Staff at an Ilkeston care home referred to elderly residents as 'psychotic', 'unkempt' and 'attention seeking', according to a report.
Workers at Ashford Lodge Nursing Home used the 'derogatory language' on handover sheets, an inspection by the Care Quality Commision (CQC) said.
The health watchdog, which assessed the home on January 18, detailed that staff also described residents as 'kleptomaniac' and 'vacant' - all "outdated" language that "did not promote a positive culture", inspectors found.
The report reads: "The management team had not created a culture of high quality, person-centred care. Records of care and support were written in a judgemental manner.
"The handover sheet referred to people using derogatory language, such as, 'unkempt' 'attention seeking', 'kleptomaniac', 'psychotic' and 'vacant.'
"Use of traditional, outdated language in care records did not promote a positive culture."
The home, situated in Gregory Street, was given an overall 'inadequate' rating after the three inspected areas - safety, effectiveness and leadership - were given the lowest possible score.
This means it has been placed in 'special measures'.
During the inspection, an outbreak of Covid was present at the home, which cared for 17 people at the time of inspection.
However, the CQC said there was a "complete failure" to implement effective measures.
"Staff did not use personal protective equipment (PPE) safely," the report reads.
"PPE was not readily accessible throughout the home. We saw staff wearing fabric masks, including whilst supporting a person who had Covid-19.
"There were insufficient measures in place to reduce the risk of infection spreading. For example, people with Covid-19 were not marked on the handover sheet. This was given to agency staff, who had never worked at the home, at the start of their shifts."
Inspectors added that some residents were "subject to restrictions on their freedom of movement", including two people who had a baby gate preventing them from leaving their bedrooms.
It was said there was "no evidence" it was in their best interest.
The CQC said that feedback from people's relatives was positive, however.
Ashford Lodge Nursing Home declined to comment when approached by Nottinghamshire Live
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