Sternberg v. Nanticoke Memorial Hosp., Inc.

62 A.3d 1212, 2013 WL 772651, 2013 Del. LEXIS 109
CourtSupreme Court of Delaware
DecidedFebruary 28, 2013
DocketNo. 219, 2012
StatusPublished
Cited by21 cases

This text of 62 A.3d 1212 (Sternberg v. Nanticoke Memorial Hosp., Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sternberg v. Nanticoke Memorial Hosp., Inc., 62 A.3d 1212, 2013 WL 772651, 2013 Del. LEXIS 109 (Del. 2013).

Opinion

RIDGELY, Justice:

Plaintiff-below/Appellant Richard J. Sternberg, M.D. (“Sternberg”) brought an action against Defendants-below/Appellees Nanticoke Memorial Hospital, its CEO and members of the hospital’s Medical Executive Committee (“MEC”) (collectively “Nanticoke”) for tortious interference with existing business relationships, defamation, and breach of the Medical Staff Bylaws. His legal action arose from a precautionary suspension of his clinical privileges imposed by Nanticoke under its professional review procedures.

Nanticoke asserted immunity under federal and state law and sought attorneys fees, citing 42 U.S.C. § 11113 of the Health Care Quality Improvement Act (“HCQIA”) and also a fee-shifting provision of Nanticoke’s Medical Staff Bylaws Credentials Policy (“Credentials Policy”).

After cross-motions for summary judgment, the Superior Court denied Stern-berg’s motion and granted Nanticoke’s motion, awarding attorney’s fees under the HCQIA without addressing Nanticoke’s claim for costs and fees under the Credentials Policy.1 Sternberg appealed and we affirmed on the issue of immunity but reversed the award of attorney’s fees under the HCQIA because Sternberg refuted the only fact supporting the requisite bad faith for an award under the Act.2 We remanded and the Superior Court awarded attorney’s fees in the amount of $412,942.85 and $25,805.36 in costs based upon the Credentials Policy.3 This appeal followed.

Sternberg raises three claims on appeal. First, he claims that the Superior Court erred by granting Nanticoke’s motion for summary judgment for attorney’s fees under the Credentials Policy, because the bylaw violates public policy. Second, he claims the Credentials Policy is unenforceable against him because Nanticoke materially breached the bylaws. Finally, he claims that the Superior Court abused its discretion in determining the amount of attorney’s fees and costs to be awarded. We find no merit to the appeal and affirm.

Factual Background

For factual background we rely upon our earlier opinion4 but will restate some of those facts to provide context for this appeal.

Dr. Richard J. Sternberg, an orthopedic surgeon, was on the medical staff at the Nanticoke Memorial Hospital from December 1999 through February 2008. He was critical of hospital practices and frequently spoke out about quality of care issues that were not being addressed. The manner in which he expressed his views, however, and his general interaction with the staff, was problematic. Based on the list of “Incidents of Disruptive or Unacceptable Behavior” compiled for this litigation, Stern-berg’s outbursts began shortly after he arrived at Nanticoke and continued until he was suspended. Nurses, patients, and/or doctors filed complaints every few months. Virtually all of the complaints [1215]*1215concerned both his loud and antagonistic manner and his demeaning comments. Nanticoke responded to these complaints by talking to Sternberg about the need to improve his communication skills, requiring him to send letters of apology, and threatening him with further action if his conduct did not improve.

Sternberg’s conduct on July 12 and July 13, 2006 was deemed so inappropriate that it precipitated two MEC meetings and a recommendation that Sternberg’s medical privileges be revoked. The incident on July 12th arose because Sternberg was dissatisfied with the way his cases were being scheduled. After belittling the staff, he barged into, and disrupted, a doctors’ meeting by “waving his arms wildly while verbally attacking [a Hospital staff member] .... ” On July 13th, Sternberg was in the operating room, about to perform a procedure, when he learned that necessary instruments were not there. He became very angry and waved the drill he was holding in the air. Another Doctor was called to the operating room and tried to calm Sternberg down. Eventually, the proper instruments were brought in and Sternberg completed the surgery.

By letter dated July 26, 2006, Nanticoke CEO Daniel J. Werner advised Sternberg that the Executive Committee was prepared to recommend to the Nanticoke Board that his staff appointment and clinical privileges be revoked. The recommendation was based on his “continuing pattern of disruptive behavior,” that “placed patients at risk.” The letter repeated an earlier warning that, “any further incident of inappropriate behavior on your part, including, but not limited to, displays of anger, loud tone of voice, or disruption of any kind” will result in immediate suspension. Finally, Werner wrote that Stern-berg could take a voluntary leave of absence for the remainder of his term of appointment. Sternberg requested a hearing, as well as a 60 day postponement to allow him to retain an attorney. Wer-ner granted the request, but again warned Sternberg that he would be suspended immediately if he engaged in “any inappropriate behavior....”

Despite the repeated warnings, on October 13, 2006 Sternberg again put his “toes over the line.” By that time, he was running for public office. Sternberg had been told that he could not campaign or wear political buttons in the hospital. Nevertheless, he invited a newspaper reporter, who was covering his campaign, to observe one of his operations. Sternberg obtained written consent from the patient and all necessary hospital staff, but he represented that the visitor’s purpose was “educational.” The staff provided the reporter with appropriate clothing and instructed her on the use of her mask. As the patient was being prepped for the procedure, someone asked if the visitor was a student. The visitor replied that she was a reporter for a local newspaper. At that point, one of the nurses left the operating room and told a supervisor that the visitor was a reporter. An administrator promptly escorted the reporter out of the operating room and out of the hospital. The surgery proceeded successfully.

Before the day was over, Sternberg was placed on a “precautionary suspension.” Werner’s letter stated that, by bringing a reporter into the operating room under false pretenses, Sternberg “disrupted] the ability of the Operating Room staff to provide appropriate patient care and subjected] the patient to risk.” The letter advised that the reporter’s presence in, and later removal from, the operating room created “infection risks.”

Without any further investigation of the facts, the MEC voted to continue the precautionary suspension. Again, the doctors [1216]*1216on the MEC were not focusing on possible harm to patients or other individuals. The only relevant fact was that Sternberg broke the rules by misrepresenting the visitor’s purpose.

Nanticoke continued to offer Sternberg the option of a leave of absence in lieu of a suspension, and Sternberg ultimately accepted that resolution. On December 7, 2006, the Nanticoke Board voted to reappoint Sternberg, subject to his successful completion of a three day program for physicians who engage in disruptive behavior. Sternberg complied with that condition and returned to work on December 14, 2006. He remained at Nanticoke until he resigned on January 31, 2008.

Shortly before he resigned, Sternberg commenced this action.

Discussion

We review the Superior Court’s grant of summary judgment de novo

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Cite This Page — Counsel Stack

Bluebook (online)
62 A.3d 1212, 2013 WL 772651, 2013 Del. LEXIS 109, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sternberg-v-nanticoke-memorial-hosp-inc-del-2013.