James Cotter Files Lawsuit Against Donald McCaskill
The civil action seeks over $5 million in damages regarding nursing home operations and property sales.
Updated on Oct. 27, 2026 in Financial Crime
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James Cotter has filed a civil lawsuit against Donald McCaskill and three associated companies in Texas Business Court. The complaint alleges breach of lease and interference with property sales across facilities in Texas and Oklahoma.
Why it matters
The litigation highlights a dispute over the transfer of nursing home operating licenses and property management responsibilities. These facilities currently maintain low quality ratings within the Medicare system.
James Cotter is seeking over $5 million in damages following the alleged abandonment of a convalescent center in Wichita Falls. The nursing homes involved include the 70-bed Lytle Nursing Home and the 116-bed Forrest Manor Nursing Center, both holding one-star Medicare ratings.
The players
James Cotter
He is a central party in the current civil litigation and faces separate criminal charges related to evidence tampering.
Donald McCaskill
He is the defendant in the civil lawsuit brought by Cotter regarding the management of several nursing facilities.
Brad Simpson
He is an associate of Cotter who is currently awaiting a murder trial in Bexar County.
The details
The lawsuit claims that McCaskill failed to sign necessary documents and provide records required to transfer nursing home operating licenses. Furthermore, the action cites a convalescent center in Wichita Falls that was reportedly abandoned after the operator ceased rent payments.
Timeline
The lawsuit was officially filed in Texas Business Court on October 22, 2026.
Cotter and Brad Simpson were arrested in October 2024.
The criminal trial for Cotter is scheduled to begin on January 25.
Brad Simpson is expected to face a murder trial starting in February.
Legal Context
The nursing homes involved in this litigation hold the lowest possible designation within the Centers for Medicare & Medicaid Services Five-Star Quality Rating System. This case reflects broader challenges in the stability and oversight of privately managed convalescent facilities.
Residents and families associated with the Lytle Nursing Home and Forrest Manor Nursing Center may face ongoing administrative uncertainty regarding the facilities' operations. Legal proceedings may result in further scrutiny of the management and licensing standards for these specific locations.
The takeaway
This litigation underscores the complexities of property management and license transfers in the healthcare industry. Parties involved in similar facility operations should ensure clear documentation to avoid potential breach of contract disputes.
Further reading
For more on ongoing legal disputes in the region, see Texas Financial Crime.
Source note: This article includes information reported by San Antonio Express-News.
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