in Re Memorial Hermann Hospital System Memorial Hermann Physician Network Michael MacRis, M.D. Michael MacRis, M.D., P.A. And Keith Alexander

464 S.W.3d 686, 58 Tex. Sup. Ct. J. 975, 40 I.E.R. Cas. (BNA) 323, 2015 Tex. LEXIS 464, 2015 WL 2438752
CourtTexas Supreme Court
DecidedMay 22, 2015
DocketNO. 14-0171
StatusPublished
Cited by101 cases

This text of 464 S.W.3d 686 (in Re Memorial Hermann Hospital System Memorial Hermann Physician Network Michael MacRis, M.D. Michael MacRis, M.D., P.A. And Keith Alexander) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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in Re Memorial Hermann Hospital System Memorial Hermann Physician Network Michael MacRis, M.D. Michael MacRis, M.D., P.A. And Keith Alexander, 464 S.W.3d 686, 58 Tex. Sup. Ct. J. 975, 40 I.E.R. Cas. (BNA) 323, 2015 Tex. LEXIS 464, 2015 WL 2438752 (Tex. 2015).

Opinion

*695 Justice Willett

delivered the opinion of the Court.

A decade ago, we observed: “While the medical privileges are important in promoting free discussion in the evaluation of health care professionals and health services, the right to evidence is also important, and therefore privileges must be strictly construed.” 1 In this original proceeding — involving a heart surgeon who claims his former hospital retaliated against him for joining a competing hospital — we must determine whether either the medical committee privilege or the medical peer review committee privilege protects certain documents from disclosure. The trial court concluded the documents sought were discoverable, and the court of appeals denied relief, prompting the parties resisting production to seek mandamus relief here.. We hold that some of the documents are protected, and we conditionally grant mandamus relief as to them. But we are unconvinced that the remainder of the documents are confidential under either privilege.

BACKGROUND

Plaintiffs Miguel A. Gomez, III, M.D. and Miguel A. Gomez, M.D., P.A. (collectively, “Dr. Gomez”) filed suit against defendants. Memorial Hermann Hospital System, 2 Memorial Hermann Physician Network, Michael P. Macris, M.D., Michael P. Macris, M.D., P,A., 3 and Keith Alexander 4 ; (collectively, “defendants” or “Memorial Hermann”) on September 17, 2012. Dr. Gomez’s original petition asserted causes of action for business disparagement, defamation,' tortious interference with prospective business relations, and improper restraint of trade under the Texas Free Enterprise and Antitrust Act of 1983 (“TFEAA”). .

Dr. Gomez is a cardiothoracic surgeon who practiced at Memorial Hermann Memorial City Medical Center (“Memorial City”) 5 from 1998 until 2012 when he resigned his privileges with Memorial City. 6 During his years of practice at Memorial City, Dr. Gomez .built a reputation in the “West Houston and Katy community” for “quality patient care, technical excellence, and outstanding professionalism in heart and general surgery.”'

Dr. Gomez’s “skills and specialized abilities” for patients who require heart and general surgeries range from “ ‘basic’ open heart surgery to advanced robotic-assisted surgical procedures.” Robotic, .heart surgery “eliminates the need to mechanically crack open a patient’s chest.” Robotic heart surgery always, involves significantly less recovery time than its non-robotic surgical analogue, and depending on the par *696 ticular procedure, can spare the patient up to six days of recovery time in the hospital. Robotic heart surgery therefore has the potential to save an individual patient $50,000 or more in medical expenses.

In the Houston medical community, Dr. Gomez “pioneer[ed] implementation of ‘off-pump’ surgery and robotic-assisted heart surgeries.” Memorial City heavily promoted robotic heart surgery as well as Dr. Gomez himself — the only heart surgeon at Memorial City who was capable of performing robotic heart surgeries. The hospital invested in a million dollar “DA VINCI” machine, and spent significant advertising dollars promoting the robotic-assisted surgical procedures.

Referrals from other physicians are extremely important to surgeons and specialists. The primary means for a physician “to build his practice is ... actually going out on his own to doctor’s offices, meeting the doctors, [and] developing relationships” in order to get referrals from physicians. The success of a surgeon’s practice depends ■ on his ability to attract referrals, and cardiologists are a cardiovascular surgeon’s primary referral source. In turn, the surgeon’s decision to perform his surgeries at one hospital over another directly impacts the profitability of the hospitals.

In 2009, another hospital — Methodist West Houston Hospital — was in the process of opening, which caused a change in the atmosphere at Memorial City. There was a growing fear at Memorial City that staff would leave to go to Methodist West. Around this time, the then-CEO of Memorial City and the Chief of Staff 7 met with at least one of Memorial City’s physicians, Dr. Jo Pollack, in order to express disapproval of Dr. Pollack’s pattern of referring her patients to non-affiliated facilities and physicians. According to Dr. Pollack’s affidavit, she was told she would be “committing political suicide” and her practice “could be in jeopardy” if she did not refer her patients to the Memorial City affiliated medical oncologists, radiation oncologists and imaging. Memorial City also began holding “Town Hall” meetings in order to “gain information about who wanted to leave and to attempt to persuade people to stay at Memorial City.”

Of the heart surgeons who practiced at Memorial City, Dr. Gomez was the first to agree to practice at Methodist West. Dr. Gomez asserts that, because of his complaints about staffing and equipment dysfunctions as well as Memorial City’s priorities regarding patient care, Memorial City knew he would perform his surgeries at Methodist West in the future. Consequently, despite having invested heavily in promoting robotic-assisted heart surgery, Memorial City would no longer be the sole Houston hospital offering robotic-assisted heart surgeries. Memorial City faced sharing, or worse, losing that distinction to Methodist West.

When the defendants learned that Dr. Gomez was willing to associate himself with Methodist West, the defendants began conducting a “whisper campaign” against Dr. Gomez. According to Dr. Gomez, the purpose of the campaign was “to cast doubt on robotic heart surgery procedures,” throughout the entire city of Houston and “evaporate” the “robotic heart surgery market.” If the campaign was successful, it would inoculate Memorial City from the advantage Methodist West would otherwise gain from the ability to offer the superior procedure.

*697 Rumors began spreading across the Memorial City campus that Dr. Gomez was “having problems” with his mortality rate, and the marketing director at Memorial City did an “about-face” regarding Dr. Gomez. Portia Willis, who was then employed in Memorial City’s marketing department, had scheduled speaking engagements and other promotional engagements for Dr. Gomez on behalf of Memorial City. But amidst the rumors, Ms. Willis was told not to push forward with any type of marketing or promotion of Dr. Gomez indefinitely. Although the reasons for the marketing hiatus were not explained, Ms. Willis had the impression that the move was related to the rumors that Dr. Gomez was “a crappy surgeon.” By this point, rumors had become “rampant” that Dr. Gomez “wasn’t the surgeon that [the Hospital workers] thought he was,” and the hospital’s employees began to wonder how much longer Dr. Gomez’s practice could endure.

At a “Cardiovascular and Thoracic CPC” meeting on November 1, 2011, Dr. Macris displayed “false data and statements regarding Dr.

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464 S.W.3d 686, 58 Tex. Sup. Ct. J. 975, 40 I.E.R. Cas. (BNA) 323, 2015 Tex. LEXIS 464, 2015 WL 2438752, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-memorial-hermann-hospital-system-memorial-hermann-physician-network-tex-2015.