Udebiuwa v. District of Columbia Board of Medicine

818 A.2d 160, 2003 D.C. App. LEXIS 139, 2003 WL 1339162
District of Columbia Court of Appeals·Decided March 13, 2003·No. 01-AA-1134·Published·Cited by 5 cases

Opinions

GLICKMAN, Associate Judge:

Dr. Oparaugo Udebiuwa appeals from the decision of the D.C. Board of Medicine to discipline him for engaging in an inappropriate social and sexual relationship with a former psychiatric patient. See D.C.Code § 3-1205.14(a)(26) & (28) (2001). The Board found that this misconduct was established conclusively by the $2.3 million judgment that had been rendered against Dr. Udebiuwa and Howard University Hospital (HUH) in the patient’s malpractice action in D.C. Superior Court. Dr. [162] Udebiuwa’s principal contention is that the Board of Medicine erred in according pre-clusive effect to the malpractice judgment because the parties subsequently settled the case for $1.5 million and sought to have the judgment vacated. This contention fails for the simple reason that, notwithstanding the parties’ intentions, the judgment was not vacated. We affirm the Board’s order.

The post-trial settlement of the malpractice action mooted the litigation. For that reason the settlement required the dismissal of the pending appeal. See Milar Elevator Co. v. District of Columbia Dep’t of Employment Servs., 704 A.2d 291, 292-93 (D.C.1997). But though the settlement satisfied the judgment against Dr. Udebiuwa and (HUH), it did not eliminate that judgment. The parties apparently sought a vacatur by filing a praecipe in the trial court which stated that “[a]s a part of the settlement agreement and release, the parties agree that the judgment entered against [ (HUH) and Dr. Udebiuwa] is to be vacated.” “We ask for this,” stated the attorney signatories to the praecipe. They asked for it, but they did not get it. The trial court, which took no action at all in response to the praecipe, did not grant the vacatur. Thereafter the parties did nothing further. They did not move in the trial court to vacate the judgment pursuant to Super. Ct. Civ. R. 60(b)(5), which permits motions for relief from a final judgment on the ground that the judgment has been satisfied, released or discharged.1 But even if the praecipe is deemed equivalent to a Rule 60(b) motion, the mere filing of a motion under subdivision (b) “does not affect the finality of a judgment or suspend its operation.” Super. Ct. Civ. R. 60(b).

Nor, it should be clear, did their settlement entitle the parties to have the trial court vacate the judgment upon their request.2 The general rule is to the contrary. Although this court has not spoken on the issue before now, the Supreme Court has held that “mootness by reason of settlement does not justify vacatur of a judgment,” even if the settlement agreement specifically provides for vacatur as a condition of the deal. U.S. Bancorp Mortgage Co. v. Bonner Mall P’ship, 513 U.S. 18, 29, 115 S.Ct. 386, 130 L.Ed.2d 233 (1994). Vacatur, the Court said, is an extraordinary remedy that is reserved for exceptional situations, as where the losing party is frustrated from obtaining appellate review because the judgment is rendered moot by circumstances beyond that party’s control. “Where mootness results from settlement, however, the losing party has voluntarily forfeited his legal remedy by the ordinary processes of appeal or certiorari, thereby surrendering his claim to the equitable remedy of vacatur.” Id. at 25, 115 S.Ct. 386. In such a case, the equities ordinarily disfavor vacatur even if the losing party bargained for it, because the public interest typically outweighs the private interests involved. “Judicial precedents are presumptively correct and valuable to the legal community as a whole. They are not merely the property of private litigants and should stand unless a court concludes that the public interest [163] would be served by a vacatur.” Id. at 26, 115 S.Ct. 386 (quoting Izumi Seimitsu Kogyo Kabushiki Kaisha v. U.S. Philips Corp., 510 U.S. 27, 40, 114 S.Ct. 425, 126 L.Ed.2d 396 (1993) (Stevens, J., dissenting)). The public interest also is served by encouraging parties to settle before rather than after trial, by deterring those litigants who “may think it worthwhile to roll the dice rather than settle in the [trial] court ... if, but only if, an unfavorable outcome can be washed away by a settlement-related vacatur.” Bonner Mall, 513 U.S. at 28, 115 S.Ct. 386.

As is illustrated by the present case, one important reason that the judgment of a court is “valuable to the legal community as a whole,” id. at 26, 115 S.Ct. 386 is that it may have “preclusive benefits for third parties” under the doctrine of offensive nonmutual collateral estoppel. In re Mem'l Hosp. of Iowa County, Inc., 862 F.2d 1299, 1302 (7th Cir.1988). “If parties want to avoid stare decisis and preclusive effects, they need only settle before the [trial] court renders a decision.” Id. We appreciate that the recipient of an otherwise satisfactory post-trial settlement offer that is conditioned on vacating the judgment may be quite amenable to that condition, and will feel aggrieved if a desirable settlement is stymied by the rule against routine grants of vacatur in such circumstances. “The interests of litigants in general, however, lie with the orderly operation of a system of justice, one in which the conclusions of litigation are recorded and thus preserved for the future, one in which slightly higher costs in today’s case may reduce the trouble encountered by litigants and judges tomorrow. Judges must have at heart the interests of other litigants in future cases, and hold them equal in weight with the interests of today’s.” Id. at 1303; see also Bonner Mall, 513 U.S. at 27, 115 S.Ct. 386 (“To allow a party who steps off the statutory path [of seeking appellate relief from an adverse judgment] to employ the secondary remedy of vacatur as a refined form of collateral attack on the judgment would — quite apart from any considerations of fairness to the parties — disturb the orderly operation of the federal judicial system.”).

While “exceptional circumstances may conceivably counsel” granting a motion for vacatur at the behest of settling parties, Bonner Mall, 513 U.S. at 29, 115 S.Ct. 386 no such circumstances were presented in the case at bar. The fact that Dr. Udebiu-wa wanted the judgment vacated to avoid its collateral estoppel use against him in a disciplinary proceeding was a reason to deny vacatur, not to grant it. Simply put, Dr. Udebiuwa was not entitled to vacatur, and there was no injustice in the Board’s refusal to honor his expectation that the Superior Court would give it to him.

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Udebiuwa v. District of Columbia Board of Medicine, 818 A.2d 160, 2003 D.C. App. LEXIS 139, 2003 WL 1339162 (D.C. 2003).

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Udebiuwa v. District of Columbia Board of Medicine
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