The planned resignation of the UT president in April 2020 placed the institution in an awkward position, particularly in a period where a sale is contemplated. In a petition filed in Ohio Court of Claims by a UTMC physician and UT assistant professor, Representative Kaptur asked the governor to stop the sale and conduct a detailed audit of the organization.
The physician sought the entity’s financial records because he felt both UT and ProMedia had conflicts of interest. A significant percentage of UT’s students were transferred to ProMedia’s Ebeid Children’s Hospital and Toledo Hospital, a move that also saw UTMC lose 80% of its employees. The physician contested the role played by board members in implementing UT’s 50-year partnership with ProMedia.
Despite the Ohio Ethics Commission’s intervention, the commission chose against advising board members not to vote on UTMC matters. The commission has reportedly refused to deliver financial disclosure copies, arguing that such records are not public and were reviewed by the Attorney General’s Office. These escalations have made it hard to complete the sale of UTMC.
Business transactions can be faced with significant stakeholder issues that undermine successful transactions. An attorney with experience in business transactions may help resolve shareholder disputes, business reorganization issues and breached contracts.