Justices won’t hear nursing home moratorium appeal

June 25, 2018

A majority of Indiana’s Supreme Court let stand Indiana’s moratorium on nursing home construction.

The 3-2 decision to reject an appeal Justices challenging the temporary ban on nursing home construction leaves intact lower court rulings that affirmed a moratorium imposed by the Indiana General Assembly in 2015. The moratorium since has been extended until June 30, 2019.

The Indiana Court of Appeals in March upheld the law blocking new nursing home construction that had been challenged by Carmel-based Mainstreet Property Group LLC. The appeals court found that the moratorium did not impair any of Mainstreet’s contractual obligations or vested rights, even though the company said it had executed land purchase agreements for sites in Zionsville, Jeffersonville, Fort Wayne and New Haven. Closing on those properties had not taken place, and the court noted Mainstreet had been reimbursed all earnest money where purchase agreements had been secured.

Justices Steven David and Geoffrey Slaughter dissented from the majority of the Supreme Court and would have granted the petition to transfer the case, Mainstreet Property Group, LLC; Mainstreet Realty, LLC; and 7105 E SR 334, LLC v. Pam Pontones, in her official capacity as Interim Commissioner of the Indiana State Department of Health; et al., 29A02-1704-MI-871.



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