Nero v. Hospital Authority of Wilkes County

86 F. Supp. 2d 1214, 1998 U.S. Dist. LEXIS 22851, 1998 WL 1157106
CourtDistrict Court, S.D. Georgia
DecidedDecember 16, 1998
DocketCV 196-218
StatusPublished
Cited by3 cases

This text of 86 F. Supp. 2d 1214 (Nero v. Hospital Authority of Wilkes County) is published on Counsel Stack Legal Research, covering District Court, S.D. Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Nero v. Hospital Authority of Wilkes County, 86 F. Supp. 2d 1214, 1998 U.S. Dist. LEXIS 22851, 1998 WL 1157106 (S.D. Ga. 1998).

Opinion

*1217 ORDER

BOWEN, Chief Judge.

Before the Court in the above-captioned matter are four separate motions for summary judgment filed by the various Defendants in this case. 1 This case is brought by four Plaintiffs alleging federal claims pursuant to 42 U.S.C. § 1983 for First Amendment retaliation. Plaintiffs also bring one claim pursuant to the Fair Labor Standards Act (FLSA), 29 U.S.C. §§ 201 et seq., for uncompensated work as well as state claims for intentional interference with employment relations and defamation. The Defendants filed counterclaims against Plaintiff Marshall Nero for breach of settlement agreement. Upon careful consideration of the arguments presented to the Court, the briefs, and the relevant law, it is hereby ORDERED that the Defendants’ motions are GRANTED as to the federal claims, and the remaining state law claims and counterclaims are REMANDED to the Superior Court of Wilkes County.

I. BACKGROUND

This case arises out of events that took place at Wills Memorial Hospital (Hospital) in late 1995 and 1996. During this time the Plaintiffs contend that the Defendants engaged in a conspiracy to terminate their employment. The Plaintiffs are two married couples who were administrators of the Hospital. Marshall Nero was the Hospital Administrator from 1989 until March 1996. Mr. Nero’s spouse, Barbara Nero, worked at the Hospital from 1991 until October 1996 and was the Laboratory Manager for the Hospital from 1995 until October 1996. Murray Mitchell was the Hospital’s Chief Financial Officer (CFO) from 1992 until October 1996. Mr. Mitchell’s spouse, Vicki Mitchell, was .the Director of Nursing from 1992 until June 1996.

Plaintiffs’ allegation of a vast conspiracy has resulted in some twenty defendants. Plaintiffs’ suit alleges a conspiracy involving the following: seven members of the Hospital’s Medical Staff, 2 the Wilkes County Hospital Authority and its individual members, 3 Wilkes County, two individual *1218 members of the Wilkes County Board of Commissioners, Quorum, Inc., and Quorum’s employee, James Jarrett.

A. FEBRUARY 27, 1996 LETTER

The central event in this lawsuit occurred on February 27, 1996, when seven members of Hospital’s Medical Staff (Physician Defendants) met and signed a letter to Defendant Wilkes County Hospital Authority (the Authority) requesting the resignations of the four Plaintiffs. The letter was presented to the Authority on February 28, 1996. In pertinent part, the letter states that “[w]e the primary care practitioners of the medical staff, recognise [sic] a state of division and adversity in the hospital that cannot continue. It has developed over a period of time ... resulting] in a loss of autonomy of the medical staff and a loss of our confidence in this administration.” (Defendant Authority’s Ex. 7). Plaintiffs contend that the Physician Defendants threatened to boycott the Hospital if the Authority did not obtain the Plaintiffs’ resignations.

This “state of division” resulted from actions taken by the Plaintiffs which they characterize as the exercise of protected speech. Plaintiffs contend that they engaged in protected speech when they spoke on matters involving sexual harassment complaints, financial matters, and the manner in which the Physician Defendants handled patient care and the “peer review” process. These events occurring prior to the Physicians’ Letter are detailed below.

1. Plaintiff Marshall Nero’s Actions

In April 1995, while Plaintiff Marshall Nero was Hospital Administrator, the Georgia Department of Human Resources (DHR) found numerous deficiencies in the “peer review” process. This “peer review” process, which is also referred to as quality improvement, is a process where physicians review the charts of other physicians in an effort to identify problems in patient care. The DHR found that the Medical Staffs implementation of the process was substandard. This deficiency and others threatened the Hospital’s participation in the Medicare and Medicaid programs.

“In response to DHR’s concerns, Marshall Nero convinced the Authority to bring in an outside consultant to work with the medical staff to correct its deficient peer review process.” (Plaintiffs’ Resp. to Authority’s Mot. at 5). After the consultant, Dr. Backstrom, performed his review, Marshall Nero sent a memorandum to the Chief of Staff, Defendant Dr. Wills, on November 7, 1995. In this memorandum from the Administrator to the Chief of Staff, Marshall Nero wrote:

In April 1995, the Georgia Department of Health and Human Services came very close to taking away this hospital’s license to operate, and also at the same time, decertifying Wills Memorial for Medicare and Medicaid. This was primarily due to the Medical Staffs refusal to institute effective Quality Improvement.
The hospital has gone to a great expense to put a Quality Improvement Plan in place and also to secure a consultant to help the Medical Staff implement this Plan.... We must understand that the State will return after the first of the year to evaluate the progress of the Hospital and the Medical staff has made in our Quality Improvement process.
As of today, the Medical Staff would fail miserably. The Staff appears to have gone out of its way to sand-bag the process.

(Marshall Nero Aff. Exhibit 18) (emphasis added).

In response to this letter, one of the Physician Defendants, Dr. Williams, wrote Marshall Nero on January 25, 1996, and said that “[i]t has taken me this long to review, calm down, and write a very sensible, level headed, unbiased opinion of your statement.” (Plaintiffs’ Ex. 17). Further, the letter stated that “it seems that [the November 1, 1995 memorandum] was a little harsh in the way you stated these accusations, as a matter of fact, all of the medical staff, including myself, were high *1219 ly insulted by such a low demeaning slanderous letter.” (Id.) Dr. Williams’s letter is clear evidence of the “state of division” between the Administration and the Medical Staff.

Marshall Nero also contends that he spoke to the Authority about two separate financial improprieties involving members of the Medical Staff. The first situation involved Defendants Drs. Stan Coe and Williams and a contract between the Hospital and Coastal Emergency Services (Coastal). Coastal provided emergency room physicians to staff the Hospital’s emergency room. Drs. Stan Coe and Williams worked for Coastal and helped staff the emergency room. While working in the emergency room, however, the two doctors would also allegedly deliver their private patients’ babies and receive double payments for their time.

The second situation also involved Dr.

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86 F. Supp. 2d 1214, 1998 U.S. Dist. LEXIS 22851, 1998 WL 1157106, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nero-v-hospital-authority-of-wilkes-county-gasd-1998.