Abilene's NPR Station
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations

University cautious as ACU board chair appeals court’s ruling

Abilene Christian University's leadership is monitoring the progress of a lawsuit that was decided against the chair of the university’s board of trustees.

The Delaware Court of Chancery ruled in December against the home health company run by ACU Board Chair and former CEO of Encompass Health Home and Hospice, April Anthony, who was accused of a “breach of fiduciary duty.”

Anthony and another ACU board member, Luke James, worked for Encompass, before they formed a new home-health and hospice company, VitalCaring Group.

In its ruling, the court determined that the pair had shared confidential information and solicited Encompass Health Home and Hospice employees.

The court ordered VitalCaring to pay Encompass 43% of its profits, attorney fees, and $1.62 million in damages. ACU President Phil Schubert acknowledges that the case is a serious business matter, and says that the board is responding carefully, "What we want to do is exercise great care and discretion and act appropriately, not rushing to judgment, but being thoughtful, considerate and supportive in the way we navigate this, and I would hope all of us in situations where maybe there's ambiguity and differences of opinion, would, you know, that we'd want to afford that to one another”

Schubert says that Anthony has been helpful in providing the board with clarity while also avoiding too much discussion about the case as it is in appeal proceedings.