Company Awarded $2.7 Million in Acquisition Dispute
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NEWPORT BEACH — A federal court Thursday awarded $2.7 million to Comprehensive Care Corp. to settle a lawsuit the company had filed against a former subsidiary.
In October, 1992, Comprehensive Care sued RehabCare Corp. in U.S. District Court in Missouri, alleging violations of a securities agreement.
RehabCare was approached by a potential buyer, according to the suit, but refused to negotiate an acquisition. As a shareholder of RehabCare, Comprehensive Care felt that it was cheated because the price of the stock might have increased had the company been bought.
RehabCare, based in St. Louis, said Thursday it will appeal the jury’s decision.
Comprehensive Care, based in Newport Beach, is a health-care management company with operations across the United States.
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