Horowitz v. PLANTATION GENERAL HOSP. LTD.

959 So. 2d 176, 2007 WL 1498968
CourtSupreme Court of Florida
DecidedMay 24, 2007
DocketSC05-331
StatusPublished
Cited by26 cases

This text of 959 So. 2d 176 (Horowitz v. PLANTATION GENERAL HOSP. LTD.) is published on Counsel Stack Legal Research, covering Supreme Court of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Horowitz v. PLANTATION GENERAL HOSP. LTD., 959 So. 2d 176, 2007 WL 1498968 (Fla. 2007).

Opinion

959 So.2d 176 (2007)

Stuart HOROWITZ, etc., et al., Petitioners,
v.
PLANTATION GENERAL HOSPITAL LIMITED PARTNERSHIP, etc., Respondent.

No. SC05-331.

Supreme Court of Florida.

May 24, 2007.

*177 H. Mark Purdy and Rose-Ann Flynn of Purdy and Flynn, P.A., Fort Lauderdale, FL, for Petitioners.

Arthur J. England, Jr. and Edward G. Guedes of Greenberg Traurig, P.A., Miami, FL, Hal B. Anderson and Kevin M. Vannatta of Billing, Cochran, Heath, Lyles, Mauro and Anderson, Fort Lauderdale, FL, for Respondents.

Joel S. Perwin of Joel S. Perwin, P.A., Miami, FL, on behalf of the Academy of Florida Trial Lawyers; and Gail Leverett Parenti of Parenti and Parenti, PA., Miami, FL, and William A. Bell, General Counsel, Florida Hospital Association, Tallahassee, FL, on behalf of the Florida Hospital Association, as Amicus Curiae.

PARIENTE, J.

In this case, a patient with an unsatisfied money judgment against a physician for medical malpractice seeks recovery from a hospital where the physician had staff privileges, alleging that the hospital should be liable to her for failing to ensure that the physician complied with statutory financial responsibility requirements. The issue is whether section 458.320, Florida Statutes (2006), which outlines the financial responsibility requirements for physicians practicing in Florida, imposes civil liability on the hospital under these circumstances. See Plantation Gen. Hosp. Ltd. P'ship v. Horowitz, 895 So.2d 484 (Fla. 4th DCA 2005).

The Fourth District Court of Appeal held that there was no indication of legislative intent to impose civil liability on hospitals anywhere in the statutory scheme. See id. at 488. This decision expressly and *178 directly conflicts with Robert v. Paschall, 767 So.2d 1227 (Fla. 5th DCA 2000), Baker v. Tenet Healthsystem Hospitals, Inc., 780 So.2d 170 (Fla. 2d DCA 2001), and Mercy Hospital, Inc. v. Baumgardner, 870 So.2d 130 (Fla. 3d DCA 2003), all of which recognized a statutory cause of action based on section 458.320. We accepted jurisdiction to resolve this conflict. See art. V, § 3(b)(3), Fla. Const.

We conclude, based on a review of the applicable statutory provisions, that the Legislature did not intend to impose civil liability on hospitals for failing to ensure that physicians who are granted staff privileges comply with the financial responsibility requirements of section 458.320. We therefore approve the Fourth District's decision in this case and disapprove the decisions in Robert, Baker, and Baumgardner.

FACTS AND PROCEDURAL HISTORY

In January 1996, Lena Horowitz visited the office of Derek V. Jhagroo, M.D., for examination and treatment of her infected right thumb. On January 22, 1996, Dr. Jhagroo admitted her to Plantation General Hospital ("Plantation"), where it became necessary to amputate her thumb. Lena Horowitz and her husband, Max Horowitz, filed a malpractice suit against Dr. Jhagroo, alleging that he committed malpractice while examining and treating her right thumb in his office. The complaint alleged that Dr. Jhagroo was negligent in the treatment he provided in his office and did not involve any allegations arising from the admission and surgery conducted at Plantation. Dr. Jhagroo was the only defendant and there was no allegation that Dr. Jhagroo was an employee of the hospital.

The malpractice action resulted in a verdict in the Horowitzes' favor and a final judgment against Dr. Jhagroo in the amount of $859,200.73. However, the judgment was uncollectible because Dr. Jhagroo failed to maintain malpractice insurance or otherwise comply with the financial responsibility requirements of section 458.320, owned no real property in the United States, and resided in another country.

In February 2001, after unsuccessfully attempting to collect the judgment from Dr. Jhagroo, the Horowitzes filed suit against Plantation.[1] The amended complaint alleged that Plantation breached a statutory duty under section 458.320(2) in failing to ensure the financial responsibility of Dr. Jhagroo as a physician who had been granted staff privileges at the hospital.[2] Specifically, Horowitz asserted that *179 because of that failure, Plantation was liable for the first $250,000 of the unsatisfied judgment. Horowitz and Plantation each filed motions for summary judgment. The issue on summary judgment was whether the holdings of the Second, Third, and Fifth Districts would apply to a case in which the underlying malpractice occurred in the physician's office rather than the hospital. See Horowitz, 895 So.2d at 485.[3]

In Robert, one of the conflict cases, the Fifth District determined that section 458.320(2) mandates financial responsibility as a condition to maintaining staff privileges and therefore imposes a duty on the hospital to ensure physician compliance. 767 So.2d at 1228. The Fifth District reasoned that the "obvious intent of the legislature was to make sure that a person injured by the medical malpractice of a doctor with staff privileges would be able to ultimately recover at least $250,000 of compensable damages." Id. The court then held that the cause of action against the hospital would accrue only after the injured person obtained a judgment against the physician for medical malpractice, and that the hospital's liability would be limited to $250,000. Id. at 1228-29. The Second District in Baker, 780 So.2d at 171-72, and the Third District in Baumgardner, 870 So.2d at 131-32, agreed with the Fifth District's opinion in Robert.

The trial court, relying on the decisions of these district courts of appeal, granted summary judgment in favor of Horowitz and awarded him $250,254. This amount represented the minimum level of financial responsibility required by the statute, $250,000, plus taxable costs.

On appeal, the Fourth District reversed the judgment of the trial court without drawing a distinction between malpractice that occurs in a hospital and malpractice that occurs in a physician's office. The Fourth District rejected the assertion that section 458.320 creates a statutory cause of action against a hospital "whether it be based on strict liability, negligence, suretyship, contract, contribution, indemnification, criminal punishment, or any other legal theory the creative minds of lawyers can discern." Horowitz, 895 So.2d at 488. The Fourth District determined that the intent of the statute was to ensure that physicians maintain financial responsibility to satisfy judgments against them and not to make hospitals liable for the unsatisfied malpractice judgments of their staff-privileged physicians. Id. at 487. The court noted that its decision conflicted with Robert, Baker and Baumgardner. Id. at 488.

ANALYSIS

Our determination of whether section 458.320 imposes civil liability on hospitals is a question of statutory interpretation. Therefore, our review is de novo. See Aramark Unif. & Career Apparel, Inc. v. Easton, 894 So.2d 20, 23 (Fla.2004). We first address whether hospitals have a duty under the common law to ensure the financial responsibility of staff-privileged physicians. The analysis of the common law provides a basis upon which to determine whether the statute codifies, modifies, or supplants legal principles that previously existed. See id. Then, we discuss how this Court determines whether a statute imposes civil liability when the Legislature has not expressly provided for a private remedy.

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

Related

McCord v. Laurens County Health Care System
Court of Appeals of South Carolina, 2020
In Re: Standard Jury Instructions in Civil Cases - Report No. 18-01
253 So. 3d 531 (Supreme Court of Florida, 2018)
Brenton McNeil v. State of Florida
215 So. 3d 55 (Supreme Court of Florida, 2017)
R.J. Reynolds Tobacco Company v. Pamela Ciccone, etc.
190 So. 3d 1028 (Supreme Court of Florida, 2016)
J.R. v. Barbara Palmer, etc.
175 So. 3d 710 (Supreme Court of Florida, 2015)
Lemy v. Direct General Finance Co.
884 F. Supp. 2d 1236 (M.D. Florida, 2012)
QBE Insurance Corp. v. Chalfonte Condominium Apartment Ass'n
94 So. 3d 541 (Supreme Court of Florida, 2012)
Mendenhall v. State
48 So. 3d 740 (Supreme Court of Florida, 2010)
Florida Parole Commission v. Spaziano
48 So. 3d 714 (Supreme Court of Florida, 2010)
Olmstead v. Federal Trade Commission
44 So. 3d 76 (Supreme Court of Florida, 2010)
In Re Standard Jury Instructions in Civil Cases—Report No. 09-01
35 So. 3d 666 (Supreme Court of Florida, 2010)
King v. State of Florida
650 F. Supp. 2d 1157 (N.D. Florida, 2009)
Larimore v. State
2 So. 3d 101 (Supreme Court of Florida, 2009)
Miulli v. FLORIDA HIGH SCHOOL ATHLETIC
998 So. 2d 1155 (District Court of Appeal of Florida, 2008)
COLUMBIA/JFK MEDICAL CTR. v. Sangounchitte
977 So. 2d 639 (District Court of Appeal of Florida, 2008)
Andrew v. Shands at Lake Shore, Inc.
970 So. 2d 887 (District Court of Appeal of Florida, 2007)
Frigo v. Silver Cross Hosp. and Medical Center
876 N.E.2d 697 (Appellate Court of Illinois, 2007)
Buell v. Direct General Insurance Agency, Inc.
488 F. Supp. 2d 1215 (M.D. Florida, 2007)

Cite This Page — Counsel Stack

Bluebook (online)
959 So. 2d 176, 2007 WL 1498968, Counsel Stack Legal Research, https://law.counselstack.com/opinion/horowitz-v-plantation-general-hosp-ltd-fla-2007.