UrgentPoint Medical Group's Chapter 11 cases were converted to Chapter 7 liquidation in September 2024 and transferred to the Central District of California, ending a roughly four-month Subchapter V effort that never advanced beyond interim cash-collateral authority.

The debtors — UrgentPoint, Inc. (UPI), which handled administration and billing, and UrgentPoint Medical Group, PC (UPMG), which employed clinicians and provided vascular and critical-care services through hospital affiliations in Southern California — filed under Subchapter V on May 20, 2024 in Delaware, under the sole ownership and direction of Joe Chauvapun, M.D. Voluntary PetitionDkt. 1. His first-day declaration traced the collapse to a 62% workforce decline, from 109 employees in December 2023 to 52 at petition, a drop in monthly billing volume from $13–14 million to a projected $3 million, and liquidity insufficient to meet payroll, all compounded by accounts receivable purchase agreements priced at 50–60% annual yields. Declaration of Joe Chauvapun, M.D.Dkt. 3. The petition reflected approximately $3.73 million of funded debt: roughly $3.07 million under receivables purchase agreements with nine counterparties and about $664,000 on a First-Citizens SBA loan secured by a blanket lien on UPMG assets.

Because the debtors operated patient-facing medical services, the court promptly appointed a patient care ombudsman under section 333. Patient Care Ombudsman OrderDkt. 55. The debtors sought to keep the practice running through a cash management motion asking to continue performing under the receivables purchase agreements and honor related prepetition obligations. Cash Management MotionDkt. 73. Liquidity support was cash-collateral-only: no DIP facility was ever requested or approved, and operating authority rested on an interim cash-collateral order entered in May 2024, a second interim order entered in July 2024, and a stipulated extension running into early September 2024.

The restructuring stalled within months. The U.S. Trustee moved to convert or dismiss on July 19, 2024, and on September 9, 2024 the court granted conversion to Chapter 7, terminating debtor-in-possession control and cash-collateral authority. Venue was transferred to the Central District of California four days later, where the matter now proceeds as a Chapter 7 liquidation.