Harrell v. Mercy Health Services Corp.

229 S.W.3d 614, 2007 Mo. App. LEXIS 1033
CourtMissouri Court of Appeals
DecidedJuly 10, 2007
Docket27401, 27403
StatusPublished
Cited by7 cases

This text of 229 S.W.3d 614 (Harrell v. Mercy Health Services Corp.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Harrell v. Mercy Health Services Corp., 229 S.W.3d 614, 2007 Mo. App. LEXIS 1033 (Mo. Ct. App. 2007).

Opinion

PHILLIP R. GARRISON, Judge.

Dr. Mark J. Harrell (“Dr. Harrell”), Dr. Heather Isom (“Dr. Isom”), and Dr. Michael K. Shafe (“Dr. Shafe”)(collectively referred to as “Plaintiffs”) brought suit against Mercy Health Services Corporation (“Defendant”) 1 for breach of employment contracts. Following a jury trial, a verdict was entered in favor of Plaintiffs but awarding zero damages. On appeal, Plaintiffs allege that the trial court erred in overruling their motion for mistrial. Defendant files a cross-appeal, alleging that the trial court erred in overruling its motion for judgment notwithstanding the verdict. We reverse.

FACTS

In the light most favorable to the jury’s verdict, the record reveals the following. On May 30, 1998, Dr. Harrell entered into a three-year employment contract with Defendant to provide medical services to patients of St. John’s in their Emergency Department. The contract covered the period of August 15, 1998, to August 15, 2001. The contract contained an incentive compensation clause which read as follows:

(b) Incentive Compensation. [Defendant] shall implement an incentive compensation arrangement for Emergency Department physician employees of the Emergency Department based upon productivity (“Incentive Compensation”). Such Incentive Compensation arrangement shall apply retroactively to the Effective Date, and [Defendant] will provide Physician with a written statement of a compensation arrangement incorporating the Incentive Compensation. Maximum Compensation, as discussed below, may be adjusted as a result of incorporating the Incentive Compensation arrangement.

When Dr. Harrell entered into the contract, he was informed that the incentive compensation plan was under discussions and negotiations for all Emergency Department physicians, but that it had not yet been implemented. It was Dr. Harrell’s understanding that, in the event the incentive compensation plan was agreed upon, the plan would be reduced to writing, signed by both parties, and made an addendum to his contract. Dr. Harrell did not stay for the entire length of his three-year contract, tendering his letter of resignation to St. John’s in the spring of 2001. Although there were on-going meetings and discussions, an incentive compensation plan was never implemented during the course of Dr. Harrell’s employment.

Dr. Isom and Dr. Shafe, husband and wife, each entered into employment contracts identical to Dr. Harrell’s contract. Their contracts covered the two-year period of January 11, 1999, to January 10, 2001. When Dr. Isom and Dr. Shafe signed their employment contracts, they were both aware that the incentive compensation plan was still under discussion and had not yet been implemented. They also understood that before an incentive compensation plan could be implemented, an agreement would have to be reached on how to calculate the incentive compensation, and the terms would have to be reduced to writing and signed by the parties. Dr. Isom and Dr. Shafe both tendered letters of resignation prior to the expiration of their employment contract, but stayed at St. John’s until May of 2001, *617 working without a contract. When they left St. John’s, no written compensation plan had been implemented.

On June 11, 2001, Plaintiffs filed a petition against Defendant for breach of contract, seeking damages in the amount of $608,000. Plaintiffs alleged in their petition that Defendant “failed and refused to perform their obligations under Section 3(b) of [the employment contracts]” which “provided for incentive compensation from Defendant! ] to Plaintiffs.”

A trial was held on September 12-13, 2005, after which the jury returned a verdict in favor of Plaintiffs, but awarding zero damages. After the jury had returned its verdict, the following exchange took place between the trial court and the attorneys:

THE COURT: Somewhere in my memory it seems to me that that’s an inconsistent verdict.
[Plaintiffs’ Attorney]: It is.
[Defendant’s Attorney]: I don’t believe it is, Your Honor, based on the evidence.
THE COURT: Well, I think there’s a case out there that says in a breach of contract case, you can’t find for somebody and give them zero because the way the instructions are read, you should either find for the other party because they didn’t prove up damages on the claim — I don’t know.
And maybe I’m completely off base, I don’t know. And even if it is, I don’t know what to do.
[Plaintiffs’ Attorney]: Your honor, I’d ask for a mistrial.
THE COURT: Well, I’m not going to do that at this point. That may be the end result of it because I want to look at the law.
But I’m going to discharge the jury at this point and then we’ll figure out what the law is on it; okay? I’ll make a record that you have.

The trial court discharged the jury and took Plaintiffs’ motion for mistrial under advisement. On October 12, 2005, Defendant filed a motion for judgment notwithstanding the verdict. On November 2, 2005, in accordance with the jury verdict, the trial court entered judgment in favor of Plaintiffs awarding zero damages, and assessing court costs against Defendant. Plaintiffs later filed a motion for new trial, and Defendant filed a supplemental motion for judgment notwithstanding the verdict. On December 6, 2005, the trial court overruled “all pending post-trial motions.” Plaintiffs and Defendant now appeal.

PLAINTIFFS’ APPEAL

Plaintiffs’ sole point on appeal reads as follows:

The trial court erred in not ruling on Plaintiffs’ motion for mistrial prior to discharging the jury because it caused the jury to render an inconsistent verdict of finding for Plaintiffs and awarding each of them a verdict in the amount of -0-damages for the reason that the trial court did not allow the jury to correct the verdicts before they were accepted as the judgment of the court.

“[T]he general rule is that an objection to inconsistency in verdicts must be made before the jury is discharged. If such an objection is not made at this time the error is deemed waived.” City of Independence for Use of Briggs v. Kerr Constr. Paving Co., Inc., 957 S.W.2d 315, 319-20 (Mo.App. W.D.1997) (internal citations omitted). This rule was originally announced in Douglass v. Safire, 712 S.W.2d 373, 374 (Mo. banc 1986):

[A] claim that a verdict is inconsistent to the point of being self-destructive must be presented to the trial court before the jury is discharged. Other *618 wise the claim of inconsistency will be held to have been waived. The reason is that, if the point is raised as soon as the verdict is returned, any error is capable of correction by ordering the jury to return for further deliberation.

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229 S.W.3d 614, 2007 Mo. App. LEXIS 1033, Counsel Stack Legal Research, https://law.counselstack.com/opinion/harrell-v-mercy-health-services-corp-moctapp-2007.