Latham Advises Medical Faculty Associates in Transaction With the George Washington University and Universal Health Services

Latham & Watkins LLP advised Medical Faculty Associates, Inc. (MFA), a nonprofit organization providing clinical services and medical staffing in more than 50 medical and surgical specialties through the employment of over 1,600 personnel, including approximately 700 physicians and other providers, in connection with its restructuring efforts to consummate a transaction that prioritizes continuity of patient care, preserves a sustainable academic enterprise, and addresses its balance sheet. Following over a year of MFA extensively planning and preparing for a transition of its operational platform, it entered into definitive transaction documents with the George Washington University (GW) and Universal Health Services, Inc. (UHS) on May 26, 2026. Months of negotiations culminated in the parties effectuating an operational close on July 31, 2026, that transitions MFA’s clinical services at GW Hospital, Cedar Hill Regional Medical Center, and affiliated outpatient locations to Capital Medical Group (CMG), a new physician-led nonprofit subsidiary of UHS. The transaction provides for CMG to employ a majority of MFA physicians and staff, helping to ensure the continuity of patient care with the same providers and at the same familiar locations in the Washington, D.C. metropolitan area, as well as high-quality medical education and research at GW’s School of Medicine and Health Sciences.

Latham represents MFA in the transaction with a Restructuring team led by New York partner Candace M. Arthur and Washington, D.C. partner Andrew Sorkin, with associates T.J. Li, Meghana Koenitzer, Brian Herskowitz, and Dennis Mossberg; and a Healthcare & Life Sciences team led by Washington, D.C. partner Jason Caron, Washington, D.C. partner Ben Haas, Bay Area partner Heather Deixler, and Los Angeles partner Jennifer Yoo, with associates Danielle Scheer, Margaret Rote, Chad Leiper, Caroline Kessler, Megan Lich, and Evan Rothkoff. Advice was also provided on government investigation matters by Washington, D.C. partner Abid Qureshi and Washington, D.C. counsel Morgan Maddoux; on corporate matters by Chicago partner Zachary Judd, with associates Dustin Davis, and Patrick Loeffler; on employment matters by Chicago counsel Laura Waller, with associates Lauren Stark and Elizabeth Duncan; on data and information technology matters by New York partner Pelin Serpin, with associate Jaclyn Malmed; and on antitrust matters by Washington, D.C. partner Tara Tavernia, with associate Rebecca Frumento.