Corpus Christi Day Cruise, LLC v. Christus Spohn Health System Corp.

398 S.W.3d 303, 2012 WL 2605066, 2012 Tex. App. LEXIS 5343
CourtCourt of Appeals of Texas
DecidedJuly 5, 2012
DocketNo. 13-11-00117-CV
StatusPublished
Cited by15 cases

This text of 398 S.W.3d 303 (Corpus Christi Day Cruise, LLC v. Christus Spohn Health System Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Corpus Christi Day Cruise, LLC v. Christus Spohn Health System Corp., 398 S.W.3d 303, 2012 WL 2605066, 2012 Tex. App. LEXIS 5343 (Tex. Ct. App. 2012).

Opinion

OPINION

Opinion by

Justice GARZA.

This case involves the medical treatment of an employee working on the WV Texas Treasure, a gaming vessel. The owners and operators of the vessel, appellants Corpus Christi Day Cruise, LLC and Day Cruises Maritime, LLC (collectively referred to as “Texas Treasure”), were found liable for the employee’s hospital expenses at trial. Texas Treasure now appeals the judgment, contending that: (1) appellee Christus Spohn Health System Corp. d/b/a Christus Spohn Hospital Corpus Christi-Memorial (“Christus”) could not recover maintenance and cure benefits as the employee’s assignee under maritime law; (2) Christus should not have been permitted to amend its pleadings because this Court, in remanding the case after a previous [306]*306appeal, limited the scope of remand; (3) the evidence was legally and factually insufficient to support Christus’s promissory estoppel, breach of oral contract, and fraud claims; (4) the trial court erred in rendering judgment on the jury’s breach of written contract verdict and abused its discretion in sanctioning Texas Treasure’s trial counsel; and (5) attorney’s fees are not recoverable under a promissory estoppel theory. We affirm.

I. Background

Judy Ann Lanado, a Filipino national, became ill in August 2002 while working on board the Texas Treasure as a card dealer. Lanado, who was pregnant at the time she fell ill, was first taken to a hospital in Aransas Pass, Texas, and was later transferred to Christus on August 21, 2002. She was diagnosed with cholelithia-sis, or gallstones, and underwent surgery for that condition on August 22, 2002. Unfortunately, Lanado developed internal bleeding after the surgery, causing her to suffer severe brain damage and leading to the death of the fetus. On or about September 27, 2002, Lanado lapsed into a cerebral coma, leaving her in a permanent vegetative state. From the time she was admitted to Christus to the time she was transferred to a nursing home on October 1, 2003 — a period of over thirteen months — Lanado incurred hospital expenses of $1,089,959.82.

Lanado’s brother sued Christus on behalf of Lanado and her minor daughters, claiming that Lanado “was ignored by physicians and staff to a degree falling below the standard of care necessary as required by Texas law.” Christus denied the allegations. Subsequently, Texas Treasure intervened in the suit, claiming that it is potentially responsible as Lanado’s employer for paying her medical expenses under the admiralty doctrine of maintenance and cure, but that it was entitled to damages on the theory that it was equitably subrogated to Lanado for those expenses. Texas Treasure also sought a declaratory judgment that it is not obligated to pay Christus for Lanado’s medical care. Christus filed a counterclaim against Texas Treasure, arguing that Texas Treasure was responsible for the entirety of Lana-do’s hospital bill as a matter of law.

In the meantime, the Lanados settled their medical malpractice suit against Christus for an undisclosed amount. The settlement agreement provided for Chris-tus to make a lump sum payment to the Lanados and fund an annuity for their benefit. In exchange, the Lanados released their pending claims against Chris-tus and assigned to Christus the right to seek recovery of medical benefits from Texas Treasure. The settlement agreement further stated:

The parties agree that this acknowledgment, satisfaction and assignment as full satisfaction of the outstanding medical and hospital expenses Judy Ann Lanado incurred while a patient at [Christus] is not [to] be construed as forgiveness of the said hospital bill or that any amount paid to Judy Ann Lanado includes the payment of the said hospital bill. [Christus] is agreeing to stand in the place of Judy Ann Lanado by way of assignment and look to her Employer(s) for satisfaction of the hospital bill.
[322]*322Lessor Leased Acreage Acres Included Ohrt-Heinold Gas Unit Acres Included Ohrt-Albrecht Gas Unit

[306]*306The trial court approved the settlement agreement and rendered an agreed judgment dismissing the Lanados’ claims. Christus and Texas Treasure remained as parties to the underlying suit. Texas Treasure then amended its plea in intervention to seek a declaratory judgment that it was not responsible for the hospital bill because Lanado was no longer indebted to the hospital.

[307]*307Both parties subsequently then moved for summary judgment on Texas Treasure’s amended plea in intervention, and Christus moved for summary judgment on its counterclaim. After a hearing, the trial court denied Texas Treasure’s summary judgment motion and granted Christus’s motions. On appeal, we affirmed the trial court’s denial of Texas Treasure’s motion, but reversed the summary judgment granted in favor of Christus. Day Cruises Mar., L.L.C. v. Christus Spohn Health Sys., 267 S.W.3d 42, 63 (Tex.App.-Corpus Christi 2008, pet. denied) (“Day Cruises I”). With respect to the issues raised in Christus’s counterclaim, we found that the trial court erred by: (1) denying Texas Treasure’s motion for leave to amend its pleadings to include a properly verified denial of Christus’s sworn account claim; (2) granting summary judgment for Christus on its contractual claim based on a “Guarantee of Payment” form executed by a Texas Treasure representative, because Christus did not have standing as a third-party beneficiary; and (3) granting Christus summary judgment based on the admiralty doctrine of maintenance and cure, in conjunction with an “Assignment of Benefits” form executed by Lanado upon her admission to Chris-tus, because disputed issues of material fact remained as to that claim. Id. at 53-60; see Tex.R. Civ. P. 166a(c). We stated specifically that the unresolved issues included whether Christus was negligent in its care of Lanado, and how much, if any, of the hospital charges were attributable to such negligence. Day Cruises I, 267 S.W.3d at 63. With respect to the claims made in Texas Treasure’s plea in intervention, we concluded that: (1) Texas Treasure was not equitably subrogated to the Lanados’ rights because there was no risk that, absent action by the trial court, the Lanados would recover twice; and (2) summary judgment was improper as to Texas Treasure’s request for declaratory relief, because “a shipowner required to pay maintenance and cure may recover those payments from a third party who caused the injury, even when the employee has already settled with that third party,” and because disputed material fact issues remained regarding Texas Treasure’s liability. Id. at 61-63.

After remand, Christus amended its counterclaim to include claims that Texas Treasure was liable under theories other than maintenance and cure. Specifically, Christus added allegations that Texas Treasure breached Lanado’s written employment agreement with the Philippines Overseas Employment Administration (“POEA”) and that Texas Treasure breached an oral agreement arising out a telephone call made by its representative to' Christus’s business office. Christus also added claims of promissory estoppel and fraud.

After the trial court denied a motion for directed verdict filed by Texas Treasure, the case proceeded to trial.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
398 S.W.3d 303, 2012 WL 2605066, 2012 Tex. App. LEXIS 5343, Counsel Stack Legal Research, https://law.counselstack.com/opinion/corpus-christi-day-cruise-llc-v-christus-spohn-health-system-corp-texapp-2012.