In an unfolding family and corporate drama, an emergency petition was filed Tuesday, seeking to strip Forrest Preston, the long-standing CEO of Life Care Centers of America, of his control over the company. The urgent request, initiated by his son, Aubrey B. Preston, aims to establish a temporary conservatorship that would transfer key decision-making power to Aubrey, claiming Forrest is now too incapacitated to fulfill his executive duties.
This push comes amid serious concerns from within Life Care’s executive suite, where leaders describe a CEO allegedly spiraling into cognitive decline while clinging to his position at the helm of one of the nation’s largest nursing home operators. Executives report Forrest’s ongoing absences from critical decisions have jeopardized the company’s financial stability, including a recent near-default on a $100 million loan.
The “Sole Decision Maker” at Risk
According to court filings, Forrest Preston holds exclusive authority over crucial decisions at Life Care, a role that CFO Steve Ziegler and President Todd Fletcher claim he can no longer perform reliably. Citing months-long absences, neglected responsibilities, and confusion around basic business matters, these top executives argue that Forrest’s diminishing capacity is creating a bottleneck that threatens Life Care’s operational integrity.
“[Forrest] is often the sole decision maker for essential business matters,” Ziegler wrote in the petition, outlining how his absence has stalled major financial decisions. In a case that nearly cost the company $100 million, Ziegler pointed to Forrest’s failure to sign urgent loan documents in a timely manner. For a nursing home giant with facilities across the nation, such lapses are more than missteps—they’re existential threats.
Family Conflict, Conspiracy Allegations, and Potential Flight Risk
Yet the story takes an even darker turn. Aubrey’s petition also accuses Forrest’s wife, Kim Nguyen Preston, and her siblings of manipulating the CEO for personal gain since their marriage in 2018. Describing a pattern of isolation and asset misappropriation, the filing alleges that Nguyen Preston has steadily isolated Forrest from his family and inner circle while acquiring valuable real estate and financial assets.
Perhaps most disturbingly, Ziegler and Fletcher now consider Forrest a flight risk. They claim that Nguyen Preston, who reportedly holds significant sway over Forrest, recently instructed a Life Care employee to renew his passport, potentially paving the way for him to leave the country during this critical period. The petition warns that Nguyen Preston, if unchecked, could further endanger Life Care by removing key staff members in an act of retaliation.
A Struggling Leader—or Hostage?
Forrest Preston, who built Life Care from the ground up, is being painted by his son and company leaders as a man trapped in a web of manipulation and declining mental capacity. Over the past few years, they claim he has become confused over simple matters, far removed from the strategic thinker who once ran the company with a firm hand. Now, executives are questioning his judgment and even his understanding of Life Care’s complex operations.
Court filings describe a series of concerning incidents that reportedly illustrate Forrest’s cognitive decline. According to Ziegler and Fletcher, he is regularly unable to comprehend even basic aspects of Life Care’s day-to-day activities. These gaps in understanding could have catastrophic implications, as Life Care faces critical year-end decisions, including major loan renewals and equity votes that will set the company’s direction well into the future.
The Fight Ahead: An Urgent Bid for Control
The court has scheduled an emergency hearing on November 12 to address Aubrey’s request for a 60-day conservatorship. This temporary arrangement, if granted, would give Aubrey the authority to oversee Life Care’s immediate needs and tackle the company’s backlog of critical financial and operational tasks. A full hearing on the conservatorship petition is set for January.
But the stakes are high, and the family’s discord is likely far from over. Court-ordered medical evaluations of Forrest are due within 10 days, with potential implications not only for Life Care but also for the elder Preston’s future as a decision-maker. The company’s executive team insists they cannot afford to wait until January to stabilize operations; with millions at risk and end-of-year financial obligations looming, Ziegler emphasizes that urgent action is needed now.
Broader Implications for the Nursing Home Industry
Life Care Centers of America, a dominant player in senior care with facilities across the U.S., faces an uncertain future under the weight of its CEO’s alleged incapacity and a family power struggle. For an industry grappling with staffing crises, regulatory pressures, and financial challenges, this internal upheaval comes at a time when stability is paramount.
As more details emerge, the case could serve as a cautionary tale for other large healthcare operators about the risks of centralized power and unchecked authority at the top. Life Care’s executive team is now at a crossroads, faced with protecting the company’s legacy, its 40,000 employees, and thousands of residents from the impact of this high-stakes battle for control.
With millions in loans hanging in the balance and a vulnerable CEO at the center, the next few weeks will reveal whether Life Care Centers of America can withstand the turmoil—or become a symbol of how quickly empire-building can give way to empire crumbling.