that the defendant had not raised a claim until after the deadline for alleging claims passed under the stock purchase agreement.
Vice Chancellor Donald F. Parsons Jr., in a 34-page ruling in I/Mx Information Management Solutions v. MultiPlan, ordered that the funds be released to the plaintiff, I/Mx Information Management Solutions Inc., an Arizona-based Delaware corporation that provides advisory and management services for employee health plans. MultiPlan Inc., a New York corporation that owns and operates health care provider networks, sought to block the release of the funds because one of the subsidiaries it acquired from I/Mx alleged a breach of contract claim against the plaintiff.
