Methola v. County of Eddy

629 P.2d 350, 96 N.M. 274
CourtNew Mexico Court of Appeals
DecidedApril 14, 1981
Docket4180, 4217
StatusPublished
Cited by7 cases

This text of 629 P.2d 350 (Methola v. County of Eddy) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Methola v. County of Eddy, 629 P.2d 350, 96 N.M. 274 (N.M. Ct. App. 1981).

Opinion

OPINION

WALTERS, Judge.

This case was the companion, on certiorari, of Hooton-Doe v. City of Albuquerque, Nos. 13,227 and 13,228, consolidated, also decided today. Earlier Court of Appeals decisions in all of these cases were reversed by the Supreme Court on the issue of liability of law enforcement officers under the Tort Claims Act for negligence in the performance of their duties. See Methola v. County of Eddy, consolidated, (St.Ct.1980), 95 N.M. 329, 622 P.2d 234. As with Hooton and Doe, this appeal is back in this Court on remand, for determination of other issues raised by the briefs of both plaintiff and defendants and not decided in the earlier disposition (Walters, J., not participating) of the Court of Appeals.

Methola was tried to the court without a jury, and a judgment totalling almost $218,-000 was entered to cover plaintiff’s incompetent’s indebtedness to Methodist Hospital and Dr. Jack Dunn of Lubbock, Texas, and for his future custodial and medical care. Eddy County, Payne and Granger, in addition to the immunity argument settled by the Supreme Court, raise issues of indispensable parties, standard of duty of a custodian, and contributory negligence, in Cause No. 4180. Plaintiff, in a separate appeal, No. 4217, urges that because the trial court failed to award damages for loss of the incompetent’s earning capacity and for pain and suffering, the judgment should be increased.

The salient facts of this case are recited in the Supreme Court decision; we will not encumber this opinion with a repetition.

The appealing defendants contend that the state and federal governments were indispensable parties in this lawsuit because, under §§ 27-2-23 and -24, N.M. S.A. 1978, they were subrogated to the right of any recipient of medical assistance against a third party for medical expenses recovered, to the extent such expenses were paid by either the state or federal government.

The argument is a tempest in a teapot, for no damages were awarded to plaintiff to cover any medical services rendered by any state agency of which a portion would be returnable to the federal government if those costs had been recovered.

The principal purposes of requiring “indispensable” parties to be joined are expediency and the protection of parties from the risk of double, multiple, or inconsistent liabilities. N.M.R.Civ.P. 19, N.M.S.A. 1978. In the instant case, only defendants could have been subjected to double liability had plaintiff recovered from them the expenses borne on his behalf by the State. But plaintiff did not so recover; thus, the evil sought to be avoided by Rule 19 does not exist, and the reason for the rule also wanes into insignificance.

Defendants-Appellants advise us that in addition to services provided to plaintiff by the New Mexico Department of Vocational Rehabilitation, other medical benefits were rendered by the Health and Social Services Division. The Department of Vocational Rehabilitation filed a written waiver of any right, interest or cause of action it might have had against defendants for services extended to plaintiff’s incompetent; the reference to this five-volume transcript provided us by defendants, regarding the claim of the State Health and Social Services Division, reflects only a stipulation that some “minimum figures” had been “paid by medicaid.” Without independently reviewing this entire record, we are left completely in the dark on the amount to which that department might have had subrogation rights under the statute.

In White v. Sutherland, 92 N.M. 187, 585 P.2d 331 (Ct.App.1978), Chief Judge Wood pointed out that the provisions of § 27-2-23, supra, require the Health and Social Services Department to “make reasonable efforts to ascertain any legal liability of third parties,” and to make its recovery, if any, against such third parties. “The statute does not pertain to the recovery of payments from the recipient or beneficiary of such payments. . . . ” Id., 92 N.M. at 189, 585 P.2d 331. The subrogation granted to the department by the statute was said, in White, supra, to be “the right to collect what it has paid from the party who caused the damage.” Id., at 190, 585 P.2d 331. The department could have intervened below. N.M.R.Civ.P. 24, N.M.S.A. 1978. Even so, having failed to intervene, it would appear that nothing has jeopardized the State’s rights since damages for the department’s expenditures were not entered against defendants; the department’s subrogated rights were not disposed of. Presumably, the department’s remedy still exists.

Whether or not a subrogation claim by the State would now be entertained, because of the State’s inaction, we do not decide. There surely was some obligation on the part of the department to protect its rights if it intended to do so. The record indicates that the department and the Attorney General knew of plaintiff’s suit soon after it was filed, but did nothing. The State apparently elected not to pursue the rights granted by the statute. The Plaintiff having recovered nothing under the trial court’s judgment for the expenses to which the State was subrogated, we conclude that no harm whatever was caused to defendants by reason of the State’s nonjoinder.

We do note that a motion for dismissal for failure to join an indispensable party, or a motion to join such a party, was never made before trial, even though the complaint alleged “care and treatment” provided by the State and that it “should be compensated for the reasonable value of their [sic] treatment and services.” Defendants’ request for dismissal came on the second day of trial and after eight of plaintiff’s witnesses had testified. Under subsection (b) of Rule 19, we think the trial court acted with exemplary judicial wisdom in refusing to dismiss the case at that point, recognizing that any prejudice to the States’ subrogation claim could be avoided by the manner in which relief was shaped.

We are further persuaded that this point of defendants’ appeal is disingenuous because, if they were concerned that prejudice would truly attach, they made no effort to interplead the State by way of cross-claim or counterclaim at any time before or after the matter went to trial. See N.M.R.Civ.P. 22, N.M.S.A. 1978.

Beginning with Sellman v. Haddock, 62 N.M. 391, 310 P.2d 1045 (1957), and continuing at least through Holguin v. Elephant Butte Irrigation Dist., 91 N.M. 398, 575 P.2d 88 (1977), it has been the rule in New Mexico that those whose interests will necessarily be affected by any judgment or order in a particular case, are necessary or indispensable parties. But as Justice Easley noted in Holguin, supra, at 91 N.M. 401, 575 P.2d 88, the Supreme Court put Rule 19 in a proper perspective in Provident Tradesmens Bank & Trust Co. v. Patterson, 390 U.S. 102, 119, 88 S.Ct.

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Bluebook (online)
629 P.2d 350, 96 N.M. 274, Counsel Stack Legal Research, https://law.counselstack.com/opinion/methola-v-county-of-eddy-nmctapp-1981.