Genesis seeks bankruptcy shield from injury settlements
Genesis HealthCare, once the nation’s largest nursing home chain, is using Chapter 11 proceedings in Dallas to shed roughly $259 million in liabilities from nearly 1,000 settled and pending resident injury/death suits, with a Dec. 10 hearing set to approve a sale of assets to its largest private‑equity investor. A KFF Health News/CBS review of 155 settlement agreements and filings shows Genesis deferred payments in many cases—paying nothing in 85 and only partial amounts in 70—and still owes $41 million of $58 million agreed, as the company says it denies wrongdoing and was spending $8 million per month on litigation.
📌 Key Facts
- Genesis filed for bankruptcy in July in the U.S. Bankruptcy Court for the Northern District of Texas (Dallas).
- The company estimates $259 million in liabilities tied to nearly 1,000 settled/pending lawsuits.
- Review of 155 settlements found Genesis paid nothing in 85 cases and still owes $41 million of $58 million agreed.
- A Dec. 10 hearing seeks approval to sell assets to its largest investor (a private equity firm).
- Genesis says it denies wrongdoing and was spending $8 million monthly on defense/settlements; 11 large senior‑care bankruptcies have occurred this year.
📊 Relevant Data
As many as 5 million older Americans experience abuse every year, many of them residing in nursing homes.
Nursing Home Abuse Statistics | Statistics on Elder Abuse in 2025 — Nursing Home Abuse Center
In 2022, nearly 30% of nursing homes reported being understaffed at least once since the COVID-19 pandemic began.
Nursing Home Abuse Statistics | Statistics on Elder Abuse in 2025 — Nursing Home Abuse Center
In 2023, 75.1% of US nursing home residents were non-Hispanic White, 14.3% were non-Hispanic Black, and 5.4% were Hispanic, reflecting a shift toward greater diversity with non-Hispanic Whites decreasing from over 83% in 2007.
Nursing Home Resident Demographics Statistics — Rosewood Nursing
Black nursing home residents experience higher rates of abuse and neglect; for example, older Black Americans were twice as likely to suffer from psychological or emotional abuse compared to other demographics, and residents of color were five times more likely to be victims of financial exploitation compared to White residents.
Racial Disparities in Nursing Home Care | Learn More Now — Nursing Home Abuse Center
In nursing homes, 15.9% of Black residents used feeding tubes compared to 5.7% of White residents, indicating disparities in care practices.
Racial Disparities in Nursing Home Care | Learn More Now — Nursing Home Abuse Center