Joey Jacobs and Bryce DeHaven, former executives of Hospital Corporation of America for over 20 years, founded Psychiatric Solutions, Inc. in 1997.

In 2008, ProPublica, in collaboration with the Los Angeles Times and other news organizations, reported on substandard care, inadequate training, and staffing shortfalls at Psychiatric Solutions, resulting in injuries, sexual assault, and deaths, in a number of their facilities, nationwide.

The company was fined multiple times for safety violations, and at one facility, the federal government took the unusual step of termination from the Medicare program, and withholding federal funds from one facility, for a period of over four months, costing the organization at least $1.5 million in lost revenue.

[4] In March 2010, Business Wire reported that Psychiatric Solutions was being investigated for breach of fiduciary duty, lying to investors about safety issues at its facilities, and other violations of state laws.

[6][7] The company was eventually purchased by Universal Health Services, who also paid $132 million in a settlement with the DOJ and other state agencies, for violations of the False Claims Act.