Anna G. Eshoo

10/02/2024 | Press release | Archived content

Rep. Eshoo and Supervisor Mueller Applaud California Attorney General for Holding Seton Coastside Owner Accountable

Palo Alto, CA- Representative Anna G. Eshoo (CA-16) and San Mateo County Supervisor Ray Mueller applauded the California Attorney General's decision to file a lawsuit against Seton Coastside owner AHMC Healthcare, Inc. The enforcement action filed in San Mateo County court compels AHMC Healthcare, Inc., to reopen Seton Coastside with all the services it agreed to provide as part oftheJuly 27, 2020 contract of sale outlining conditions of Seton Coastside's sale to AHMC Healthcare, Inc. This includes the provision of emergency services.

"I am highly pleased that the Attorney General of California has responded forcefully to my call to hold AHMC accountable for its flagrant violations of the law and their Contract of Sale violations. The action today reinforces an important message: irresponsible actors will not be allowed to gamble with the wellbeing of patients," Rep. Eshoo said.

"The closure of Seton Coastside by AHMC was more than a breach of contract-it was a violation of the trust our community placed in them. I want to thank California Attorney General Bonta for responding to the calls for justice from Congresswoman Eshoo and my office. Together we are making it clear that such actions will have consequences. AHMC will face accountability for their failure to uphold legally binding agreements meant to protect healthcare access on the Coastside. Separately, the action by the Attorney's General lays a foundation for a claim by the County that AHMC has violated the terms of a multi-million dollar loan the County of San Mateo provided them. This is not just about righting a wrong-it's about sending a message. No corporation can put profits over people without facing the full weight of the law. We are committed to restoring healthcare access and safeguarding our community's future. Above all our community deserves the heathcare they were promised," Supervisor Mueller said.

Rep. Eshoo has pressed for action to hold AHMC Healthcare, Inc., accountable since it closed the Seton Coastside facility in April 2024. She sent a letter to the Attorney General in July specifically listing AHMC's violations in their contract of sale. Before that, she sent two letters to the California Department of Public Health.

You can read the full letter to the Attorney General here.

You can read the second letter to CDPH here.

You can read the first letter to CDPH here.