§ 23-59-8 Financial instability.
The department may act as authorized by § 23-59-16 to protect residents or prospective residents when the department determines that:
(1) A provider has been or will be unable, in such a manner as may endanger the ability of the provider to fully perform its obligations pursuant to its continuing care contracts, to meet the pro forma income or cash flow projections previously filed by the provider; or
(2) A provider is bankrupt, insolvent, under reorganization pursuant to federal bankruptcy laws, or in imminent danger of becoming bankrupt or insolvent.
(P.L. 1987, ch. 101, § 1.)