Navajo Health Foundation—Sage Memorial Hospital, Inc. v. Kory Razaghi, et al.

CourtDistrict Court, D. Nevada
DecidedOctober 15, 2025
Docket2:25-cv-00834
StatusUnknown

This text of Navajo Health Foundation—Sage Memorial Hospital, Inc. v. Kory Razaghi, et al. (Navajo Health Foundation—Sage Memorial Hospital, Inc. v. Kory Razaghi, et al.) is published on Counsel Stack Legal Research, covering District Court, D. Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Navajo Health Foundation—Sage Memorial Hospital, Inc. v. Kory Razaghi, et al., (D. Nev. 2025).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 DISTRICT OF NEVADA 6 * * *

7 NAAVAJO HEALTH FOUNDATION—SAGE Case No.2:25-CV-834 JCM (NJK) MEMOBIAL HOSPITAL, INC., 8 Plaintiff(s), ORDER 9 v. 10 KORY RAZAGHI, et al., 11 Defendant(s). 12

13 Presently before the court is defendants Kory Razaghi (“Kory”) and Attentus LLC 14 (collectively “defendants”) motion to dismiss. (ECF No. 18). Plaintiff Navajo Health Foundation 15 16 – Sage Hospital, Inc. filed a response (ECF No. 20), to which defendants replied (ECF No. 23). 17 I. Background 18 This action stems from a complicated relationship between two brothers and a rural hospital 19 in Arizona. 20 Plaintiff operates a 25-bed, federally funded nonprofit hospital that serves a community of 21 22 approximately 25,000 Navajo people in a remote, high desert area in Ganado, Arizona, within the 23 territorial boundaries of the Navajo Nation near the Arizona-New Mexico border. (ECF No. 1 at 24 4). In 2007, the hospital’s board of directors decided that the hospital needed to be upgraded to 25 meet the needs of the community. (Id.). 26 In 2007, defendant Kory Razaghi, Kory’s brother Ahmad Razaghi (“Ahmad”), and Manuel 27 28 Morgan (“Morgan”) approached plaintiff with a proposal to develop, finance, and build a new 1 hospital. (Id.). Kory, Ahmad, and Manuel told plaintiff they would provide their services through 2 a company called Manuel Morgan and Associates (“MMA”). (Id.). According to MMA’s 3 governing documents Morgan owned 51% of MMA and Attentus, which, at that time, was owned 4 by both Kory and Ahmad owned the other 49%. (Id.). 5 6 The initial agreement gave full authority to MMA to act as the hospital’s agent to negotiate, 7 prepare, execute, and deliver any documents and other agreements connected to developing, 8 financing, and constructing a new hospital. (Id. at 5). The agreement was later amended, and 9 Ahmad was required to split the revenue generated by MMA under the First MMA Addendum 10 with Kory and Morgan. (Id.). 11 12 In 2009, plaintiff and MMA amended their agreement for the second time, making Ahmad 13 plaintiff’s CEO. (Id.). In 2010, Ahmad informed Kory and Morgan that he did not intend to 14 continue their business arrangements and intended to dissolve MMA, Attentus, and a third 15 company Attentus Provider Group (“APG”). (Id.). Ahmad then began withholding Kory’s share 16 of the payments received by MMA, Attentus, and APG from plaintiff. (Id.). 17 18 In 2011, Kory filed suit in Nevada state court against Ahmad, Morgan, and related entities 19 which ended in 2013 with a settlement. (Id. at 6). The 2013 settlement agreement required the 20 defendants in that suit to (1) pay Kory one-sixth of all management fees received by MMA and 21 another related business, and (2) pay Kory one-sixth of all hospital development fees and any other 22 development fees for development of commercial, residential, or other non-healthcare 23 24 improvements on plaintiff’s campus that are paid by plaintiff under the MMA Agreement. (Id. at 25 6–7). 26 Beginning in 2012 and continuing until 2018, plaintiff alleges Ahmad and his business 27 entity, Razaghi Development Company, LLC (“RDC”), defrauded the hospital to the tune of 28 1 millions of dollars. (Id. at 7–13). Kory discovered that Ahmad had secured large amounts of 2 money through his work with plaintiff after the 2013 settlement and sued again in 2018, alleging 3 violations of the agreement. (Id. at 13). Specifically, Kory and Attentus—now with Kory as the 4 LLC’s sole member—alleged that Ahad wrongfully prevented Kory from receiving portions of the 5 6 fees that he was entitled to. (Id.). 7 The 2018 litigation ended with a jury verdict in favor of Kory and Attentus and they were 8 awarded $6,853,404.84 in damages. (Id. at 14–15). The damage award specifically noted that the 9 damages included termination fees and a $1.8 million bonus which was awarded to Ahmad in 10 2012. (Id. at 15). Kory and Ahmad filed a satisfaction of judgment in 2025 pursuant to a post- 11 12 judgment settlement agreement. (Id. at 15; ECF No. 18 at 10). 13 Plaintiff is currently suing Ahmad and RDC in Arizona alleging fraud. (ECF No. 1 at 7). 14 Plaintiff claims here that the 2025 settlement between Ahmad and Kory was designed to frustrate 15 recovery in the Arizona litigation, should plaintiff prevail. (Id. at 15–16). Plaintiff brings five 16 causes of action that include: (1) fraudulent transfers under Nevada law; (2) conspiracy to commit 17 18 fraudulent transfers; (3) unjust enrichment; (4) money had and received; and (5) conversion. (Id. 19 at 15–18). Defendants now move to dismiss the suit in its entirety. (ECF No. 18). 20 II. Legal Standard 21 As an initial matter, pursuant to Local Rule 78-1, “all motions may be considered and 22 decided with or without a hearing.” The court is satisfied with the documents presented and will 23 24 rule on defendants’ motion without holding oral argument. Defendants’ request for oral argument 25 is denied. 26 The Federal Rules of Civil Procedure require a plaintiff to plead “a short and plain 27 statement of the claim showing that the pleader is entitled to relief.” Fed. R. Civ. P. 8(a)(2). 28 1 Dismissal is appropriate under Rule 12(b)(6) when a pleader fails to state a claim upon which relief 2 can be granted. Fed. R. Civ. P. 12(b)(6); Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007). 3 A pleading must give fair notice of a legally cognizable claim and the grounds on which it 4 rests, and although a court must take all factual allegations as true and legal conclusions couched 5 6 as factual allegations are insufficient. Twombly, 550 U.S. at 555. Accordingly, Rule 12(b)(6) 7 requires “more than labels and conclusions, and a formulaic recitation of the elements of a cause 8 of action will not do.” Id. 9 To survive a motion to dismiss, “a complaint must contain sufficient factual matter, 10 accepted as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 11 12 U.S. 662, 678 (2009) (quoting Twombly, 550 U.S. at 570). “A claim has facial plausibility when 13 the plaintiff pleads factual content that allows the court to draw the reasonable inference that the 14 defendant is liable for the misconduct alleged.” Id. This standard “asks for more than a sheer 15 possibility that a defendant has acted unlawfully.” Id. 16 If the court grants a motion to dismiss for failure to state a claim, leave to amend should be 17 18 granted unless it is clear that the deficiencies of the complaint cannot be cured by amendment. 19 DeSoto v. Yellow Freight Sys., Inc., 957 F.2d 655, 658 (9th Cir. 1992). Under Rule 15(a), a court 20 should “freely” give leave to amend “when justice so requires,” and in the absence of a reason 21 such as “undue delay, bad faith or dilatory motive of the part of the movant, repeated failure to 22 cure deficiencies by amendment previously allowed, undue prejudice to the opposing party by 23 24 virtue of allowance of the amendment, futility of the amendment, etc.” Foman v. Davis, 371 U.S. 25 178, 182 (1962). 26 III. Discussion 27 Defendants argue that plaintiff’s complaint is deficient to the point that each cause of action 28 1 should be dismissed. Accordingly, the court will analyze each in turn to decide whether dismissal 2 is warranted. 3 1. Fraudulent Transfers 4 Plaintiff alleges that the 2025 Ahmad-Kory settlement violated NRS Chapter 112, the 5 6 Uniform Fraudulent Transfer Act (UFTA).

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Navajo Health Foundation—Sage Memorial Hospital, Inc. v. Kory Razaghi, et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/navajo-health-foundationsage-memorial-hospital-inc-v-kory-razaghi-et-nvd-2025.