Sylvia Casas, Ind. Substantively Consolidated Bankruptcy Estates of Fountain View, Inc. as Successor to Summit Care Corporation, Summit Care Texas, L.P. D/B/A Comanche Trail Nursing Center and Summit Care Management Texas and Robert Gundling, Ind. v. Rosamarie Paradez, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza

CourtCourt of Appeals of Texas
DecidedJune 25, 2008
Docket04-06-00417-CV
StatusPublished

This text of Sylvia Casas, Ind. Substantively Consolidated Bankruptcy Estates of Fountain View, Inc. as Successor to Summit Care Corporation, Summit Care Texas, L.P. D/B/A Comanche Trail Nursing Center and Summit Care Management Texas and Robert Gundling, Ind. v. Rosamarie Paradez, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza (Sylvia Casas, Ind. Substantively Consolidated Bankruptcy Estates of Fountain View, Inc. as Successor to Summit Care Corporation, Summit Care Texas, L.P. D/B/A Comanche Trail Nursing Center and Summit Care Management Texas and Robert Gundling, Ind. v. Rosamarie Paradez, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sylvia Casas, Ind. Substantively Consolidated Bankruptcy Estates of Fountain View, Inc. as Successor to Summit Care Corporation, Summit Care Texas, L.P. D/B/A Comanche Trail Nursing Center and Summit Care Management Texas and Robert Gundling, Ind. v. Rosamarie Paradez, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza, (Tex. Ct. App. 2008).

Opinion

i i i i i i

OPINION

No. 04-06-00417-CV

Sylvia CASAS, Robert Gundling, and Substantively Consolidated Bankruptcy Estates of Fountain View, Inc., as Successor to Summit Care Corp. and Summit Care Texas, L.P. d/b/a Comanche Trail Nursing Center, Appellants

v.

Rosamarie PARADEZ, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza, Deceased, Appellee

From the 73rd Judicial District Court, Bexar County, Texas Trial Court No. 99-CI-17411 Honorable Andy Mireles, Judge Presiding

ON APPELLEE’S MOTION FOR REHEARING

Opinion by: Karen Angelini, Justice

Sitting: Catherine Stone, Justice Karen Angelini, Justice Steven C. Hilbig, Justice

Delivered and Filed: June 25, 2008

APPELLEE’S MOTION FOR REHEARING GRANTED; AFFIRMED

On September 5, 2007, we issued an opinion affirming the judgment in part and reversing

it in part. See Casas v. Paradez, No. 04-06-00417-CV, 2007 WL 2479602 (Tex. App.—San Antonio

Sept. 5, 2007). Appellee Rosamarie Paradez then filed a motion for rehearing, and after reviewing 04-06-00417-CV

it, we requested a response. After considering the motion for rehearing and responses filed, we grant

appellee’s motion for rehearing and withdraw our prior opinion and judgment, and substitute this

opinion and judgment in their place.

This appeal involves a medical malpractice survival action brought by the decedent’s

daughter, Appellee Rosamarie Paradez. The decedent, Tranquilino Mendoza, was eighty-one years

old and residing in the Comanche Trail Nursing Center in Big Spring, Texas, when he was injured

by his roommate. On appeal, all three appellants, Sylvia Casas, Robert Gundling, and Substantively

Consolidated Bankruptcy Estates of Fountain View, Inc., as Successor to Summit Care Corporation

and Summit Care Texas, L.P. d/b/a Comanche Trail Nursing Center (“the Summit Care Appellants”),

argue the following: (1) the trial court erred in denying their respective motions for new trial because

“the record contains improper and incurable jury argument”; (2) there is factually insufficient

evidence to support the jury’s findings with respect to physical pain and mental anguish and with

respect to physical impairment; (3) “a new trial is warranted because the jury’s damages awards are

so excessive and egregious as to suggest that the jury’s finding resulted from passion or prejudice”;

and (4) the trial court erroneously awarded judgment against Summit Care Corp., Summit Care

Texas, L.P., Sylvia Casas, and Robert Gundling “in an amount exceeding the total of one

compensatory damages cap, pursuant to former article 4590i, section 11.02.” The Summit Care

Appellants also argue that (1) the trial court erroneously failed to give full faith and credit to a

bankruptcy court’s order precluding Paradez from duplicative claims, and (2) the trial court should

have found Summit Care Corp. to be a healthcare provider and applied the damages cap under

former article 4590i, section 11.02. Gundling also argues that there is legally and factually

insufficient evidence to support the jury’s finding of his negligence. We affirm.

-2- 04-06-00417-CV

FACTUAL AND PROCEDURAL BACKGROUND

Before September 1, 1997, Comanche Trail Nursing Center was operated by Summit Care

Corp., a publicly held corporation based in California that operated twenty nursing homes in Texas.

After September 1, 1997, Comanche Trail was operated by Summit Care Texas, L.P., and Summit

Care Corp.’s license as a “health care provider” was transferred from Summit Care Corp. to Summit

Care Texas, L.P.1 Appellant Sylvia Casas was the administrator of Comanche Trail. Appellant

Robert Gundling was a regional vice-president, employed by Summit Care Corp. Gundling, based

in San Antonio, was responsible for enforcing the financial policies issued by Summit Care Corp.

In January 1996, the CEO and Chairman of Summit Care Corp., Bill Scott, created an

aggressive marketing and sales program to increase company revenues. The program’s objective was

to add 212 new residents to company rolls, raising the occupancy rate in its Texas nursing homes to

95% capacity. According to Scott, the addition of 212 new residents at an average rate of $65 per

day would substantially increase revenues. In accomplishing this goal, Scott replaced managers and

administrators with people who were more marketing oriented; he created specific sales programs

and monthly census goals at each home; he required the senior vice-president of marketing and the

Texas regional marketing director to make daily calls to each nursing home to ensure the new sales

programs were being followed; and he held a weekly conference call with all marketing personnel

to discuss the progress of each nursing home and compare the actual census to the goals set for each

home.

1 About three months before a trial setting, both Summit Care Texas, L.P., and Summit Care Corp. filed for bankruptcy in California and sought to reorganize under Chapter 11. The bankruptcy court then confirmed a plan of reorganization, which provided for the substantive consolidation of all debts and assets of Summit Care Texas, L.P., and Summit Care Corp. Paradez’s case was then allowed to proceed to trial.

-3- 04-06-00417-CV

Comanche Trail was one of the nursing homes noted by Scott to have an unacceptable census

level. Thus, Comanche Trail needed to increase its average census from 82 to 112 residents and

convert 28 skilled nursing beds into Alzheimer’s beds. To accomplish these goals, it recruited

patients from the Veteran’s Administration (“V.A.”) Hospital and the Big Spring State Mental

Hospital. The V.A. was seen as a “source” for patients and was a primary marketing target. Thus,

Comanche Trail began marketing itself as having an Alzheimer’s unit when, in fact, it was never

licensed as a certified Alzheimer’s unit as required by state law.

Robert Gundling was selected to oversee Texas operations and monitor the progress of

Scott’s business plan. Gundling’s efforts, however, were criticized by Scott who informed Gundling

that he needed to be “more aggressive dealing with census issues, like Big Spring [Comanche Trail]”

and to get “tougher” “about census development in several facilities.” Indeed, Gundling admitted

at trial, “It was all of our jobs to keep the number of beds filled, yes. That’s – that’s what the

business was.” Thus, Gundling began to push Sylvia Casas, the Comanche Trail administrator, to

increase her census. He required Casas to provide him with a daily census report, to report all

resident discharges from Comanche Trail, and to state the reason for such discharge.

The Director of Nursing at Comanche Trail, Carol Swafford, however, repeatedly warned

Casas that the “Alzheimer’s wing” was in a state of crisis due to insufficient and inadequately trained

staff. And Swafford complained the admission of psychiatric patients to the “Alzheimer’s” unit “was

not appropriate; it was not a good mix” because “[w]e weren’t a psychiatric unit.”

It was in this environment that on July 8, 1997, Comanche Trail recruited Geronimo Vela,

a mentally incompetent veteran who had been involuntarily committed to the psychiatric unit at the

V.A. hospital pursuant to an emergency detention order. Before Vela’s admission, the staff at

Comanche Trail “knew that he had a history of violent behavior with family members and staff at

-4- 04-06-00417-CV

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Golden Eagle Archery, Inc. v. Jackson
116 S.W.3d 757 (Texas Supreme Court, 2003)
Diversicare General Partner, Inc. v. Rubio
185 S.W.3d 842 (Texas Supreme Court, 2005)
Living Centers of Texas, Inc. v. Penalver
256 S.W.3d 678 (Texas Supreme Court, 2008)
Columbia Hospital Corp. of Houston v. Moore
43 S.W.3d 553 (Court of Appeals of Texas, 2001)
Cresthaven Nursing Residence v. Freeman
134 S.W.3d 214 (Court of Appeals of Texas, 2003)
City of Fort Worth v. Zimlich
29 S.W.3d 62 (Texas Supreme Court, 2000)
Pope v. Moore
711 S.W.2d 622 (Texas Supreme Court, 1986)
TEXAS EMPLOYERS'INS. ASS'N v. Haywood
266 S.W.2d 856 (Texas Supreme Court, 1954)
Transit Management Co. of Laredo v. Sanchez
886 S.W.2d 823 (Court of Appeals of Texas, 1994)
Torrington Co. v. Stutzman
46 S.W.3d 829 (Texas Supreme Court, 2001)
Plas-Tex, Inc. v. U.S. Steel Corp.
772 S.W.2d 442 (Texas Supreme Court, 1989)
Maritime Overseas Corp. v. Ellis
971 S.W.2d 402 (Texas Supreme Court, 1998)
Osterberg v. Peca
12 S.W.3d 31 (Texas Supreme Court, 2000)
Rose v. Doctors Hospital
801 S.W.2d 841 (Texas Supreme Court, 1990)
B.T. Healthcare, Inc. v. Honeycutt
196 S.W.3d 296 (Court of Appeals of Texas, 2006)
Fifth Club, Inc. v. Ramirez
196 S.W.3d 788 (Texas Supreme Court, 2006)
Larson v. Cactus Utility Co.
730 S.W.2d 640 (Texas Supreme Court, 1987)
Amelia's Automotive, Inc. v. Rodriguez
921 S.W.2d 767 (Court of Appeals of Texas, 1996)
Southwest Texas Coors, Inc. v. Morales
948 S.W.2d 948 (Court of Appeals of Texas, 1997)
MacIas v. Ramos
917 S.W.2d 371 (Court of Appeals of Texas, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
Sylvia Casas, Ind. Substantively Consolidated Bankruptcy Estates of Fountain View, Inc. as Successor to Summit Care Corporation, Summit Care Texas, L.P. D/B/A Comanche Trail Nursing Center and Summit Care Management Texas and Robert Gundling, Ind. v. Rosamarie Paradez, as the Administrator and Heir at Law of the Estate of Tranquilino Mendoza, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sylvia-casas-ind-substantively-consolidated-bankruptcy-estates-of-texapp-2008.