Chiesa v. Fetchko

464 A.2d 1293, 318 Pa. Super. 188
CourtSupreme Court of Pennsylvania
DecidedNovember 14, 1983
Docket117
StatusPublished
Cited by9 cases

This text of 464 A.2d 1293 (Chiesa v. Fetchko) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chiesa v. Fetchko, 464 A.2d 1293, 318 Pa. Super. 188 (Pa. 1983).

Opinions

JOHNSON, Judge:

The Pennsylvania Department of Public Welfare (the Department) appeals the Order of the trial court entered January 19, 1982, denying their Petition to Intervene.

The record indicates that plaintiff Dana A. Chiesa filed a medical malpractice complaint against the defendant doctors in February of 1980 under the Health Care Services Malpractice Act (HCSMA), 40 P.S. § 1301.101 et seq.1 The action was subsequently transferred to the Court of Common Pleas in December of 1980. Plaintiff, who was receiving both Medicaid and cash assistance from the Department, did not notify the Department of the pendency of this action. By letter dated July 14, 1981, the Department requested information from plaintiffs counsel concerning any personal injury claim and informing counsel of his duty to notify the Department of such a claim.2 A reply dated September 4, 1981 was sent by plaintiffs counsel to the Department, stating that the HCSMA, specifically section 602,3 required no notice to the Department, nor was the Department entitled to any right of subrogation.

Following this exchange of correspondence, the claim was settled and, on October 16, 1981, the docket marked “settled and discontinued.” The Department then presented a Peti[191]*191tion to Intervene4 to the court. The trial court ordered the settlement monies, $50,000, placed in escrow. The parties then stipulated to the Department’s claims of $5,807.95 for medical assistance and $3,996.50 in cash assistance. The Department’s Petition was denied by court order entered January 19, 1982.

The Department on appeal seeks review of the trial court’s determination that (1) no irreconcilable conflict exists between section 1409 of the Fraud Abuse and Control Act and section 602 of the HCSMA, (2) that section 602 of the HCSMA prevails over section 1409 of the Fraud Abuse and Control Act and (3) that said section 602 does not conflict with sections 1974 or 1975 of the Support Law.5

We must first determine whether the Order appealed from is final or interlocutory.6

An order denying intervention is not appealable unless it “would be a practical denial of relief to which the petitioner for intervention is entitled and can obtain in no other way.” Frey’s Estate, 237 Pa. 269, 271, 85 A. 147, 148 (1912). See Annot., 15 A.L.R.2d 33.

Richard Held Builders, Inc. v. A.G. Allebach, Inc., 266 Pa.Super. 101, 103, 403 A.2d 113, 114 (1979); see also Boise Cascade Corp. v. East Stroudsburg Savings Association, 300 Pa.Super. 279, 446 A.2d 614 (1982).

Unless we consider the merits—or “ramifications”—of a case, we cannot tell whether an order denying a petition to intervene is “a practical denial of relief to which the petitioner for intervention is entitled.” See, e.g., Taub v. [192]*192Merriam, 251 Pa.Superior Ct. 572, 380 A.2d 1245 (1977) (deciding appeal); Richard Held Builders, Inc. v. A.G. Allebach, Inc., 266 Pa.Superior Ct. 101, 403 A.2d 113 (1979) (quashing appeal).

Boise Cascade Corp. v. East Stroudsburg Savings Association, 300 Pa.Super. at 282, 446 A.2d at 615 (footnote omitted).

The record indicates that the trial court ordered the settlement monies placed into escrow and that the parties stipulated to the sums paid to the plaintiff by the Department by way of medical and cash assistance. Therefore, as a practical matter, the undisputed res in controversy is being held by the court pending this appeal. The trial court, pursuant to its opinion dated January 11, 1982,7 held that the Department was not entitled to the monies as a matter of law. The Order of the trial court denying the Department’s Petition to Intervene is therefore a practical denial of relief.

The second part of the test for appealability is whether the Department can obtain relief by any other method. The Department has the right, under 62 P.S. § 1974, to sue a beneficiary for reimbursement of benefits paid by the Department. See Commonwealth of Pennsylvania, Department of Public Welfare v. Livingood, 22 Pa.Commw. 530, 349 A.2d 816 (1976); see also Shearer v. Moore, 277 Pa.Super. 70, 419 A.2d 665 (1980) (Commonwealth, in furtherance of efforts to obtain reimbursement for medical assistance payments, may sue recipient of assistance in court of common pleas). Also, the Fraud Abuse and Control Act, 62 P.S. § 1409(b)(1),8 states that the Department may sue a tort[193]*193feasor or his insurer directly for recovery of benefits paid on behalf of a beneficiary who has suffered injury. However, as stated previously, the trial court held that the Department was not entitled to recover benefits from the plaintiff in the instant case. We hold that, as a practical matter, the Department has no legal alternative9 to intervention in the instant case. The order denying the Department’s Petition to Intervene is, therefore, appealable.

We now turn to the issues raised on appeal.

Initially, it must be noted that all three issues raised by the Department involve the force and effect of section 602 of HCSMA. The record indicates the action was transferred to the Court of Common Pleas, pursuant to an Election of Jurisdiction, by the plaintiff.10 The record also indicates that the controversy was settled after the transfer.

We therefore must initially determine whether section 602 of the HCSMA is applicable in a situation involving the settlement of a malpractice action after transfer of the action from the jurisdiction of the HCSMA to the common pleas court.

[194]*194It is clear that since the holding in Mattos v. Thompson, supra, the HCSMA no longer has original exclusive jurisdiction over claims for loss or damage, arising from the furnishing of medical services, against health care providers in Pennsylvania. Therefore, where such an action is either originally instituted in the court of common pleas or transferred to said court from the jurisdiction of the HCSMA pursuant to the Opinion of the Attorney General, 15 D & C 3d 585 (1980), certain other provisions of the HCSMA will no longer apply to the action.11

The provision in question states:

§ 1301.602 Reduction of award by other benefits
The loss and damages awarded under this act shall be reduced by any public collateral source of compensation or benefits. A right of subrogation is not enforceable against any benefit or compensation awarded under this act or against any health care provider or its liability insurer. (Emphasis added)

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Chiesa v. Fetchko
464 A.2d 1293 (Supreme Court of Pennsylvania, 1983)

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Bluebook (online)
464 A.2d 1293, 318 Pa. Super. 188, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chiesa-v-fetchko-pa-1983.