LITIGATION

California, Goldman in Talks to Settle Suit: Goldman, Sachs & Co. has entered talks to settle a nearly $600-million lawsuit by California alleging the firm failed to fully disclose its role in an ill-fated hospital deal, an attorney said. Raymond Cadei, handling the suit on behalf of the Office of Statewide Health Planning and Development, said Goldman Sachs and state attorneys met with a private mediator this month and plan to meet again in February. “We have every indication” Goldman will settle, Cadei said. In its amended lawsuit, the state alleges that Goldman Sachs failed to disclose its roles in the sale of West Valley Hospital Medical Center and Sherman Oaks Community Hospital and Health Center. A Goldman Sachs spokesman said the this lawsuit is without merit.