New Connecticut private equity law bans hospital sale-leasebacks

A newly enacted state law places an explicit, first-in-the-nation block on a hospital sale-leasebacks—a tactic critics and legislators describe as a key vehicle for private equity funds to extract | The state law, replete with restrictions on private equity investors' role in hospital ownership and influence, is the nation's first with an explicit ban on a wealth extraction tactic associated with recent high-profile health system bankruptcies.