Springfield Health Servies, LLC v. Sanderling Renal Services-USA, LLC

CourtCourt of Appeals of Tennessee
DecidedJune 26, 2026
DocketM2025-01625-COA-R3-CV
StatusPublished
AuthorJudge Thomas R. Frierson, II

This text of Springfield Health Servies, LLC v. Sanderling Renal Services-USA, LLC (Springfield Health Servies, LLC v. Sanderling Renal Services-USA, LLC) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Springfield Health Servies, LLC v. Sanderling Renal Services-USA, LLC, (Tenn. Ct. App. 2026).

Opinion

06/26/2026 IN THE COURT OF APPEALS OF TENNESSEE AT NASHVILLE Assigned on Briefs April 1, 2026

SPRINGFIELD HEALTH SERVICES, LLC v. SANDERLING RENAL SERVICES-USA, LLC

Appeal from the Chancery Court for Davidson County No. 25-1069-IV Russell T. Perkins, Chancellor ___________________________________

No. M2025-01625-COA-R3-CV ___________________________________

The parties in the underlying action are a plaintiff hospital, Springfield Health Services, LLC, d/b/a TriStar NorthCrest Medical Center (“NorthCrest”), and defendant dialysis services company, Sanderling Renal Services-USA, LLC (“Sanderling”). Sanderling and NorthCrest executed a contract wherein Sanderling agreed to provide dialysis and telehealth services to patients at NorthCrest on a fee schedule. A disagreement arose between the parties over which party was responsible for securing payments from third- party providers, and Sanderling terminated the parties’ agreement as a result. Sanderling then submitted a demand for arbitration to the Judicial Arbitration and Mediation Services (“JAMS”) pursuant to the arbitration provision in the parties’ contract. After the arbitrator delivered an award in favor of NorthCrest, Sanderling filed a notice of appeal pursuant to the JAMS optional appeals procedure, relying on language in the parties’ contract providing that the parties had “reserve[d] the right to contest the arbitrator’s decision and to appeal from any award.” NorthCrest objected to application of the JAMS optional appellate procedures, arguing that the contested phrase was not an agreement to submit to the JAMS appellate process but instead reserved only the parties’ statutory right to judicial review of the arbitrator’s decision. JAMS appointed an appellate arbitration panel, who dismissed the JAMS appeal due to NorthCrest’s objection, noting that the JAMS optional appellate procedures required both parties to agree to the appeal in writing. NorthCrest then filed an application for confirmation of the arbitration award in the trial court, to which Sanderling filed a response in opposition and a motion to compel arbitration pursuant to the JAMS appellate procedures. Deferring to the JAMS panel’s decision to dismiss the appeal, the trial court denied Sanderling’s motion to compel appellate arbitration and confirmed the arbitration award in NorthCrest’s favor. Sanderling has appealed. Discerning no reversible error, we affirm. Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Chancery Court Affirmed; Case Remanded

THOMAS R. FRIERSON, II, J., delivered the opinion of the court, in which FRANK G. CLEMENT, JR., C.J., and CARMA DENNIS MCGEE, J., joined.

J. Michael Clemons and John Ray Clemmons, Nashville, Tennessee, for the appellant, Sanderling Renal Services-USA, LLC.

Tim Harvey and Andrew Curtis, Nashville, Tennessee, for the appellee, Springfield Health Services, LLC, d/b/a TriStar NorthCrest Medical Center.

OPINION

1. Factual and Procedural History

This is an appeal from an order denying a motion to compel appellate arbitration and confirming an arbitration award. The plaintiff hospital, NorthCrest, filed the application for confirmation of the arbitration award in the Davidson County Chancery Court (“trial court”) following the arbitrator’s award in NorthCrest’s favor against the defendant, Sanderling. NorthCrest is an “acute care” hospital located in Springfield, Tennessee, and Sanderling is a provider of kidney telehealth and dialysis services. Prior to this lawsuit, NorthCrest and Sanderling had maintained a business relationship whereby Sanderling provided dialysis and telehealth services to patients at NorthCrest. To manage their business relationship, the parties executed two written contracts: an “Agreement to Provide Acute Dialysis Services” (“Dialysis Agreement”) and a “Telehealth Professional Services Agreement” (“Telehealth Agreement”).

The dispute that led to the instant action arose in October 2023 when the parties disagreed as to which of them was responsible under the Telehealth Agreement to bill third-party payors for Sanderling’s professional fees. Sanderling believed that NorthCrest was responsible for invoicing and collecting from third-party payors while paying Sanderling’s invoices pursuant to a fee schedule contained in the Telehealth Agreement. NorthCrest disagreed with this interpretation, maintaining that Sanderling was responsible for billing and collecting from these third-party payors. The parties were unable to reach an accord relative to the dispute. Consequently, Sanderling unilaterally terminated the Telehealth Agreement and the Dialysis Agreement and filed an arbitration demand on April 9, 2024, seeking recovery of $232,250.00 in outstanding invoices that Sanderling claimed Northcrest had not paid under the Telehealth Agreement. On April 24, 2024, NorthCrest filed an answer and counterclaim, asserting breach of contract for Sanderling’s unilateral termination of the Telehealth Agreement and the Dialysis Agreement. -2- The arbitration clause found in Section 9A of the Telehealth Agreement provides in relevant part:

Binding Arbitration[]. In the event of any controversy or dispute related to or arising out of this Agreement, the Parties agree to meet and confer in good faith to attempt to resolve the controversy or dispute without an adversary proceeding. If the controversy or dispute is not resolved to the mutual satisfaction of the Parties within five (5) business days of notice of the controversy or dispute, either Party shall have the option of submitting the controversy or dispute to arbitration, which shall be conducted in the county and the state in which [NorthCrest] is located. If the controversy or dispute is submitted to arbitration, the Parties shall select the arbitrator within ten (10) calendar days after [NorthCrest] notifies [Sanderling] that the controversy or dispute will be submitted to arbitration. If the Parties are unable to agree on an arbitrator, either Party may petition the American Arbitration Association or the American Health Lawyers Association (the “Arbitration Company”) for the appointment of an arbitrator according to the procedures for such appointment provided under the Arbitration Company’s rules for commercial arbitration. . . . The Parties reserve the right to contest the arbitrator’s decision and to appeal from any award[.]

Pursuant to Section 9A, the parties agreed upon an arbitrator appointed by JAMS, who managed the case and conducted a final hearing spanning December 9-11, 2024. On February 24, 2025, the arbitrator entered a detailed “Final Award” wherein she awarded damages to NorthCrest in the amount of $432,227.00 after determining that Sanderling had breached both contracts between the parties by unilaterally terminating them without cause.

Sanderling filed a notice of appeal to a JAMS appellate panel respecting the arbitrator’s final award on March 13, 2025, requesting that the panel reconsider the arbitrator’s interpretation of the Telehealth Agreement. In the opening paragraph of the appeal notice, Sanderling referenced the portion of Section 9A of the Telehealth Agreement providing that the parties had “reserved the right to contest the arbitrator’s decision and to appeal from any award.”

On March 20, 2025, NorthCrest filed a response in opposition to appointment of a JAMS appellate panel, arguing that Sanderling’s notice of appeal was a “nullity” because the parties had not agreed that the JAMS Optional Appeal Procedures (“JAMS Appeal Procedures”) applied to the instant dispute. NorthCrest asserted that Sanderling was instead required to pursue judicial review of the arbitration award “in court” pursuant to the Tennessee Uniform Arbitration Act (“TUAA”) or the Federal Arbitration Act (“FAA”).

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Bluebook (online)
Springfield Health Servies, LLC v. Sanderling Renal Services-USA, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/springfield-health-servies-llc-v-sanderling-renal-services-usa-llc-tennctapp-2026.