Crawford v. Leahy

604 A.2d 73, 326 Md. 160, 1992 Md. LEXIS 58
CourtCourt of Appeals of Maryland
DecidedApril 9, 1992
Docket84, September Term, 1991
StatusPublished
Cited by23 cases

This text of 604 A.2d 73 (Crawford v. Leahy) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Crawford v. Leahy, 604 A.2d 73, 326 Md. 160, 1992 Md. LEXIS 58 (Md. 1992).

Opinion

KARWACKI, Judge.

In this case we are once more called upon to construe the Health Care Malpractice Claims Act, Maryland Code (1989, 1991 Cum.Supp.) §§ 3-2A-01 through 3-2A-09 of the Courts and Judicial Proceedings Article (the Act). The narrow question presented is whether an award of the health claims arbitration panel in favor of the claimant on the merits can be subdivided into an award finding liability and an award assessing damages, permitting the claimant to seek judicial review of only the amount of damages awarded. We shall answer that question in the negative and affirm the judgment of the trial court.

I

Helen Denise Crawford alleged that she was injured as a result of malpractice by Dr. William R. Leahy and his professional association, Neurological Medicine, P.A. (collectively “Dr. Leahy”). Mrs. Crawford and her husband 1 (Crawfords), filed a claim against Dr. Leahy, pursuant to the Act. After a hearing before a health claims arbitration panel, the Crawfords obtained an award of $37,768 against Dr. Leahy. The panel’s decision was rendered on a preprinted form which compelled the arbitrators to set forth separately their decisions regarding liability, damages, and costs, as required by the Act. 2

*163 Dissatisfied with the amount of damages, the Crawfords filed a pleading in the Circuit Court for Prince George’s County entitled “Notice of Action to Nullify Award as to Damages Only,” attempting to reject the award of the panel as it related to damages only in an effort to prevent de novo judicial review of the arbitration panel’s liability determination. The Crawfords simultaneously filed a complaint, as required by Maryland Rule BY4, alleging that Dr. Leahy had been negligent in his care and treatment of Mrs. Crawford. The Crawfords demanded a jury trial “on all issues herein.”

In response, Dr. Leahy filed a “Motion to Strike or, in the Alternative, for Complete Rejection of the Arbitration Award.” In that pleading, Dr. Leahy asserted that the Act required that the Crawfords reject the liability finding in their favor as well as the damages determination or, alternatively, that the Crawfords’ notice of rejection should be deemed to have rejected the entire award. Concluding that there is “no authority to allow an appeal from Health Claims Arbitration on the issue of damages alone,” Judge William H. McCullough granted Dr. Leahy’s motion to strike, giving the Crawfords leave to file an amended notice of action to nullify award and complaint.

Thereafter, the Crawfords filed an “Amended Notice of Action to Nullify Award,” stating that they “reject the award of the Health Claims Arbitration panel as it relates to liability and damages.” The Crawfords also filed an “Amended Complaint” that was identical to the originally filed complaint; both pleadings contained allegations of negligence. Dr. Leahy answered, denying liability.

*164 Ten months later, after extensive discovery regarding matters relevant to both liability and damages, and ten days before trial, the Crawfords, in another attempt to limit the trial solely to the issue of damages, moved for reconsideration of the court’s earlier decision. The Crawfords suggested that “[t]he ‘all or nothing’ approach adopted by Judge McCullough requires plaintiffs to prove a non sequitur, that is, that the liability finding in their favor is ‘not correct.’ ” Dr. Leahy opposed this motion, noting that once the award is rejected by either party, the case proceeds de novo, so that the jury necessarily considers the issue of Dr. Leahy’s liability. Dr. Leahy reiterated his prior arguments that neither the statute nor the rules permit piecemeal rejection of an award as asserted by the Crawfords. Judge James P. Salmon, who was to preside at the trial, denied the motion for reconsideration.

The case proceeded to trial before a jury. In support of their claims, the Crawfords presented evidence which included not only the arbitration award, but also extensive expert testimony on the issue of Dr. Leahy’s alleged negligence. The case was submitted to the jury on specific issues pursuant to Md.Rule 2-522. The jury returned a special verdict finding that Dr. Leahy was not negligent with regard to his care and treatment of Mrs. Crawford.

The Crawfords timely appealed to the Court of Special Appeals from the judgment entered on that special verdict. We issued a writ of certiorari on our own motion, prior to argument before the Court of Special Appeals, to consider the important issue raised by this appeal.

II

When the General Assembly originally adopted the Act by Ch. 235 of the Acts of 1976, it mandated that all claims for medical malpractice be submitted to an arbitration panel *165 prior to pursuing them by an action in court. 3 Nevertheless, we have explained:

“The mandatory arbitration requirement does not divest courts of subject matter jurisdiction over health claims, but rather ‘ “creates a condition precedent to the institution of a court action.” ’ Tranen [v. Aziz ], 304 Md. [605] at 612, 500 A.2d [636] at 639 [(1985)] (quoting Oxtoby v. McGowan, 294 Md. 83, 91, 447 A.2d 860, 865 (1982)). Upon fulfillment of the condition precedent, malpractice claims may be heard in court.
“The final step in the arbitration process, an essential prerequisite to institution of judicial proceedings, is the filing of a notice of rejection with the director of the Arbitration Office. Tranen, 304 Md. at 612, 500 A.2d at 639; § 3-2A-06(a). Failure to file notice of rejection permits the arbitration award to become final and binding. Tranen, 304 Md. at 613, 500 A.2d at 640; § 3-2A-05(h).
“The 'exclusive step by which the aggrieved party may initiate proceedings in court,’ Tranen, 304 Md. at 612, 500 A.2d at 639, is the action to nullify the award. Section 3-2A-06(b). Although called an action to nullify, the proceeding is not analogous to an appeal from an administrative decision. Rather, the action is essentially a separate common law tort action with the added element that the arbitration process must be complete. See Attorney General v. Johnson, 282 Md. 274, 385 A.2d 57, appeal dismissed, 439 U.S. 805, 99 S.Ct. 60, 58 L.Ed.2d 97 (1978).”

Ott v. Kaiser-Georgetown Health Plan, 309 Md. 641, 645-46, 526 A.2d 46, 49 (1987).

*166 A.

Whether the Act permits rejection of the panel’s award soley as to damages is an issue of statutory construction and as such is ordinarily determined by reference to legislative intent.

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Bluebook (online)
604 A.2d 73, 326 Md. 160, 1992 Md. LEXIS 58, Counsel Stack Legal Research, https://law.counselstack.com/opinion/crawford-v-leahy-md-1992.