Health Facilities Management Corp. v. Hughes

227 S.W.3d 910, 365 Ark. 237
CourtSupreme Court of Arkansas
DecidedFebruary 9, 2006
Docket05-90
StatusPublished
Cited by8 cases

This text of 227 S.W.3d 910 (Health Facilities Management Corp. v. Hughes) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Health Facilities Management Corp. v. Hughes, 227 S.W.3d 910, 365 Ark. 237 (Ark. 2006).

Opinion

Robert L. Brown, Justice.

Appellants Health Facilities Management Corporation (Health Facilities Management) and Little Rock Healthcare #1 (Little Rock Healthcare), d/b/a Little Rock Healthcare and Rehabilitation Center, appeal from the judgment entered against them in favor of the appellee, Mary Hughes, as executrix of the estate of Mildred Smith, and on behalf of the beneficiaries of Mildred Smith (the Estate).

The complaint reflects that Mildred Smith became a resident of Little Rock Healthcare on or about January 27, 1997. Her niece, Mary Hughes, testified that she visited Ms. Smith on a weekly basis and that Ms. Smith knew who she was and was able to feed herself. She stated that while Ms. Smith needed assistance with bathing and dressing, she was able to maintain a conversation.

On August 3, 1999, Ms. Smith had a dental appointment. Her niece arrived at the home, and they both were riding in the nursing home’s van to the appointment, when the nurse driving the van almost had an accident. Ms. Smith was thrown from her wheelchair to the floor of the van. She hit her head and face on the seat in front of her, and she fractured her tibia. At the time she fell, she had not been fastened into her wheelchair. She remained on the van floor, while being transported back to the nursing home.

After the accident, Ms. Hughes testified that Ms. Smith did not talk much anymore, and did not eat much at all. She started losing weight and became basically bed-bound. Several former employees of the home testified that they had found Ms. Smith lying in her urine at times. The Estate’s expert, Holly Brown, a nurse practitioner, testified after reviewing Ms. Smith’s records that Ms. Smith received substandard care at the nursing home in relation to having contractures, pressure sores, nutritional problems, documentation issues, and pain management. She testified that it was thirteen days after the accident that Ms. Smith had her first skin breakdown and that at that time, she had become more immobile, which could have affected her appetite and mood. She further testified that the records failed to show that Ms. Smith was turned often enough and that the records also showed the nursing home failed to take a proactive approach to Ms. Smith’s weight loss after the accident.

On August 23, 1999, Ms. Smith was diagnosed with a urinary tract infection that went untreated until September 3, 1999. In addition, Ms. Smith was not provided with the range-of-motion therapy that would have prevented the contractures. On March 21, 2000, she was admitted to the hospital, and when admitted, it was documented that she suffered from contractures. She died on March 26, 2000.

The Estate’s medical expert, Dr. Jonathan Evans, testified that it was his opinion that she died of an infection from sepsis, which was also the cause of death listed on the death summary from the hospital. The death certificate, however, listed the cause of death as end-stage coronary artery disease. Dr. Evans opined that the sepsis stemmed from an infection of a bedsore on Ms. Smith’s right hip, and he attributed her death, in part, to the fracture that she suffered the previous August.

On February 22, 2002, Mary Hughes, as executrix of the Estate, filed a complaint against Health Facilities Management and Little Rock Healthcare. Ms. Hughes stated that Ms. Smith was a resident of the nursing home from January 27, 1997, until March 21, 2000. The suit alleged four counts against the defendants: negligence, negligence as defined by the Arkansas Medical Malpractice Act, violations of the Arkansas Long-Term Care Resident’s Rights Statute, and wrongful death. The Estate prayed for compensatory damages and punitive damages.

On January 20, 2003, Health Facilities Management filed a motion for summary judgment with regard to all resident’s-rights claims and all medical-malpractice claims. In it, it claimed that the resident’s-rights statute created a cause of action only against a “licensee” of the facility. Health Facilities Management asserted that because it had never been a licensee for the facility, all claims against it based on the resident’s-rights statute should be dismissed as a matter of law. It further stated that any medical-malpractice claim against it should also be dismissed as Health Facilities Management was not a medical provider. The summary-judgment motion was denied by the circuit court during the course of the trial.

On April 13, 2004, Health Facilities Management and Little Rock Healthcare filed a motion in limine regarding the ownership of the two companies. The motion asserted that one hundred percent of the stock of both companies was owned by a single entity, Circle B Trust. The movants stated that they anticipated that the Estate would attempt to introduce evidence of the ownership at trial and question the financial involvement of the Bedell family in the ownership of the nursing home. The circuit court orally granted the motion for purposes of the compensatory-damages phase, subject to the defendants’ “opening of the door.”

Following a one-week jury trial in April 2004, the jury found negligence on the part of Little Rock Healthcare with damages assessed in the amount of $38,000, and violation of the resident’s-rights statute on the part of both defendants, with damages assessed against Health Facilities Management in the amount of $1.25 million and damages assessed against Little Rock Healthcare in the amount of $700,0003 Defendants’ verdicts were found for the other causes of action. Judgment was entered which provided that interest in the amount of 10% would accrue on these awards as to both defendants.

Health Facilities Management and Little Rock Healthcare filed a motion for judgment notwithstanding the verdict or, in the alternative, for a new trial or remittitur, and also for amendment of the judgment. On July 8, 2004, Health Facilities Management and Little Rock Healthcare filed their notice of appeal. On July 27, 2004, the circuit court entered its order granting the defendants’ motion for amendment of the interest on the judgment to 7%. In that order, the court also denied the defendants’ motion for judgment notwithstanding the verdict and, in the alternative, motion for new trial or remittitur. 1 2

I. Licensee

Health Facilities Management first urges that under the clear language of Arkansas Code Annotated § 20-10-1209 (Repl. 2000), only a licensee of a nursing home may be sued for violation of a resident’s rights. It asserts that the license issued by the State 'of Arkansas for operation of the nursing home where Ms. Smith resided was issued to Little Rock Healthcare, and, thus, it is the only proper defendant for this cause of action. It claims that despite the circuit court’s finding that Health Facilities Management was a “de facto” licensee, neither the circuit court nor this court has the authority to fashion a cause of action against Health Facilities Management under the statute. Because Health Facilities Management was not the licensee, it contends, the jury’s verdict against it for violation of Ms. Smith’s resident’s rights must be reversed.

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

Related

Meador v. Total Compliance Consultants, Inc.
2013 Ark. 22 (Supreme Court of Arkansas, 2013)
Shepherd v. Baptist Health
916 F. Supp. 2d 891 (E.D. Arkansas, 2012)
Smith v. Heather Manor Care Center, Inc.
424 S.W.3d 368 (Court of Appeals of Arkansas, 2012)
Lake Village Healthcare Center, LLC v. Hatchett
2012 Ark. 223 (Supreme Court of Arkansas, 2012)
Scott v. Central Arkansas Nursing Centers, Inc.
278 S.W.3d 587 (Court of Appeals of Arkansas, 2008)
Kidwell v. Rhew
268 S.W.3d 309 (Supreme Court of Arkansas, 2007)
Bearden v. Wyeth
482 F. Supp. 2d 614 (E.D. Pennsylvania, 2006)

Cite This Page — Counsel Stack

Bluebook (online)
227 S.W.3d 910, 365 Ark. 237, Counsel Stack Legal Research, https://law.counselstack.com/opinion/health-facilities-management-corp-v-hughes-ark-2006.