Shelton-Riek v. Story

75 F. Supp. 2d 480, 1999 U.S. Dist. LEXIS 20874, 1999 WL 1092581
CourtDistrict Court, M.D. North Carolina
DecidedNovember 19, 1999
Docket1:98CV00543
StatusPublished
Cited by1 cases

This text of 75 F. Supp. 2d 480 (Shelton-Riek v. Story) is published on Counsel Stack Legal Research, covering District Court, M.D. North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shelton-Riek v. Story, 75 F. Supp. 2d 480, 1999 U.S. Dist. LEXIS 20874, 1999 WL 1092581 (M.D.N.C. 1999).

Opinion

MEMORANDUM OPINION

BEATY, District Judge.

This matter is before the Court on Defendants B.W. Story, David S. Katzin, Joseph B. Sutter, Cynthia Spry, Jo E. Cooley, Keith D. Ruether, Robert Hackett, Sharon Machovina, Ed Sessoms, Maria Hall, and Tanya B. Burton’s Motion to Dismiss or in the Alternative for Summary Judgment [Document # 7]. For the reasons stated herein, Defendants’ Motion for Summary Judgment is granted.

I. FACTS

In 1991, the Salisbury Veterans Administration Medical Center (the “VA”) hired Kathy Shelton-Riek (“Plaintiff’ or “Shelton-Riek”), a licensed social worker. (ComplV 11.) In November, 1995, Shelton-Riek accepted the position of coordinator of the Specialized Inpatient PTSD (Post Traumatic Stress Disorder) Unit (“SIPU”) at the VA. (ComplV 15.)

Before and during Shelton-Riek’s time as coordinator, the SIPU suffered from administrative difficulties. (Comply 22.) Those difficulties continued through September, 1996, when the VA enlisted the aid of an outside consultant to conduct a site evaluation of the SIPU. The consultant made several recommendations for reengi-neering the SIPU, including that the VA apply for funding for a temporary coordinator of the SIPU and that the VA conduct a national search for an SIPU coordinator. (PLEx. J at 8.)

On December 10, 1996, Dr. David Kat-zin, then acting Chief of Staff of the VA, requested that Shelton-Riek resign her position as coordinator of the SIPU. (ComplV 39.) On December 19, 1996, before Shelton-Riek officially responded to Dr. Katzin’s request, he announced her resignation. (ComplJ42.) On December 23, Shelton-Riek informed Dr. Katzin that she refused to resign. (ComplV 42.)

Following Dr. Katzin’s announcement of Shelton-Riek’s resignation, VA staff, including Staff Nurse Robert Hackett, Nurse Manager Cynthia Spry, Nurse Sharon Machovina, and Dr. Jo E. Cooley, a clinical psychologist at the VA, reported that some VA patients had indicated that Shelton-Riek had revealed to them that the SIPU was to be closed. It was also disclosed that Shelton-Riek had informed the patients that staff members, including Nurse Hackett, Dr. Cooley, and Psychology Technician Keith Ruether, were working to close the SIPU and oust Shelton-Riek. The patients also stated that Shelton-Riek had urged patients to work to keep the SIPU open and prevent Shelton-Riek’s removal. (Def.Ex. F ¶¶ 4, 5, I ¶¶ 4, 5, H ¶ 6.) These incidents occurred on December 20, 21, 22, and 24, 1996. The staff members to whom the patients spoke made official reports of their conversations pursuant to VA Medical Center Memorandum 05-5 which requires VA staff to report any “abuse or mistreatment” of a patient to the proper authority. (Def.Exs. F ¶ 5, G ¶ 12, I ¶ 6.) Four VA staff members, Dr. Cooley, Nurse Machovina, Nurse Hackett, and Psychology Technician Ruether reported that they were concerned for their safety as a result of Shelton-Riek’s discussions with patients. (Def.Exs. G ¶ 17, H ¶¶ 7, 8, I ¶ 9, J ¶ 16.) Shelton-Riek denies discussing with patients the closure of the SIPU or having inappropriate patient contact. (Pl.Exs. Q ¶ 7, AA ¶ 11, CC ¶ 6.)

On December 30, 1996, Dr. Katzin detailed Shelton-Riek to a position in Social Work Service. In a memo, he told her that she was the subject of an administrative investigation and that she was to have no further contact with patients or SIPU staff. (Comply 44.) The investigation concerned Shelton-Riek’s reported conversations with patients regarding the closing of the SIPU. (Pl.Ex.A.) Shelton-Riek testified in her own defense in the VA investigation on January 21, 1997. (Comply 62, Pl.Ex.A.)

*482 As the VA was conducting its investigation of Shelton-Riek, during the week of January 6, 1997, Dr. Cooley filed a complaint with the North Carolina Board for Social Work (“the State Board”) stating that Shelton-Riek had possibly violated her ethical obligations as a social worker. (Def.Ex. G ¶ 32.) Shelton-Riek contends that by filing the complaint with the State Board, Dr. Cooley bypassed VA procedures which required that complaints such as those raised against Shelton-Riek be handled internally rather than reported to professional licensing boards. (Comply 59.) Dr. Cooley’s complaint to the State Board recounted reports that Shelton-Riek had discussed with patients the closure of the SIPU, advised the patients that Dr. Cooley, Nurse Hackett, and Psychology Technician Ruether, among others, were responsible for the closure of the SIPU, and urged the patients to take action to prevent the closure of the SIPU. (Def.Ex.G — 6.) The complaint further stated that Dr. Cooley believed that Shelton-Riek’s conduct violated the State Board’s ethical principles “in that she used her status ... to engage clients in activities that were wholly self-serving” and “abused her power as SIPU Coordinator in such a way as to put colleagues ... in potential danger.” (Id.) Dr. Cooley indicated that Psychology Technician Ruether, Nurse Hackett, and Nurse Machovina were witnesses to the events of which she complained. (CompIV 58.)

As a licensed social worker, Shelton-Riek had an ethical obligation to report the State Board’s investigation to potential clients. (ComplV 61.) As a result, she lost business at a private counseling service she operated. In particular, Shelton-Riek has alleged that the investigation “had an impact on her ability to apply for Preferred Provider Status with many HMOs and Insurance Providers,” and that she lost many current and potential clients and “more than one lucrative business contract with mental health care professionals.” (Pl.Ex. RR ¶¶ 7-9.) Shelton-Riek also contends that the investigation “foreclosed” her opportunity to renew her counseling license in Louisiana. (Id. ¶ 10.) Even though the investigation reduced Shelton-Riek’s counseling business, she is still a counselor, now working at the Family Therapy Institute, Ltd., of which she is the president. (Id. ¶ 1.) There is no evidence that the investigation had a continuing impact on Shelton-Riek’s counseling practice.

During the investigation by the State Board, Shelton-Riek and the State Board investigator asked Dr. B.W. Story, Director of the VA, to release information 'from the VA investigation to the State Board so that it could conclude its investigation more quickly. (Comply 66.) However, Dr. Story “through her counsel Edison Sessoms and Tanya Burton” did not provide information and did not cooperate in resolving the State Board’s investigation. (Id. ¶ 67.)

The State Board sent a notice to Dr. Cooley on July 30, 1997, indicating that it had closed the investigation of Shelton-Riek’s behavior. (Pl.Ex.QQ.) The notice stated that the investigation did not “produce evidence to substantiate willful violations by Ms. Shelton-Riek” but that “[idealizing that insufficient evidence does not mean that some errors in judgment may not have occurred, the State Board has expressed cautions and made recommendations to Ms. Shelton-Riek about client and/or program advocacy.” (Id.) The State Board took no further disciplinary action. (Id.)

On February 18, 1997, before the State Board completed its investigation of Shelton-Riek, Dr. Story sent Shelton-Riek a memo informing her that the VA’s internal administrative investigation was over and that she was reinstated to her position as coordinator of the SIPU effective February 23, 1997.

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Bluebook (online)
75 F. Supp. 2d 480, 1999 U.S. Dist. LEXIS 20874, 1999 WL 1092581, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shelton-riek-v-story-ncmd-1999.