Step 1: Obtain $2.8 Billion Judgment; Step 2: Seek Asset Freeze

On Friday, attorneys for HealthSouth shareholders asked Alabama Circuit Judge Allwin E. Horn to freeze the assets of former HealthSouth CEO Richard Scrushy, against whom they obtained a massive nearly $2.9 billion judgment last week. One of the attorneys acknowledged that there was no expectation of getting the full judgment from Scrushy, but said that he hoped to eventually collect as much as $100 million, the AP reports.

If granted, the freeze will prohibit Scrushy from hiding assets while the case is being appealed. “We want to get started today. Every day gives him opportunity to do something else with his assets and makes them harder for us to find,” said Bruce McKee, an attorney for the shareholders.

The AP reports that Alabama law “gives defendants in civil cases 30 days to appeal after a verdict and normally suspends collection efforts during that time. But the shareholders’ Friday motion asks Horn to freeze Scrushy’s assets and allow attorneys to begin collection efforts immediately.”

Read the AP article