Moffett v. Life Care Centers of America

219 P.3d 1068, 2009 Colo. LEXIS 1077, 2009 WL 3807102
CourtSupreme Court of Colorado
DecidedNovember 16, 2009
Docket08SC510
StatusPublished
Cited by203 cases

This text of 219 P.3d 1068 (Moffett v. Life Care Centers of America) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moffett v. Life Care Centers of America, 219 P.3d 1068, 2009 Colo. LEXIS 1077, 2009 WL 3807102 (Colo. 2009).

Opinion

Justice HOBBS

delivered the Opinion of the Court.

We granted certiorari in Moffett v. Life Care Centers of America, 187 P.3d 1140 (Colo.App.2008), to determine whether a person possessing a power of attorney ("POA") may lawfully sign an arbitration agreement on behalf of an incapacitated patient under the arbitration provision of the Health Care Availability Act ("the HCAA"), section 13-64-403, C.R.S. (2009). 1 A person holding a POA is also called an "attorney-in-fact." We use these terms interchangeably throughout this opinion.

The petitioners, James Moffett and his sister, Rozan O'Brien ("the Moffetts"), filed a wrongful death action for the death of their mother, Dorothy Moffett, against Briarwood Life Care Centers ("Briarwood"), a nursing home facility. Briarwood filed a motion to compel arbitration pursuant to an arbitration agreement ("the Agreement") signed by James Moffett, who possessed a POA and a medical durable power of attorney for his mother. The district court denied the motion to compel arbitration, and Briarwood appealed. The court of appeals reversed the trial court. The Moffetts appeal that decision. We affirm the judgment.

In this case, the incapacitated patient executed a POA empowering her son, James Moffett, to act as her attorney-in-fact. The son signed the Agreement in connection with his mother's admission to the nursing home. Nevertheless, the Moffetts contend that the HCAA prohibited the son from entering into the Agreement because only the patient can sign an arbitration agreement and must do so before becoming incapacitated. In the *1071 alternative, they contend that the Agreement is not valid because the nursing home unlawfully conditioned Dorothy Moffett's admission on her son signing the Agreement.

We hold that the HCAA does not prohibit a person possessing a POA from entering into an arbitration agreement on behalf of a person who became incapacitated after executing the POA. 'We also hold that the trial court must resolve contested factual issues bearing on the validity of the Agreement. In light of our holdings, we need not and do not reach the issue of whether a person holding a medical durable power of attorney is authorized to sign an arbitration agreement on behalf of an incapacitated patient.

I.

Suffering from Alzheimer's disease, Dorothy Moffett was admitted to Briarwood on February 15, 2004. Two days later, her son, James Moffett, signed forms to admit her, including the Agreement. 2 Moffett admits that he possessed a POA and a medical durable power of attorney for his mother at the time he signed the forms on her behalf. The Agreement, entitled "Voluntary Agreement for Arbitration," provides for arbitration of

any claim, including, but not limited to, any claim that medical services ... were improperly, negligently, or incompetently rendered or omitted ... [and] all disputes . arising out of or in any way related or connected to the Resident's stay and care provided at the Facility....

The Agreement contains a comprehensive explanation of arbitration as a method of dispute resolution, and makes explicit that "[the execution of [the Agreement] is voluntary and is not a precondition to receiving medical treatment at or for admission to [Briarwood]." The Agreement is binding on all disputes arising out of the patient's stay and care provided by Briarwood, including disputes brought by successors and assigns of the parties. The Agreement was not embedded within the admission agreement and was presented to James Moffett separately from the rest of the paperwork. The last section of the Agreement states in boldfaced, capitalized text:

YOU HAVE THE RIGHT TO SEEK LEGAL COUNSEL AND YOU HAVE THE RIGHT TO RESCIND THIS AGREEMENT WITHIN NINETY DAYS FROM THE DATE OF SIGNATURE BY BOTH PARTIES....
NO HEALTH CARE PROVIDER SHALL WITHHOLD THE PROVISION OF EMERGENCY MEDICAL SERVICES TO ANY PERSON BECAUSE OF THAT PERSONS FAILURE OR REFUSAL TO SIGN AN AGREEMENT CONTAINING A PROVISION FOR BINDING ARBITRATION OF ANY DISPUTE ARISING AS TO PROFESSIONAL NEGLIGENCE OF THE PROVIDER.
NO HEALTH CARE PROVIDER SHALL REFUSE TO PROVIDE MEDICAL SERVICES TO ANY PATIENT SOLELY BECAUSE SUCH PATIENT REFUSED TO SIGN SUCH AN AGREEMENT OR EXERCISED THE NINETY-DAY RIGHT OF RESCISSION.

Despite this right to rescind the Agreement on behalf of his mother within ninety days of signing it, James Moffett did not reseind or attempt to rescind it at any time prior to the filing of this lawsuit.

Dorothy Moffett was admitted to a hospital on October 18, 2004; she died two days later. The Moffetts filed a complaint for wrongful death against Briarwood in Denver District Court. Briarwood moved to stay those proceedings and compel arbitration based upon the Agreement James Moffett signed. The trial court denied Briarwood's motion, holding that Briarwood violated the HCAA by (1) tendering the Agreement to James Moffett when Briarwood knew that Dorothy Moffett lacked rational capacity to sign the Agreement; (2) telling James Moffett that Briar-wood would not provide care to Dorothy Moffett unless James Moffett signed the *1072 Agreement; and (8) not directly giving Dorothy Moffett a copy of the Agreement. 3

The court of appeals reversed the trial court, holding that (1) a person holding a POA for an incapacitated patient may lawfully sign an arbitration agreement on behalf of the principal and (2) a person holding a medical durable power of attorney for an incapacitated patient may lawfully sign an arbitration agreement on behalf of the principal, because the decision to arbitrate in that context is a "medical treatment decision." The court of appeals ordered the trial court to determine whether the POA or medical durable power of attorney contained any restrictions that would have prevented James Moffett from validly executing the Agreement. The court of appeals also ordered the trial court to resolve contested issues of fact bearing on the validity of the Agreement. 4

The Moffetts allege that the court of appeals erred when it held that a person possessing a POA has the authority to execute a nursing home arbitration agreement on behalf of his or her incapacitated principal. They argue that the granting of such authority violates the HCAA arbitration provision, section 18-64-4083. The Moffetts also contend that the court of appeals impermissibly remanded the case to the trial court for additional fact finding on the issue of whether Briarwood violated subsection 13-64-4083(7) of the HCAA by conditioning Dorothy Moffett's medical care on James Moffett's signing the Agreement. We disagree and affirm the judgment of the court of appeals. We need not and do not reach the issue of whether a person holding a medical durable power of attorney is authorized to sign an arbitration agreement on behalf of an incapacitated patient.

IL

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

Related

Reno v. Continuum at Sharmar, Inc.
Colorado Court of Appeals, 2026
Untitled Case
D. Colorado, 2024
Reistad v. Burman
Colorado Court of Appeals, 2024
Harrod v. Country Oaks Partners, LLC
California Supreme Court, 2024
Ralph R. Fresquez v. Trinidad Inn
Colorado Court of Appeals, 2022
v Rowan Inc
2021 COA 7 (Colorado Court of Appeals, 2021)
Trust v. Bd. of Cty Comm'rs
2019 COA 18 (Colorado Court of Appeals, 2019)
Colorow Health Care, LLC v. Fischer
2018 CO 52 (Supreme Court of Colorado, 2018)
Fischer v. Colorow Health Care, LLC
2016 COA 130 (Colorado Court of Appeals, 2016)
In re the Estate of Sandstead
2016 COA 49 (Colorado Court of Appeals, 2016)
Sandstead v. Corona (In re Estate of Sandstead)
412 P.3d 799 (Colorado Court of Appeals, 2016)
Johnson v. Convalescent Center of Grady County, LLC
2014 OK 102 (Supreme Court of Oklahoma, 2014)
Rome v. HEI Res., Inc.
411 P.3d 851 (Colorado Court of Appeals, 2014)
Colorado Medical Board v. Office of Administrative Courts
2014 CO 51 (Supreme Court of Colorado, 2014)
Visible Voices, Inc. v. Industrial Claim Appeals Office
2014 COA 63 (Colorado Court of Appeals, 2014)
Johnson v. Kindred Healthcare, Inc.
466 Mass. 779 (Massachusetts Supreme Judicial Court, 2014)
Safeway, Inc. v. Nordic PCL Construction, Inc.
312 P.3d 1224 (Hawaii Intermediate Court of Appeals, 2013)

Cite This Page — Counsel Stack

Bluebook (online)
219 P.3d 1068, 2009 Colo. LEXIS 1077, 2009 WL 3807102, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moffett-v-life-care-centers-of-america-colo-2009.