Morman v. Campbell County Memorial Hospital

632 F. App'x 927
CourtCourt of Appeals for the Tenth Circuit
DecidedDecember 2, 2015
Docket14-8090
StatusUnpublished
Cited by55 cases

This text of 632 F. App'x 927 (Morman v. Campbell County Memorial Hospital) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morman v. Campbell County Memorial Hospital, 632 F. App'x 927 (10th Cir. 2015).

Opinion

ORDER AND JUDGMENT *

GREGORY A. PHILLIPS, Circuit Judge.

Dr.' Monica Morman is a board-certified orthopedic surgeon at Campbell County Memorial Hospital (CCMH) in Gillette, Wyoming. She contends that CCMH discriminated against her based on her gender by providing better facilities, compensation, assistance, equipment, and advertising to its three male orthopedic surgeons. Dr. Morman’s sole claim is that the defendants, as state actors, violated her equal-protection rights under the Fourteenth Amendment. She seeks redress for that violation under 42 U.S.C. § 1983. The district court dismissed Dr. Morman’s lawsuit under Fed.R.Civ.P. 12(b)(6) and, alternatively, dismissed on qualified-immunity grounds the claim against CCMH’s board members and Robert Morasko (CCMH’s Chief Executive Officer) in their individual capacities.

Exercising jurisdiction under 28 U.S.C. § 1291, we affirm on both grounds. First, Dr. Morman has not pleaded a plausible gender-discrimination claim because, even accepting her facts as true, she and her three male colleagues were not similarly situated. CCMH employed the three male orthopedic surgeons as part of a multimillion-dollar' purchase of the surgeons’ Powder River Orthopedics & Spine, P.C. (PROS) business, including the surgeons’ building, equipment, and practice. By contrast, CCMH employed Dr. Morman solely for her skill and experience. And second, the board members and Morasko are entitled to qualified immunity in their individual capacities because Dr. Morman has failed to show any clearly established law that would have put the defendants on notice that their acquisition terms would violate the Equal Protection Clause.

I. BACKGROUND

*929 A. Facts 1

Dr. Morman is a board-certified orthopedic surgeon, specializing in hand, wrist, and shoulder surgeries. She graduated from medical school in 1997. During the next eight years, she completed an orthopedic-surgery residency, became board-eligible under the American Board of Ortho-paedic Surgery’s standards, became board-certified for Orthopaedic Surgery under those same standards, completed a hand-surgery fellowship, and received her Certification of Additional Qualification in Hand Surgery.

For five years after her hand-surgery fellowship, from 2003 to 2008, Dr. Morman worked at PROS in Gillette, Wyoming. During this time, four other orthopedic surgeons owned PROS: Drs. Nathan Simpson, Hans Kioschos, John Dunn, and Gerald Baker. In 2008, Dr. Morman left PROS for a one-year fellowship at Massachusetts General Hospital. In 2009, after completing the fellowship, Dr. Morman returned to Gillette, Wyoming, and began working at CCMH, directly competing with PROS for clientele. Dr. Morman’s contract with CCMH entitled her to both an annual base salary of $550,000 and biannual bonus payments based on her productivity. As bonus payments, Dr. Morman was entitled to 55% of all gross collections that CCMH received for her services in excess of $500,000 during each six-month bonus period. In earning her salary and bonuses, Dr. Morman felt hindered by CCMH’s management of her practice. She argues that the hospital’s policies placed her at a competitive disadvantage to nearby privately employed orthopedic surgeons, including those at PROS. In December 2011, she renegotiated her contract terms, getting a higher base pay of $58,333.34 per month plus $4,166.67 per month to be on call ($62,500 per month or $750,000 annually) in exchange for an increased revenue threshold before earning bonuses. Her base pay, however, was subject to reduction if collections from her professional services fell below certain threshold amounts. If she failed to meet those specified targets, her base salary for the next six months would be reduced to $45,833.33 plus $4,166.67 for call coverage.

In June 2012, CCMH agreed to a multimillion-dollar deal to purchase PROS (including the building, equipment, and practice) from its three remaining owners (Drs. Simpson, Kioschos, and Dunn), as well as to employ them at CCMH. 2 The district court explained that the different employment terms resulted from the great disparity in what the PROS male surgeons brought to the negotiating table as compared to what Dr. Morman had brought.

B. Procedural History

In October 2013, Dr. Morman filed her federal lawsuit, asserting a single claim against CCMH, its CEO, and its board *930 members. The claim is one for gender-based discrimination under the Fourteenth Amendment, as enforced by 42 U.S.C. § 1983. In support of her claim, she alleged that the defendants treated her differently from the male orthopedic surgeons (who had owned PROS) by providing her with less-favorable pay and terms and conditions of employment. Specifically, in her complaint, Dr. Morman identified six ways in which the defendants had discriminated against her based on gender:

• CCMH allowed the PROS surgeons to continue operating under the name “Powder River Orthopedics & Spine.” In contrast, although Dr. Morman’s orthopedic clinic at CCMH was originally called “Orthopaedic Specialists of Wyoming — a CCMH Clinic,” CCMH, soon after she began work, changed the name to “Campbell County Clinic — Orthopedics.” In Dr. Morman’s view, the name “County Clinic” put her at a competitive disadvantage by conveying an image of “free clinics for the indigent” and “substandard care.” Appellant’s App. vol. 1 at 14.
• CCMH funded PROS’s existing advertising campaign, which was more aggressive than the advertising for Dr. Morman’s clinic.
• CCMH purchased the building that had previously housed the PROS surgeons’ private orthopedic practice and allowed them to continue practicing out of it, providing them with a superi- or office space to Dr. Morman’s. She argued that her office was insufficient for her practice and that the inadequate space resulted in inefficiencies and disorganization,
• CCMH allowed the PROS surgeons to hire and fire their own staff and to manage their own billing. CCMH also paid them a management fee to run the practice. By contrast, Dr. Mor-man argued that CCMH disallowed her from managing her clinic, kept her from hiring or firing staff, did not provide her onsite billing, and denied her a full-time office manager for her practice.
• CCMH did not provide Dr. Morman with onsite radiology equipment, but CCMH purchased the PROS surgeons’ radiology equipment and allowed them to continue to maintain radiology services onsite.
• CCMH allowed the PROS surgeons to maintain their ownership in an outside imaging and surgery center, but it kept Dr. Morman from establishing an ownership interest in any center competing with CCMH.

Dr.

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Bluebook (online)
632 F. App'x 927, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morman-v-campbell-county-memorial-hospital-ca10-2015.