National assisted living facility company defends putative class action lawsuit over advertising regarding care assessments

Client(s) Atria Senior Living, Inc.

Jones Day is defending a national assisted living facility company in a class action lawsuit concerning how care assessments are used in setting and monitoring staffing at its 35 California communities. The complaint, brought by a former resident at one of the California communities, alleges that the defendant company misrepresented to residents and prospective residents that it considers resident care assessments in setting staffing levels for its California communities, when allegedly the company does not consider the assessments and instead sets staffing levels based on corporate labor budgets. The complaint asserts consumer fraud and false advertising claims under the California Consumer Legal Remedies Act, California Business & Professions Code sections 17200 et seq. and 17500 et seq., and elder financial abuse claims under Section 15610.30 of the California Welfare and Institutions Code. The company denies the claims and allegations in their entirety. In February 2016, the parties reached a class settlement to resolve the case. On April 6, 2016, the district court granted preliminary approval of the settlement.

Carnes v. Atria Senior Living, Inc., No. 3:14-cv-02727 (N.D. Cal.)