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CarePoint Health Preference Lawsuits: Complete 2026 Guide for Vendors, Physicians and Staffing Agencies

Complete 2026 guide to CarePoint Health preference lawsuits for vendors, physicians and staffing agencies

Quick Answer

Beginning October 30, 2026, Province Fiduciary Services, LLC, as Litigation Trustee of the CarePoint Litigation Trust, filed about 85 preference lawsuits in the U.S. Bankruptcy Court for the District of Delaware. Two CarePoint physician practice entities filed several more. The lawsuits seek to recover payments the CarePoint hospitals and affiliates made between August 5, 2024 and November 3, 2024. Medical suppliers, staffing agencies, physicians, insurers and service vendors have been sued. A company generally must respond through a lawyer within 30 days after the summons was issued, and the amount demanded is usually not what a defendant ends up paying.

Sued in the CarePoint bankruptcy? Call (888) 959-8220 today. Complaints were filed beginning October 30, 2026, so many answers may be due as early as late November or early December 2026. We offer a free, no-obligation consultation and can confirm your exact deadline the same day.

CarePoint Preference Lawsuits at a Glance

Question Answer
Bankruptcy case In re CarePoint Health Systems Inc. d/b/a Just Health Foundation, et al., Case No. 24-12534 (JKS), jointly administered
Court U.S. Bankruptcy Court for the District of Delaware, Wilmington
Judge Hon. J. Kate Stickles
Bankruptcy filed November 3, 2024 (Chapter 11)
Preference period August 5, 2024 – November 3, 2024
Plan confirmed / effective April 17, 2025 / May 22, 2025
Main plaintiff Province Fiduciary Services, LLC, Litigation Trustee of the CarePoint Litigation Trust
Trustee’s lawyers Akerman LLP, with the Law Offices of Mitchell J. Malzberg, LLC
Other plaintiffs Practice Group Debtors: Garden State Healthcare Associates, LLC and New Jersey Medical and Health Associates, LLC
Demand letters Sent around August 17, 2026, according to at least one complaint
Answer deadline Generally 30 days after the summons was issued

What Happened to CarePoint

CarePoint Health operated three hospitals in Hudson County, New Jersey: Bayonne Medical Center, Christ Hospital in Jersey City and Hoboken University Medical Center, along with related management and physician practice entities. CarePoint and its affiliates filed Chapter 11 in Delaware on November 3, 2024, and the cases are jointly administered.

The plan was confirmed on April 17, 2025 and took effect on May 22, 2025 for all debtors except two physician practice entities, called the Practice Group Debtors. The plan created the CarePoint Litigation Trust and appointed Province Fiduciary Services, LLC as Litigation Trustee, with exclusive authority to pursue avoidance claims, including preference lawsuits, for the debtors covered by the plan.

Two Groups of Plaintiffs

The CarePoint Litigation Trust. Most lawsuits are captioned Province Fiduciary Services, LLC, solely in its capacity as Litigation Trustee of the CarePoint Litigation Trust v. [defendant]. These seek payments made by the hospital and management entities.

The Practice Group Debtors. Garden State Healthcare Associates, LLC and New Jersey Medical and Health Associates, LLC (d/b/a CarePoint Health Medical Group) filed their own lawsuits. These seek payments made by the physician practice entities, which were not covered by the confirmed plan.

Some companies have been sued by both groups, in separate lawsuits, because different CarePoint entities paid them. Each lawsuit needs its own response.

What the Lawsuits Seek

Each complaint is a separate adversary proceeding under Case No. 24-12534. The trust’s complaints typically seek to:

  1. Avoid payments as preferences under 11 U.S.C. § 547.
  2. In the alternative, avoid some payments as fraudulent transfers under § 548, for example where one CarePoint entity paid a bill owed by a different CarePoint entity, or where a payment was a prepayment.
  3. Recover the payments under § 550.
  4. Disallow the defendant’s own claims under § 502(d) and (j) until it pays.

Exhibit A to each complaint lists the payments and identifies which CarePoint entity made each one, such as the Bayonne, Christ or Hoboken hospital entity.

Who Is Being Sued

  • Medical device, implant and supply companies
  • Nurse and medical staffing agencies
  • Individual physicians and physician practices
  • Health insurers, pharmacy benefit managers and benefits providers
  • Laboratories and diagnostic services
  • Facilities contractors, including elevator, sprinkler, paving, engineering, pest control and water treatment vendors
  • Equipment finance, office supply, media and food service companies
  • Law firms, professional associations, other hospitals and universities

You do not have to have done anything wrong to be sued. These claims are based on the timing of payments.

Is Your Company Named?

See the full list of CarePoint preference defendants, with adversary numbers, to check for your company’s legal name, trade name or affiliate. If you find your name, call us before you respond or pay.

The Deadline to Respond

The answer is generally due 30 days after the Delaware court issued the summons, not 30 days after the papers arrived. With complaints filed from October 30, 2026, many deadlines will fall in late November and December 2026. A company must respond through a lawyer admitted in Delaware or working with Delaware counsel.

How Defendants Reduce CarePoint Preference Claims

The trust’s complaints say it reviewed the debtors’ records and identified some potential “subsequent new value,” but they also say that figure is based on invoice dates and is subject to adjustment. Defendants may have more defenses than the complaint credits:

  • Subsequent new value. Credit for goods shipped or services performed after a payment and not paid for. For staffing agencies and physicians, dates of service, not invoice dates, usually control.
  • Ordinary course of business. Protection for payments made on normal terms between the parties or in the industry.
  • Contemporaneous exchange. Protection for prepaid or same-time transactions.
  • Which entity paid. Payments by one CarePoint entity on another entity’s bill raise separate issues under § 548.

Which defenses apply depends on each defendant’s records and is best evaluated by counsel.

What to Do Now

  1. Find the summons and note its issue date and adversary number, which begins with 26-50 or 26-51.
  2. Check whether you were sued by the Litigation Trust, a Practice Group Debtor, or both.
  3. Review Exhibit A to see which CarePoint entity made each payment.
  4. Preserve contracts, invoices, timesheets or service records, shipping records and payment records from mid-2024 through November 2024.
  5. Do not pay or sign anything until your defenses have been reviewed.

Why Healthcare Vendors Choose Kasen Law Group

  • Proven results. We have resolved 79 preference and fraudulent transfer matters, reducing $13,968,865.93 in total claims to $1,055,323.52, an average claim reduction of 92.4%.
  • Healthcare bankruptcy experience. Our matters include preference cases in healthcare and pharmaceutical bankruptcies such as Medley Health, Hygea Health Holdings, Williamston Hospital Corporation and Mallinckrodt.
  • New Jersey and Delaware. Jenny R. Kasen is admitted in the Delaware and New Jersey bankruptcy courts and previously clerked for former Chief Judges of both courts.
  • More than 15 years in bankruptcy law. Jenny R. Kasen is Board Certified in Consumer Bankruptcy Law by the American Board of Certification and a multiple-time New Jersey Super Lawyers Rising Star.

Frequently Asked Questions

Who is suing CarePoint vendors?
Mainly Province Fiduciary Services, LLC, as Litigation Trustee of the CarePoint Litigation Trust. Two physician practice entities, Garden State Healthcare Associates, LLC and New Jersey Medical and Health Associates, LLC, filed separate lawsuits.

What is the CarePoint bankruptcy case number?
In re CarePoint Health Systems Inc. d/b/a Just Health Foundation, et al., Case No. 24-12534 (JKS), in the U.S. Bankruptcy Court for the District of Delaware.

Which payments are at risk?
Payments made by CarePoint entities between August 5, 2024 and November 3, 2024.

Can individual doctors be sued?
Yes. Several individual physicians and physician practices have been named.

I was sued twice. Is that a mistake?
Not necessarily. The Litigation Trust and the Practice Group Debtors are separate plaintiffs, and each may seek payments made by different CarePoint entities.

Do I have to pay the full amount demanded?
Usually not. The complaint’s new value figure is preliminary, and other defenses, such as ordinary course, may reduce the claim further.

Our Results: 79 Preference and Fraudulent Transfer Matters Settled

These are actual preference and fraudulent transfer claims we have resolved for defendants. On average, our clients paid 7.6 cents for every dollar demanded.

Summary  
Matters settled 79
Total claims asserted $13,968,865.93
Total settlements paid $1,055,323.52
Total saved for clients $12,913,542.41
Average settlement paid per dollar demanded 7.6%
Average claim reduction 92.4%

Details of Settled Matters

Claim Amount Settled For Percentage Bankruptcy Case Industry
$2,728,910.00 $8,000.00 <1% Purekana, LLC Retail
$1,702,988.87 $1,000.00 <1% Rite Aid Corporation Retail
$1,018,925.76 $5,000.00 <1% Bed Bath & Beyond, Inc. Retail
$678,363.68 $28,000.00 4% Bed Bath & Beyond, Inc. Retail
$440,690.49 $53,000.00 12% Rite Aid Corporation Retail
$374,905.00 $7,500.00 2% Rite Aid Corporation Retail
$362,952.00 $3,000.00 <1% Virgin Orbit, LLC Aerospace
$337,955.09 $2,500.00 <1% Yellow Corporation Transportation
$327,217.63 $40,000.00 12% Deb Stores Holding LLC Retail
$295,887.08 $37,000.00 13% NSC Wholesale Holdings, LLC Retail
$292,633.33 $51,979.00 18% AB Technologies LLC Tech
$263,391.72 $130,000.00 49% Bed Bath & Beyond, Inc. Retail
$248,766.84 $10,000.00 4% Deb Stores Holding LLC Retail
$247,673.19 $40,000.00 16% Hollister Construction Services, LLC Construction
$230,000.00 $6,000.00 3% Bed Bath & Beyond, Inc. Retail
$220,312.50 $90,000.00 41% Mallinckrodt PLC Pharmaceutical
$216,588.19 $20,000.00 9% Medley Health, Inc. et al. Healthcare
$212,159.37 $1,500.00 <1% Rite Aid Corporation Retail
$206,718.28 $10,000.00 5% Tritek International Inc. Food
$187,704.38 $15,000.00 8% Rite Aid Corporation Retail
$181,349.11 $28,000.00 15% Rite Aid Corporation Retail
$163,198.61 $77,500.00 47% Pipeline Foods, LLC Agriculture
$159,073.89 $11,000.00 7% Mitchell Gold Co. Retail
$149,371.05 $2,500.00 2% Williamston Hospital Corporation Healthcare
$126,788.36 $2,700.00 2% J&M Sales, Inc. Retail
$121,313.87 $5,000.00 4% Hollister Construction Services, LLC Construction
$116,955.00 $30,000.00 26% J&M Sales, Inc. Retail
$116,696.21 $20,000.00 17% JC USA, Inc. Retail
$112,930.65 $2,500.00 2% Rite Aid Corporation Retail
$112,806.39 $13,000.00 12% Rite Aid Corporation Retail
$106,907.97 $3,000.00 3% Taronis Fuels, Inc. Fuel
$105,063.48 $6,000.00 6% The Mitchell Gold Co., LLC Retail
$95,578.12 $17,000.00 18% Charming Charlie, LLC Retail
$90,768.30 $5,000.00 6% Hollister Construction Services, LLC Construction
$87,381.00 $22,500.00 26% AB Technologies LLC Tech
$85,149.74 $1,500.00 2% Taronis Fuels, Inc. Fuel
$74,724.89 $13,000.00 17% Rite Aid Corporation Retail
$64,040.58 $2,000.00 3% New England Motor Freight, Inc. Trucking
$61,796.34 $6,000.00 10% AB Technologies LLC Tech
$59,562.90 $7,500.00 13% ProAir Holdo, LLC HVAC
$59,072.53 $25,000.00 42% Bed Bath & Beyond, Inc. Retail
$56,607.93 $26,000.00 46% Direct Buy/Z Gallerie Retail
$52,701.19 $20,000.00 38% Kline Construction Co. Construction
$49,176.99 $1,600.00 3% Yellow Corporation Transportation
$47,690.00 $1,800.00 4% Rite Aid Corporation Retail
$44,324.00 $3,500.00 8% Samuels Jewelers, Inc. Retail
$44,230.16 $3,000.00 7% CalPlant I, LLC Construction
$40,477.04 $1,500.00 4% Erus Builders, Inc. Construction
$40,368.07 $1,000.00 2% Rite Aid Corporation Retail
$39,015.00 $5,000.00 13% Hollister Construction Services, LLC Construction
$38,827.66 $3,000.00 8% Immune Pharmaceuticals, Inc. Pharmaceutical
$34,467.70 $2,000.00 6% Hygea Health Holdings Inc. Healthcare
$34,271.12 $2,000.00 6% Clio Holdings, LLC Stone
$33,732.54 $7,500.00 22% Exide Holdings, Inc. Battery
$32,284.50 $2,000.00 6% Kranos Corporation Retail
$31,690.00 $3,000.00 9% Clio Holdings, LLC Stone
$31,318.83 $7,500.00 24% Port Neches Fuels, LLC Construction
$30,109.87 $6,500.00 22% Hygea Health Holdings, LLC Healthcare
$29,310.80 $14,655.40 50% J&M Sales, Inc. Retail
$28,676.69 $7,000.00 24% Pipeline Foods, LLC Agriculture
$27,525.58 $4,000.00 15% Art Supply Enterprises, Inc. Retail
$27,314.77 $3,000.00 11% DirectBuy Home Improvement, Inc. Retail
$27,069.90 $4,000.00 15% Beef International, Inc. Food
$26,258.68 $1,000.00 4% DirectBuy Home Improvement, Inc. Retail
$26,152.17 $4,000.00 15% CalPlant I, LLC Manufacturing
$23,111.40 $10,000.00 43% Williams Industrial Services Group, Inc. Construction
$22,679.50 $1,000.00 4% DirectBuy Home Improvement, Inc. Retail
$22,150.24 $11,075.12 50% J&M Sales, Inc. Retail
$21,828.00 $10,914.00 50% J&M Sales, Inc. Retail
$21,698.87 $6,500.00 30% NSC Wholesale Holdings, LLC Retail
$21,651.49 $5,000.00 23% True Religion Apparel, Inc. Retail
$18,909.75 $2,000.00 11% DirectBuy Home Improvement, Inc. Retail
$17,320.88 $3,500.00 20% BSI Operating, LLC Oil and Gas
$16,160.00 $1,500.00 9% Patriot National, Inc. Insurance
$14,800.62 $1,600.00 11% Hygea Health Holdings, LLC Healthcare
$14,094.80 $2,000.00 14% Patriot National, Inc. Insurance
$13,667.70 $3,000.00 22% Beef International, Inc. Food
$12,919.10 $1,500.00 12% DTech Liquidating, Inc. Healthcare
$9,000.00 $1,000.00 11% CalPlant I, LLC Manufacturing

Prior results do not guarantee a similar outcome. Every case depends on its own facts.

What Happens When You Call

  1. Send us your summons, complaint and Exhibit A, or simply call and we will tell you what to send.
  2. We confirm your deadline and, if needed, contact plaintiff’s counsel about an extension so you are protected.
  3. We review your defenses and give you a clear plan and a realistic view of the outcome before you commit to anything.

The consultation is free and there is no obligation. Call (888) 959-8220.

Talk to Kasen Law Group About Your CarePoint Preference Lawsuit

If you received a demand letter or complaint in the CarePoint bankruptcy, contact us before you respond or pay. We will confirm your deadline, review your Exhibit A and tell you what a realistic outcome looks like.

Call (888) 959-8220 for a free consultation, or contact us online. Learn more about our bankruptcy litigation practice and our representative matters.

This article is general information about bankruptcy law and is not legal advice. Prior results do not guarantee a similar outcome. Deadlines in a specific adversary proceeding are governed by the summons, any court order and the applicable rules. Jenny R. Kasen is admitted to practice before the United States Bankruptcy Courts for the District of Delaware, the District of New Jersey, the Eastern District of Pennsylvania, and the Southern District of Florida.

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