Hepp v. Pierce

460 N.E.2d 186, 1984 Ind. App. LEXIS 2384
CourtIndiana Court of Appeals
DecidedFebruary 27, 1984
Docket3-1282A350
StatusPublished
Cited by17 cases

This text of 460 N.E.2d 186 (Hepp v. Pierce) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hepp v. Pierce, 460 N.E.2d 186, 1984 Ind. App. LEXIS 2384 (Ind. Ct. App. 1984).

Opinion

GARRARD, Judge.

These three cases have been consolidated because each presents the same question based upon substantially identical facts. The issue concerns the propriety of sanctions imposed upon counsel for all three appellants, Zarko Sekerez. The third case, Linda Harris v. Benjamin F. Grant, M.D., presents an additional issue concerning the propriety of summary judgment entered against the plaintiff.

All three appeals began as medical malpractice actions. In each a proposed complaint was filed with the Commissioner of Insurance pursuant to the Medical Malpractice Act, IC 16-9.5-1-1 et seq. The three complaints were filed between October 22, 1980 and December 19, 1980. The firm of Eichhorn, Eichhorn & Link entered an appearance for each of the three physician defendants and served interrogatories upon each of the three plaintiffs.

Zarko Sekerez, as attorney for each of the three plaintiffs, refused to respond to the interrogatories. Sekerez asserts his refusal was based upon his interpretation of IC 16-9.5-9-4 which provides that evidence submitted to the medical review panel may include "depositions of witnesses including parties and any other form of evidence allowable by the medical review panel." Sekerez construed the statute's reference to depositions as indicating that depositions were the only recognized instruments of discovery. Therefore, he contended interrogatories were not "a matter of right" and as such, need not be answered.

The physicians responded by filing petitions for sanctions pursuant to Indiana Rules of Procedure, Trial Rule 87(B) A little more than three months later Sekerez responded to the physicians' interrogatories after the cases had been venued to the Jasper Circuit Court with The Honorable Marvin D. McLaughlin sitting as Special Judge.

At defendants' request the plaintiffs Harris, Lazur and Hepp were all scheduled to be deposed on October 5, 1981 and counsel for the defendants appeared at the time set for each of the three depositions. The plaintiffs, however, failed to appear for the depositions as did Mr. Sekerez. The physicians responded on November 24, 1981 by filing supplemental petitions for Trial Rule 37(B) sanctions. These petitions incorporated the original petitions for sanctions, asserted Harris, Lazur and Hepp had failed to file adequate answers to the interrogatories originally propounded, and had additionally refused to appear for the October 5 depositions. All three supplemental petitions asserted that counsel for the plaintiffs was personally chargeable for the refusal of discovery, that he had acted in bad faith, and that costs and attorney's fees *188 should be imposed upon the plaintiffs and their counsel.

The court held a hearing on the original and supplemental petitions for sanctions and on December 10, 1981 entered an order requiring each of the plaintiffs to appear for deposition on December 29; at that time each was to produce the documents previously requested by the defendants and each plaintiff was to file complete responses to the physicians' interrogatories by January 5, 1982. The court then took the issue of sanctions under advisement until it observed the plaintiffs' compliance with the rest of the order.

Hepp and Harris amended their answers to the interrogatories on December 21, 1981. Lazur followed suit on January 11, 1982. All three plaintiffs were deposed on December 29, 1981. All three provided the documents requested of them. At the depositions Harris, Lazur and Hepp were questioned about the halting progress of discovery. All three testified they had relied upon the advice of their attorney, Zarko Sekerez, in responding to the discovery requests. All three evinced some ignorance regarding the physicians' requests for discovery and their respective responses to those requests.

Subsequently on August 28, 1982 counsel for the defendants filed a "Report of Discovery and Motion for Sanctions Against Opposing Counsel" in which it was asserted that Sekerez had attempted to avoid discovery as a matter of his own personal choice without consultation with his clients. The report sought a recovery of attorney fees against Sekerez in favor of The Medical Protective Company, which was the in-suror of all three physicians.

On August 31, 1982 the court held a hearing on the request for sanctions. At this time Sekerez argued that no sanctions could be imposed because the court had not complied with the provisions of IC 16-9.5-10-3 which require that the court shall enter its ruling on a motion for discovery within 80 days after it is heard. The court thereafter found the failure to completely answer interrogatories prior to December

29, 1981, the failure to appear for deposition prior to December 29, 1981 and the failure to produce documents prior to December 29, 1981 was in each case done in bad faith and in abuse of the rules of discovery and was done at the direction of Sekerez. The court imposed a sanction in the form of attorney fees in the amount of $300.00 in each case against Sekerez. Sek-erez appeals these three awards asserting there was insufficient evidence to support the finding of bad faith, that the award of attorney fees was entered in violation of IC 16-9.5-10-8, and that it was error to award attorney fees to The Medical Protective Company since it was not a party to the action.

Sekerez first asserts there was insufficient evidence of bad faith upon his part to justify the imposition of sanctions. He contends his interpretation of IC 16-9.5-9-4 as only permitting depositions, even if wrong, precludes a finding of bad faith. Of course, that interpretation speaks not to his failure to appear or to have his clients appear for depositions or to the failure to produce documents. That conduct he excuses on his interpretation of IC 16-9.5-10-4 which he asserts excused him from doing anything until the court entered its order on the motion for sanctions.

First of all we note that conduct can constitute "bad faith" within the meaning of the rule although it falls short of being "deliberate or by design." Clark Co. State Bk. v. Bennett (1975), 166 Ind.App. 471, 336 N.E.2d 663. It depends upon the circumstances of the given case. Id. Moreover, since it depends upon the circum«stances, the prohibition against an appellate court reweighing the evidence comes to bear. Our review is dependent upon the facts and reasonable inferences before the court which support its determination.

Initially, we note that when the discovery was requested Sekerez filed no objections thereto and sought no protective orders wherein a prompt determination of his "interpretations" could have been had. Moreover, the record amply demonstrates *189 he acted without consultation with his clients in determining to resist the discovery requested.

In addition the record discloses the following. When the interrogatories were originally answered the answers were incomplete and evasive. Despite his assertions, it appears Sekerez nevertheless proceeded himself, to propound interrogatories and seek the production of documents.

We conclude there was sufficient evidence of bad faith.

Sekerez next contends it was error to make the award of attorney fees in favor of The Medical Protective Company since it was not a party to the litigation.

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Bluebook (online)
460 N.E.2d 186, 1984 Ind. App. LEXIS 2384, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hepp-v-pierce-indctapp-1984.