Ronnie L. Sharp v. Life Care Centers Of America

Court of Appeals of Washington·Decided April 30, 2018·No. 77747-5·Unpublished

Opinion

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APPEALS DIV1

COURT OF WAVING-M-1

STATE OF

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201t PR 30 Ali

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON DIVISION ONE

RONNIE LEE SHARP, as Administrator) No. 77747-5-1 of the Estate of Saundra Sharp, ) deceased, )

)

Respondent, )

)

v. )

)

LIFE CARE CENTERS OF AMERICA, ) INC., a Tennessee corporation, ) CASCADE MEDICAL INVESTORS ) LIMITED PARTNERSHIP, a Tennessee) UNPUBLISHED OPINION entity d/b/a LIFE CARE CENTER OF ) PORT TOWNSEND, ) FILED: April 30, 2018 )

Appellants. )

)

VERELLEN, J. — Life Care Center, a nursing facility, appeals the trial court's grant of a new trial following a defense verdict. The court found multiple discovery violations and several instances of defense counsel misconduct. The court concluded either the combined discovery abuses or combined misconduct supported granting a new trial.

There are serious concerns. First, the trial court did not make its decision until more than a year after the parties completed briefing on the motion for new trial, the parties provided only limited excerpts of the actual proceedings, and several of the trial court's findings are inaccurate. Second, in some instances, the

trial court did not reconcile its new trial findings with its inconsistent rulings and observations during trial. Third, the court emphasized the willful and malicious misconduct by defense counsel but relied on events implicating only Life Care itself. Fourth, the trial court ignored the doctrine of waiver as it applies to a request for a new trial. And finally, the trial court failed to apply the correct standard of prejudice. Contrary to the trial court's theme, there is no pattern of malicious attorney misconduct or egregious discovery abuses.

We reverse.

FACTS

From September 17, 2012 to October 17, 2012, Saundra Sharp resided at Life Care Center in Port Townsend. While at Life Care, Saundra developed cellulitis, an infection, in her lower legs. She was transferred to Jefferson County Hospital, where she died from sepsis on October 21, 2012.

Ronnie Sharp, as administrator of Saundra's estate (Sharp), filed a wrongful death action and alleged the facility was negligent in their failure to treat Saundra while the infection was survivable and by understaffing the facility. Life Care denied these claims. The trial began on November 10, 2014. Following a 35-day trial, the jury returned a defense verdict.

On February 9, 2015, Sharp filed a motion for new trial. The court held a hearing on March 23, 2015. After the hearing, the court requested supplemental briefing, which the parties provided in May 2015. A year later, on June 6, 2016, the trial court issued a memorandum opinion granting a new trial. On October 5,

2016, the court issued detailed findings of fact and conclusions of law. The court also awarded Sharp fees and costs associated with the original trial.

Life Care appeals.

ANALYSIS

I. Motion for New Trial

Life Care contends the trial court abused its discretion when it granted a new trial. Life Care assigns error to almost every finding in the trial court's lengthy memorandum opinion and subsequent findings of fact and conclusions of law. As to several findings, Life Care contends the trial court abused its discretion by relying on inaccurate facts. There are significant factual inaccuracies in the trial court's findings. We are troubled with the trial court's ability to accurately recall the details of the 35-day trial without access to the full record. The parties submitted limited transcript excerpts, and the trial court appears to have heavily relied on the clerk's minute entries. We are especially concerned about the accuracy of the trial court's recollection because of the extreme delay between the motion in February 2015 and the trial court's decision in June 2016.

We review a trial court's grant of a new trial for abuse of discretion.1 "A much stronger showing of abuse of discretion is required to set aside an order granting a new trial than one denying a new trial."2 "A court abuses its discretion

1 Palmer v. Jensen, 132 Wn.2d 193, 197, 937 P.2d 597(1997).

2 Hollins v. Zbaraschuk, 200 Wn. App. 578, 580, 402 P.3d 907(2017), review denied, 189 Wn.2d 1042(2018).

when it makes a decision for untenable reasons or on untenable grounds."3 "A court's decision is based on untenable grounds if the factual findings are not supported by the record; the decision is based on untenable reasons if it is based on an incorrect standard." "It is also untenable if a trial court ignores its own prior rulings when finding misconduct."5 Our analysis of an order granting a new trial "is generally limited to the trial court's reasons for granting a new trial.'"6 Here, the trial court granted a new trial based on defense counsel's misconduct and Life Care's discovery violations.

As to misconduct, the court relied on CR 59(a)(2). Notably, some of the instances of misconduct referenced by the court were not the actions of defense counsel, but rather Life Care itself. CR 59(a)(2) allows a new trial due to the "[m]isconduct of the prevailing party." But here, the trial court expressly attributed misconduct solely to the actions of defense counsel. The party seeking a new trial based on counsel's misconduct must establish that(1) the conduct was misconduct,(2) the misconduct was prejudicial,(3) the misconduct was objected to at trial, and (4) the misconduct was not cured by the court's instructions.7

3 Id. at 582-83.

4 Teter v. Deck, 174 Wn.2d 207, 220, 274 P.3d 336(2012).

5 Clark v. Teng, 195 Wn. App. 482, 492, 380 P.3d 73(2016), review denied, 187 Wn.2d 1016 (2017).

6 Id. (quoting Cox v. Gen. Motors Corp., 64 Wn. App. 823, 826, 827 P.2d 1052 (1992)).

7 Aluminum Co. of America v. Aetna Cas. & Sur. Co., 140 Wn.2d 517, 539, 998 P.2d 856(2000)(quoting 12 JAMES WM. MOORE, MOORE'S FEDERAL PRACTICE § 59.13[2][c][I][A], at 59-48 to 59-49(3d ed. 1999)).

The trial court also failed to apply the correct prejudice standard required for a new trial. The trial court relied heavily on Gammon v. Clark Equipment Co. to support a new trial based on discovery abuse.8 In Gammon,this court acknowledged a new trial is a potential remedy for discovery abuse.8 An issue at trial was whether an equipment manufacturer had any prior notice of injuries incurred in the use of its product. The manufacturer failed to produce two "accident books" containing reports of prior accidents.10 This court ordered a new trial for the discovery abuse.

Gammon contains an expansive statement about the level of prejudice adequate to grant a new trial for discovery violations:

It may very well be that timely answers to the interrogatories and production of the accident reports would have made no difference. That is not for us to decide. It is precisely because we cannot know what impact full compliance would have had, that we must grant a new trial.(111

But the court made this statement in the context of the manufacturer's failure to produce its accident books that inherently went to the material question of whether the manufacturer had notice of injuries from prior accidents.

Here, it appears the trial court interpreted Gammon as allowing a new trial on the vague and general supposition that a discovery violation has an unknowable impact on the moving party's right to a fair trial. In the memorandum

8 38 Wn. App. 274, 686 P.2d 1102(1984).

9 Id. at 277.

19 Id. at 279-82.

11 Id. at 282.

opinion granting a new trial, the court provided the following quote from United States Secretary of Defense Donald Rumsfeld: "IAls we know there are known knowns; there are things we know we know. We also know there are known unknowns; that is to say we know there are some things we do not know. But there are also unknown unknowns—the ones we don't know we don't know.'"12 The court stated, "This quote aptly summarizes the gravamen of the Plaintiffs Motion for New Trial following a jury verdict for the Defense."13 It appears the court misapprehended Gammon and assumed the existence of prejudice without conducting the proper analysis.

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Ronnie L. Sharp v. Life Care Centers Of America, (Wash. Ct. App. 2018).

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