A. Copeland Enterprises Inc. v. Slide Memorial Hospital

637 So. 2d 1087, 93 La.App. 1 Cir. 0987, 1994 La. App. LEXIS 1084, 1994 WL 140921
CourtLouisiana Court of Appeal
DecidedApril 8, 1994
DocketNo. CA 93 0987
StatusPublished
Cited by3 cases

This text of 637 So. 2d 1087 (A. Copeland Enterprises Inc. v. Slide Memorial Hospital) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
A. Copeland Enterprises Inc. v. Slide Memorial Hospital, 637 So. 2d 1087, 93 La.App. 1 Cir. 0987, 1994 La. App. LEXIS 1084, 1994 WL 140921 (La. Ct. App. 1994).

Opinion

GONZALES, Judge.

This is an appeal from a judgment holding the Louisiana Patient’s Compensation Fund (PCF) liable for reimbursement of medical expenses paid by a self-insured employer to an employee who was a victim of medical malpractice.

FACTS AND PROCEDURAL HISTORY

On July 12, 1988, Donna Wallace, an employee of A. Copeland Enterprises, Inc., and a beneficiary of its self-insured health plan, underwent a mastectomy at Slidell Memorial Hospital. Immediately following the sur[1088]*1088gery, Ms. Wallace awakened with complaints of pain and was given a narcotic analgesic by the nurse anesthetist, Julie Joyce, CRNA. Ms. Wallace lapsed into a coma shortly thereafter in the recovery room, where she had not been adequately monitored by the hospital recovery staff. She remained in a coma until her death two years later on August 22, 1990.

On February 16, 1989, Ms. Wallace and her husband, individually and on behalf of their three minor children, filed suit seeking damages against Slidell Memorial Hospital, Dr. Luis Hernandez, the anesthesiologist, and Julie Joyce, among others, for medical malpractice. The matter was submitted to a medical malpractice review panel pursuant to La.R.S. 40:1299.47.1 A. Copeland Enterprises, Inc. and its Employee Welfare Benefit Plan (collectively, Copeland) intervened in the review panel proceedings, seeking reimbursement of medical expenses paid on behalf of Ms. Wallace. On March 6, 1990, the review panel issued opinions and written reasons, finding that the Slidell Memorial Hospital failed to comply with the appropriate standard of care in that “the hospital recovery room staff failed to properly monitor [Ms. Wallace] and respond in a timely fashion to a deterioration in [her] vital signs” which “rapidly led to [Ms. Wallace’s] demise: respiratory and cardiac arrest.” However, the panel also found that the evidence did not support the conclusion that Dr. Hernandez and Ms. Joyce failed to |smeet the applicable standard of care.

Thereafter, the Wallaces settled their claims with the defendants and received payment from the PCF; however, in the receipt and release agreement, it is expressly stated that the Wallaces accepted the settlement funds as payment for general damages only, and not as compensation for medical expenses incurred.

Following settlement of the Wallace’s claims, Copeland went forward with the review panel proceedings. At the conclusion of those proceedings, Copeland filed suit against Slidell Memorial Hospital, the Louisiana Hospital Association Trust Fund (the hospital’s insurer), Dr. Hernandez, Ms. Joyce, and the PCF. The Louisiana Hospital Association Trust Fund and Dr. Hernandez were later released from the litigation. On the day of the trial, the parties agreed to stipulate to all relevant facts. Thereafter, a document was filed into the record, wherein the parties stipulated (1) to the liability of Slidell Memorial Hospital and Julie Joyce; (2) to the payment of $731,602.57 by Travelers Insurance Company and Provident Insurance Company from money funded by Copeland for medical expenses resulting from the July 12, 1988 incident; (3) that coverage for medical expenses was provided to Ms. Wallace under Copeland’s employee benefit program; (4) that Mr. Wallace executed a subro-gation agreement in favor of Copeland with regard to the medical payments; (5) that Slidell Memorial Hospital and Julie Joyce were qualified health care providers at the time of the incident and were properly enrolled in the PCF; and (6) to the authenticity of certain depositions and documents.

The parties then filed memoranda with the trial court addressing the sole remaining issue: whether Copeland, as subrogee of Ms. Wallace, was entitled to recover expenses for “future medical care and related benefits” as defined by La.R.S. 40:1299.43(B)(1)2 14from the PCF and/or the other defendants. On December 29, 1992, the trial court rendered judgment in favor of Copeland and against the PCF, as well as Slidell Memorial Hospital and Ms. Joyce, as nominal defendants only, in the amount of $731,602.57, plus costs and legal interest from the date of Ms. Wallace’s death.

[1089]*1089The defendants’ subsequent motion for a new trial was denied and this suspensive appeal followed. On appeal, the PCF3 makes the following assignment of error:

The trial court erred in interpreting Louisiana law to entitle A. Copeland Enterprises, Inc. and A. Copeland Enterprises, Inc. Employee Welfare Benefits Plan to the reimbursement from the Louisiana Patient’s Compensation Fund of monies paid on behalf of an employee/insured for medical expenses incurred as a result of the medical malpractice of a health care provider qualified under the Louisiana Medical Malpractice Act.

Copeland answered the appeal claiming that the trial court erred as a matter of law in awarding judgment against Slidell Memorial Hospital and Ms. Joyce as nominal parties only.

LOUISIANA MEDICAL MALPRACTICE ACT

The Louisiana Medical Malpractice Act, La.R.S. 40:1299.41 et seq., is a statutorily created scheme which provides for the compensation of medical malpractice victims who have been injured by qualified health care providers. Stuka v. Fleming, 561 So.2d 1871, 1873 (La.1990), cert. denied, 498 U.S. 982, 111 S.Ct. 513, 112 L.Ed.2d 525 (1990). As described in Lamark v. NME Hospitals, Inc., 522 So.2d 634, 635 (La.App. 4th Cir.), writ denied, 526 So.2d 803 (La.1988), the three primary features of the scheme are:

(1) the mandatory submission of all claims to a medical review panel prior to any suit being filed, which requirement may be waived only by consent of all parties (§ 1299.47); (2) a limitation of $500,000.00 plus interest and costs on the total amount of damages recoverable per injured person and a limit of $100,000.00 on the total liability of any one health care provider for all malpractice claims stemming from the injury or death of one person (§ 1299.42); and (3) the creation of the Patient’s Compensation Fund ..., financed by surcharges levied on the health care providers, from which are Rpaid general damages that exceed the $100,000 limitation of liability provided to each health care provider, as well as “future medical care and related benefits,” which the statute specifies are to be paid without regard to the $500,000 limit on other damages. (§§ 1299.43, 1299:44).

At issue in this case is the proper interpretation of § 1299.43(C) of the Act which allows a patient, who has settled his medical malpractice claim, to thereafter make a claim to the PCF for future medical care and related benefits made necessary by the health care provider’s malpractice. Section 1299.43(C) provides:

Once a judgment is entered in favor of a patient who is found to be in need of future medical care and related benefits or a settlement is reached between a patient and the patient’s compensation fund in which the provision of medical care and related benefits is agreed upon and continuing as long as medical or surgical attention is reasonably necessary, the patient may make a claim to the patient’s compensation fund through the board for all future medical care and related benefíts directly or indirectly made necessary by the health care provider’s malpractice

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Related

STATE EX REL. DEPT. OF SOCIAL SERV. v. Southern Baptist Hosp.
663 So. 2d 443 (Louisiana Court of Appeal, 1995)
Copeland Enterprises, Inc. v. Slidell Memorial Hosp.
657 So. 2d 1292 (Supreme Court of Louisiana, 1995)

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Bluebook (online)
637 So. 2d 1087, 93 La.App. 1 Cir. 0987, 1994 La. App. LEXIS 1084, 1994 WL 140921, Counsel Stack Legal Research, https://law.counselstack.com/opinion/a-copeland-enterprises-inc-v-slide-memorial-hospital-lactapp-1994.