Friday, April 17

Chicago, Illinois — A Cook County judge has allowed a class action lawsuit against Alden Group to move forward, clearing the way for depositions of owners, administrators, workers, and residents over claims that the Chicago-area nursing home chain deliberately kept staffing dangerously low to cut costs.

The ruling, issued earlier this month by Associate Judge Myron Mackoff, found that the plaintiffs have a sound legal basis to proceed. If the allegations hold up in discovery, Alden — which operates more than 40 facilities in the Chicago area, Rockford, and Wisconsin — could face trial over what the suit describes as “dangerous, distressing, and grossly unsanitary living conditions for thousands of residents.”

What the Lawsuit Alleges

The amended complaint targets Alden Group, Ltd. and Alden Management Services, Inc. on behalf of Medicaid recipients at six facilities: Alden Heather Health Care Center, Alden Town Manor, Alden Terrace of McHenry, Alden Village North, Alden Lakeland Rehabilitation and Health Care Center, and Princeton Rehabilitation and Health Care Center.

According to the suit, Alden facilities were often staffed at just 50% of legal requirements — then hid the shortfall from regulators through ghost workers and falsified reports. On top of that, the company allegedly required residents to sign admission agreements blocking them from suing when injuries occurred.

The consequences, the lawsuit claims, were concrete: one resident fell down stairs while strapped to a wheelchair. Another fell when a single worker operated a hoist that required two. A third resident ingested poisonous chemicals.

“We’re talking about a system that may have looked staffed on paper, but wasn’t in reality,” said Margaret Battersby Black, a managing partner at Levin & Perconti, the firm helping to represent plaintiffs. “This is to get Alden to change the way they’re staffing so more incidents like this won’t happen.”

About ten residents have formally joined the suit anonymously, but the class could ultimately include thousands.

What Comes Next

Discovery is expected to take another year or two before the case goes to trial — if it gets that far. Judges allowing class actions to proceed often sets the stage for settlement talks.

Alden did not respond to a request for comment. On its website, Chairman Floyd Schlossberg wrote that the company is “fully committed to continuing our long-standing tradition of remarkable care and customer service.” Alden has been in operation since 1971.

The case is one of several recent actions placing the industry’s staffing practices under a microscope. It’s a pattern that’s consistent with what regulators and researchers have been raising for years — that chronic understaffing isn’t a staffing pipeline problem alone, but also an accountability problem.

State and federal taxpayer dollars fund Medicaid care at Alden’s facilities, making the alleged violations not just a private matter but a public one.

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