HealthSouth Hospital

By: Associated Press
By: Associated Press

A judge has set an Oct. 16 trial date over whether HealthSouth Corporation can foreclose on one of its hospitals.

Jefferson County Circuit Judge Dan King set the trial date Friday. Both sides in the case also agreed that the rehabilitation giant will not foreclose on the HealthSouth Metro West Hospital until the matter is settled.

The embattled company is facing a federal investigation into a $2.5 billion accounting fraud scandal.

HealthSouth had planned to foreclose on the Fairfield hospital Monday. But the judge issued a temporary restraining order last week stopping those proceedings.

HealthSouth lawyer Jon Terry says the hospital is losing money everyday.

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