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Keywords

tortplaintiffdamagesstatutemalpracticelease
plaintiffdamagesstatuteverdictmotionmalpracticewilldue process

Related Cases

American Bank and Trust Co. v. Community Hosp. of Los Gatos-Saratoga, Inc., 33 Cal.3d 674, 660 P.2d 829, 190 Cal.Rptr. 371

Facts

Mary English was admitted to Community Hospital for brain surgery after a tumor was discovered. On the eve of her operation, she suffered severe burns in a shower due to overheated water. After treatment for her burns, she underwent surgery for the tumor, which was malignant. Following her release, she experienced ongoing issues from the burns, including total and partial disability, and anticipated future surgeries. The jury awarded her $198,069.88 in damages, which the hospital contested, arguing for periodic payments for future damages under a specific statute.

Late in 1976, after a scan had disclosed a lesion or tumor, plaintiff was admitted to the hospital for brain surgery. On the eve of the scheduled operation she fainted or fell in a shower stall and suffered severe burns to thigh, hip, and groin, as a result of overheated water.

Issue

The main legal issue was whether the statute allowing periodic payments for future damages in medical malpractice cases was constitutional, particularly in its application to hospitals, and whether the damages awarded were excessive.

We consider here a constitutional attack on one provision of the 1975 Medical Injury Compensation Reform Act (MICRA)—namely, the section that permits a judgment for periodic payment of “future damages” to be awarded against a “provider of health care services.”

Rule

The court applied the principle that a statute must not violate equal protection guarantees under state and federal law, particularly when it creates classifications that treat similar individuals differently without a legitimate justification.

The measure violated state and federal constitutional guarantees of equal protection and due process of law.

Analysis

The court found that the statute in question, which allowed for periodic payments of future damages, created an unequal treatment of malpractice victims compared to other tort victims. It determined that the statute imposed significant disadvantages on malpractice victims without providing any compensatory benefits, thus violating equal protection principles.

By depriving a malpractice victim of the opportunity to gain access to the whole amount of the judgment and the benefits from its investment, section 667.7 places upon him the entire risk that unforeseeable future consequences of his injury will render the periodic payments inadequate to meet his needs.

Conclusion

The court affirmed the judgment in favor of the plaintiff, ruling that the statute was unconstitutional as applied to hospitals and that the damages awarded were not excessive.

A lump-sum judgment was entered in the amount of the verdict.

Who won?

Mary English prevailed in the case because the court found the statute allowing periodic payments unconstitutional, thus upholding her right to a lump-sum award for her damages.

The hospital, following a general verdict of nearly $200,000, moved under section 667.7 for periodic payment of future damages. The motion was resisted on two grounds: (1) that the statute was inapplicable because future damages had not been shown to equal or exceed $50,000; and (2) that the statute was unconstitutional.

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