An Ontario company is suing the Vitalité Health Network over a controversial travel nurse contract.
Canadian Health Labs (CHL) alleges “numerous breaches of contract” by the health authority, according to the Telegraph-Journal.
However, New Brunswick’s premier said she is confident that a proposed new law will help shield the province from legal action.
“I feel quite confident in the legislation that we’ve put forward. I think it’s strong and it will do what we need it to do,” Holt told reporters on Thursday.
“But I think our case against CHL is strong in the face of a bad contract. I don’t know how they can defend it, but we’re putting the mechanisms in place to protect New Brunswickers.”
Vitalité Health recently cancelled the remaining shifts of Canadian Health Labs’ travel nurses.
That is despite the fact that the contract with the staffing agency does not expire until 2026.
Legislation introduced in March — but not yet passed — would cancel the contract and “aim to protect the government from legal action.”
Canadian Health Labs filed its lawsuit against Vitalité Health with the Court of King’s Bench two days later.
“The timing certainly was interesting that we tabled legislation and then their lawsuit landed,” said Holt.
“We have long felt an issue with the contract with CHL, and there’s a process to go through — both a legislative process and a legal process — but we are going to fight to defend New Brunswickers’ interests against a bad contract.”
Meanwhile, the premier also indicated the Liberal government has no plans to launch a public inquiry into travel nurse contracts, despite calling for one when they were in opposition.
“We’re trying to move forward to make sure that something like CHL doesn’t happen again but that we also get to the bottom of why it happened. So that work is being done, not under the structure of a formal public inquiry,” she added.
