Item 8.01 Other Events.
On May 4, 2006, three plaintiffs filed a complaint in the Superior Court of California, Humboldt County (the "Humboldt Court"), entitled Bates v. Skilled Healthcare Group, Inc. against Skilled Healthcare Group, Inc. (the "Company") and twenty-three of its subsidiaries. In the complaint, the plaintiffs allege that certain California based facilities operated by the Company's subsidiaries failed to provide an adequate number of qualified personnel to care for their residents and misrepresented the quality of care provided in their facilities. Plaintiffs allege these failures violated the residents' rights, the California Business and Professions Code and the Consumer Legal Remedies Act. Plaintiffs seek restitution of money paid for services allegedly promised to, but not received by, facility residents during the period from September 1, 2003 to the present. The complaint further sought class certification of in excess of 18,000 plaintiffs as well as injunctive relief, punitive damages and attorneys fees. In response to the complaint, the Company filed a demurrer. On November 28, 2006, the Humboldt Court denied the demurrer. On January 31, 2008, the Humboldt Court denied the Company's motion for a protective order as to the names and addresses of residents within the facility and on April 7, 2008, the Humboldt Court granted plaintiffs' motion to compel electronic discovery by the Company. On May 27, 2008, plaintiffs' motion for class certification was heard. On June 12, 2008, the Company received an order granting plaintiffs' motion for class certification. The Company intends to seek a writ and reversal by the California Court of Appeal, First Appellate District, of the order granting class certification.

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