If a hospital’s extortion and wire fraud activity is brief enough, it can avoid RICO prosecution.  That’s one lesson in an October 2 decision by the federal court for the district of Idaho.

Danielle Bennion and her co-plaintiffs filed a RICO (Racketeer Influenced & Corrupt Practices Act) action alleging that Mountain View Hospital and co-defendants engaged in a plan of extortion and wire fraud for the purpose of taking over her interest in a health screening company.

The defendants filed a motion to dismiss, arguing that the corrupt activity alleged by Danielle lasted only seven months—not long enough to constitute the “continuous” corruption contemplated by RICO.  The court agreed and dismissed Danielle’s case.

Three takeaways from the decision:  (1) Corrupt activity generally has to last a year or longer to violate RICO.  (2) In considering a motion to dismiss, the court has to assume the truth of the plaintiffs’ allegations (i.e., maybe Mountain View didn’t really do all the things Danielle alleged).  (3) Danielle can still file a tort claim against the defendants.

The case is Northwest Osteoscreening v. Mountain View Hospital, No. 4:13-cv-414.