Brightonian Nursing Home v. Daines

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Plaintiffs challenged the facial constitutionality of N.Y. Pub. Health Law 2808(5)(c), which prohibits the withdrawal or transfer of residential health care facility equity or assets in amount exceeding three percent of the facility's most recently reported annual revenue from patient care services without the prior approval of the State Commissioner of Health. Plaintiffs in this case were concerned that the challenged provision would negatively impact nursing homes. Supreme Court granted summary judgment to Plaintiffs, concluding that the statute impermissibly ceded legislative policymaking power to a regulatory agency situated in the executive branch and infringed on the substantive due process property interests of facility owners. The Appellate Division affirmed. The Court of Appeals reversed, holding (1) the lower courts erred in concluding that the statute was offensive to substantive due process; and (2) the statute does not improperly delegate legislative policy-making power. View "Brightonian Nursing Home v. Daines" on Justia Law