Dozens of wrongful death, personal injury and medical negligence lawsuits filed by prisoners and their families are being delayed because the multimillion-dollar company Wellpath filed for bankruptcy, NPR reports. The company says that, while bankruptcy proceedings are ongoing, it will continue operating services in more than 400 facilities, including prisons, jails and hospitals, as it attempts to reduce approximately $550 million in debt and plans a reorganization of its Correctional Healthcare division. For years, Wellpath, the largest commercial provider of health care in jails and prisons across 37 states, has been the target of federal lawsuits and scrutiny by lawmakers for its practices that have been alleged to cause long-term health problems and the deaths of dozens of inmates. As part of the bankruptcy proceedings, a federal judge in Texas granted a pause in all lawsuits that involve Wellpath. Legal proceedings in such cases can take years in normal circumstances, but Wellpath's bankruptcy means dozens of those cases are on hold for the foreseeable future.
Niki Capaci, 40, died while incarcerated in a New York jail cell in May 2023. Her family sued the jail, some members of its staff and Wellpath in federal court for damages for wrongful death. According to the lawsuit and the family, Capaci was exhibiting symptoms of severe withdrawal from opioids and was given buprenorphine, a medication used to treat opioid use disorders, even though she was intolerant to the medication. That "only exacerbated her symptoms and contributed to her premature death," the lawsuit alleges. A New York State Commission of Correction report has since agreed that jail staff failed to adequately evaluate Capaci, that they failed to send her to a medical provider or to transfer her to an emergency room when her symptoms indicated the need for further care. The report found that corrections officers failed to properly monitor Capaci during their rounds. The impact of the bankruptcy goes much deeper than just a delay to those involved in lawsuits against Wellpath. Tens to hundreds of thousands of dollars of alleged damages are potentially being given up as some individuals look to drop claims against Wellpath. Others who turned to the courts as a way to receive justice now wonder whether accountability will ever happen.