Keskin v. Munster Medical Research Foundation

580 N.E.2d 354, 1991 Ind. App. LEXIS 1746, 1991 WL 225610
CourtIndiana Court of Appeals
DecidedOctober 31, 1991
Docket37A05-9105-CV-141
StatusPublished
Cited by12 cases

This text of 580 N.E.2d 354 (Keskin v. Munster Medical Research Foundation) 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
Keskin v. Munster Medical Research Foundation, 580 N.E.2d 354, 1991 Ind. App. LEXIS 1746, 1991 WL 225610 (Ind. Ct. App. 1991).

Opinion

RATLIFF, Chief Judge.

STATEMENT OF THE CASE

Ibrahim Keskin ("Keskin") appeals from a summary judgment entered for Munster Medical Research Foundation ("Hospital") and Associated Anesthesiologists of Hammond ("Associated") in an action for injune-tive relief precluding enforcement of an exclusive contract ("Contract") for anesthe-siological services between Hospital and Associated, and damages for barring Kes-kin from practicing at Hospital based on the Contract. We affirm.

ISSUES

We restate the issues on appeal as:

1. Is Keskin's claim outside of the purview of the Indiana Peer Review Statute? 2

2. Was Keskin's purported release of Hospital from liability ineffective?

3. Did Keskin fail to exhaust his administrative remedies as provided in Hospital's by-laws?

4. As a private, not-for-profit organization, is judicial review of Hospital's action limited to whether Hospital substantially complied with its own by-laws?

5. Was summary judgment properly granted in favor of Hospital? 3

FACTS

Keskin is a licensed physician who holds a specialty in anesthesiology. Hospital is a private, not-for-profit organization that operates in Munster, Indiana. Hospital receives no direct federal or state funds; it does, however, participate in the medicare and medicaid reimbursement programs.

In March of 1975, Hospital placed limitations on the number of anesthesiologists allowed to practice at Hospital, and was negotiating a contract with Associated, a group of physicians that was active in the practice of anesthesiology at Hospital at that time. On June 6, 1975, Hospital entered into the Contract with Associated, purporting to give Associated exclusive rights and control over Hospital's anesthesiology department. The Contract was entitled "Open Staff Agreement," and provided in pertinent part:

"IV. OPEN STAFF CONCEPT.
A. Additional anesthesiologists may become members of the Medical Staff of The Community Hospital and may be *356 come members of the Department of Anesthesiology. The Board of Directors shall determine the size of the Department in that some limitation may be made on the number of Anesthesiologists practicing within the Department."

Record at 894.

From 1976 until 1986 when this lawsuit was instigated, Keskin was a member of Hospital's staff for all but two years. Beginning in 1980, Keskin sought to practice anesthesiology actively at Hospital. His requests were denied. Hospital told Kes-kin that it had an exclusive contract with Associated, stating that Associated would provide all of Hospital's necessary anesthe-siological services. Unless Keskin became a member of Associated, he would be unable to practice anesthesiology at Hospital. During his tenure on Hospital's staff, Kes-kin never actually practiced anesthesiology at Hospital and did not admit any patients.

On July 10, 1985, Keskin wrote to Hospital, seeking to practice independently at Hospital on a case-by-case basis. He stated that he had been on Hospital's staff for many years, and also that he was aware of the Contract between Hospital and Associated. He also wrote that he had contacted Associated, but had been informed that it had no openings for additional anesthesiologists. Hospital's administrator, Edward Robinson, responded by letter on July 15, 1985, reiterating Hospital's exclusive contractual arrangement with Associated for required anesthesiological services, and thus denying Keskin's request. Keskin took no further action regarding the performance of anesthesiological services at Hospital for the 1985-1986 fiscal year.

Hospital's executive committee of the board of directors met in December of 1985 to reconsider the Contract. The meeting's minutes reflect that the committee concluded that "additional problems would arise and patient care would suffer by allowing individual doctors to practice upon the call of particular surgeons and physicians." Record at 66. A motion was passed limiting Hospital's anesthesiology department to those anesthesiologists currently practicing or working with Associated.

Keskin reapplied in 1986 for the 1986-1987 fiscal year. On May 9, 1986, Hospital's Credentials Committee wrote to Kes-kin in response to his reapplication, requesting documentation and confirmation that there had been no changes in his privileges at other hospitals. Keskin responded by letter on May 27, 1986, admitting that he had resigned his privileges at St. Catherine Hospital in East Chicago, Indiana ("St. Catherine"), that he had been suspended previously from St. Catherine, and that he had resigned his privileges at Graham Hospital in Canton, Illinois. The record does not indicate any further action taken regarding this application. After Keskin submitted this reapplication, but before Hospital had taken final action thereon, this action was filed.

In his complaint filed June 27, 1986, Kes-kin alleged that; 1) Hospital's denial of Keskin's application for privileges was improper and thus, an injunction prohibiting the denial of the privileges was warranted; and, 2) Hospital's arrangement with Associated constituted an unlawful restraint of trade, thereby requiring an injunction, as well as treble damages from Hospital and Associated. On December 11, 1990, the trial court entered summary judgment in favor of Hospital and Associated.

On January 8, 1991, Keskin filed a motion to correct errors, in which he expressly preserved error regarding Hospital, but not regarding Associated or its physicians. Keskin's motion to correct errors was denied on January 29, 1991. Further, in his appellant's brief, Keskin specifically restricted his claims on appeal to those against Hospital.

Other relevant facts will be stated in our discussion of the issues.

DISCUSSION

Issue One

Keskin asserts that his claim falls outside of the purview of the Indiana Peer Review Statute. We agree.

In its order granting summary judgment, the trial court relied on Indiana's Peer Review Statute in determining that Keskin's *357 claims against Hospital were barred because Hospital's committee's decisions were immune from suit. Our reading of the Indiana Peer Review Statute shows that this reliance was misplaced.

The pertinent portions of the statute read:

"84-4-12.6-1 Definitions....
(b) As used in this chapter, 'evaluation of patient care' relates to:
(1) the accuracy of diagnosis;
(2) the propriety, appropriateness, quality or necessity of care rendered by a professional health care provider; and
(3) the reasonableness of the utilization of services, procedures, and facilities in the treatment of individual patients.
As used in this chapter, the term does not relate to charges for services or to methods used in arriving at diagnoses.

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Bluebook (online)
580 N.E.2d 354, 1991 Ind. App. LEXIS 1746, 1991 WL 225610, Counsel Stack Legal Research, https://law.counselstack.com/opinion/keskin-v-munster-medical-research-foundation-indctapp-1991.