Sign In
Events
Newsletters
Search

Close

Close Search

Cancel

SEARCH
MY LAW.COMNEW

Universal Health Services, Inc. v. Thompson

If a contract is subject to two or more reasonable interpretations after applying the ordinary rules of contract construction, the contract is ambiguous.

X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Motion for rehearing overruled January 25, 2002.

This contract dispute concerns an innovative concept for the delivery of women’s healthcare services that disappointed its investors. The parties are a group of successful physicians who specialize in obstetrics and gynecology (the Physicians), *fn1 and a corporate investor in the health care field, Universal Health Services, Inc. and its subsidiaries (Universal). Together, the Physicians and Universal launched a project to combine physicians’ offices and a hospital in one facility, to be known as the “Renaissance Women’s Center.” The Renaissance concept was designed to ease the traditional stresses and strains that accompany an OB/GYN’s practice. No longer would an OB/GYN have to lose valuable time by going back and forth between her office to see regularly scheduled patients, and area hospitals to deliver babies; the Renaissance Center offered her the time-saving convenience of seeing patients in her office upstairs and delivering babies in the hospital downstairs.

Under the parties’ agreement, Universal owned the facility, operated the hospital, and leased the offices to the Physicians. While the Physicians profited from this arrangement, Universal’s financial expectations for the Center were never realized; the hospital lost money and Universal decided to close the doors after two years of operation.

Trending Stories

 
Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.

LEARN MORE

More From ALM

Premium Subscription
With this subscription you will receive unlimited access to high quality, online, on-demand premium content from well-respected faculty in the legal industry. This is perfect for attorneys licensed in multiple jurisdictions or for attorneys that have fulfilled their CLE requirement but need to access resourceful information for their practice areas.
View Now
Team Accounts
Our Team Account subscription service is for legal teams of four or more attorneys. Each attorney is granted unlimited access to high quality, on-demand premium content from well-respected faculty in the legal industry along with administrative access to easily manage CLE for the entire team.
View Now
Bundle Subscriptions
Gain access to some of the most knowledgeable and experienced attorneys with our 2 bundle options! Our Compliance bundles are curated by CLE Counselors and include current legal topics and challenges within the industry. Our second option allows you to build your bundle and strategically select the content that pertains to your needs. Both options are priced the same.
View Now
Go to CLE Center
British Legal Awards 2024
November 27, 2024
London

Celebrating achievement, excellence, and innovation in the legal profession in the UK.


Learn More
GlobeSt. Healthcare Real Estate 2024
December 02, 2024 - December 03, 2024
Scottsdale, AZ

Join the industry's top owners, investors, developers, brokers and financiers for the real estate healthcare event of the year!


Learn More
ThinkAdvisor LUMINARIES Awards 2024
December 11, 2024
Las Vegas, NV

This event shines a spotlight on how individuals and firms are changing the investment advisory industry where it matters most.


Learn More
Go to Events Go to Webcasts
Associate General Counsel, Global Employment

Role TitleAssociate General Counsel, Global EmploymentGrade F13Reporting ToSenior Legal Counsel, Global EmploymentProgram/Tool/ Department/U...


Apply Now ›
Associate Attorney

Ryan & Conlon, LLP, is a boutique firm specializing in insurance defense. We are a small eclectic practice with a busy and fast paced en...


Apply Now ›
INTELLECTUAL PROPERTY PROSECUTION PARALEGAL

INTELLECTUAL PROPERTY PROSECUTION PARALEGAL - NEW JERSEY OR NEW YORK OFFICESProminent mid-Atlantic law firm with multiple regional office lo...


Apply Now ›
Go to Lawjobs