Justia Texas Supreme Court Opinion Summaries

Articles Posted in Health Law
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Two Patients were injured in a car accident with Third-Party. Patients were treated at Hospital, and to secure payment, Hospital filed hospital liens under the Hospital Lien Statute. Patients settled with Third-Party and released their claims against him. Third-party’s Insurer made the settlement checks jointly payable to Patients and Hospital. Patients deposited the checks without Hospital’s endorsement, and Hospital was never reimbursed for the treatment costs. Hospital sued Insurer to enforce its hospital liens, but Insurer refused payment, contending that it met its obligation to pay Hospital under the Hospital Lien Statute by making the checks payable to Hospital as a copayee. The trial court granted summary judgment for Insurer, and the court of appeals affirmed. The Supreme Court reversed, holding (1) Hospital’s charges were not “paid” under the Hospital Lien Statute and Uniform Commercial Code; and (2) Hospital’s liens on Patients’ causes of action remained intact. View "McAllen Hosps., LP v. State Farm County Mut. Ins. Co." on Justia Law

Posted in: Health Law
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Plaintiff sued Defendant, which provided laser hair removal services, for negligence after she allegedly suffered burns and scarring on her face and neck while receiving laser hair removal treatments. Defendant filed a motion to dismiss because Plaintiff had not served an expert report as required by the Medical Liability Act for health care liability claims. The trial court denied the motion to dismiss, and the court of appeals affirmed. The Supreme Court reversed, holding that Plaintiff did not rebut the presumption that her claim for improper laser hair removal was a health care liability claim, and therefore, Plaintiff’s failure to serve an expert report precluded her suit. View "Rio Grande Valley Vein Clinic, P.A. v. Guerrero" on Justia Law

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Veasna Sok sued Bioderm Skin Care, LLC and Dr. Quan Nguyen after Sok purchased laser hair removal treatments from Bioderm and allegedly received burns and scars on her legs due to too high an intensity setting. When Sok did not serve an expert report within 120 days of filing her original petition, Defendants moved to dismiss Sok’s claim, asserting that it was a health care liability claim under the Texas Medical Liability Act. The trial court denied the motion to dismiss, and the court of appeals affirmed. The Supreme Court reversed and remanded for the trial court to dismiss the claim, holding (1) the rebuttable presumption that Sok’s claim was a Sok care liability claim applied in this case; and (2) Plaintiff failed to rebut this presumption because expert health care testimony was necessary to prove or refute her claim. View "Bioderm Skin Care, LLC v. Sok" on Justia Law

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Employee was a psychiatric nurse employed by Employer, a health care provider. Employee was injured at work while restraining a psychiatric patient. Employee filed a negligence action against Employer, seeking damages for personal injuries. Employer moved to dismiss Employee's suit, asserting that the suit alleged a health care liability claim (HCLC) under the Texas Medical Liability Act (TMLA) and that Employee's failure to serve Employer with an expert report within the TMLA's 120-day deadline mandated dismissal of his suit. The trial court denied the motion to dismiss, and the court of appeals affirmed. The Supreme Court reversed, holding that Employee's claim that Employer provided improper security of the psychiatric patient and inadequate safety for Employee was an HCLC under the TMLA, and therefore, Employee was required to serve an expert report within 120 days of filing suit. Remanded with instructions to dismiss Employee's complaint. View "Psychiatric Solutions, Inc. v. Palit" on Justia Law

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Respondents filed this health care liability action against Petitioner. The trial court awarded Respondents $9 million in actual damages and $3 million in punitive damages. The court of appeals reversed the punitive damages award. The Supreme Court reversed the court of appeals' judgment affirmance of the actual damages award, finding that Petitioner's liability was statutorily capped. On remand, the trial court vacated the original judgment and awarded Respondents actual damages capped according to the relevant statute plus postjudgment interest calculated from the date of the remand judgment. The court of appeals reversed the remand judgment, holding that the trial court erred by vacating its original judgment and by calculating the postjudgment interest from the date of the remand judgment rather than the date of the original judgment. The Supreme Court affirmed, holding (1) the court of appeals had jurisdiction to review the trial court's remand judgment; (2) postjudgment interest must be calculated from the date of the original judgment; and (3) the trial court's order vacating the original judgment was error, but it was not reversible error. Remanded. View "Phillips v. Bramlett" on Justia Law

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The family of a nursing home patient filed this action against the nursing home for, inter alia, medical negligence, negligence per se, breach of contract, and retaliation. Plaintiffs asserted the retaliation claim under the Texas Health & Safety Code, which creates a cause of action against a nursing facility that retaliates against a resident or family member who makes a complaint concerning the facility. Defendants moved to dismiss all of the claims pursuant to the Texas Medical Liability Act (TMLA) because the expert report was deficient. The trial court dismissed all of Plaintiffs' claims except for the retaliation claim, concluding that the claim was not a health care liability claim (HCLC) for which the TMLA requires a supporting expert report. The court of appeals affirmed. The Supreme Court reversed the court of appeals' judgment with respect to the retaliation claim, holding that because the retaliation claim was based on the same factual allegations on which one of Plaintiffs' HCLCs was based, the claim should have been dismissed for lack of a sufficient expert report. View "PM Management-Trinity NC, LLC v. Kumets" on Justia Law

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Plaintiffs, as next friends of their daughter (Daughter) sued Hospital for injuries sustained by Daughter following her premature birth. One hundred and sixteen days after filing their original petition, Plaintiffs nonsuited their claim. Plaintiffs later filed a new lawsuit against Hospital and other health care providers and served an expert report on Hospital. Hospital objected to the report as untimely and moved to dismiss the claim against it. The trial court overruled the objection and denied the motion to dismiss. The court of appeals affirmed, concluding that Plaintiffs timely served their expert report. At issue on appeal was the Texas Medical Liability Act's (TMLA) expert-report requirement, which requires a claimant to serve an expert report on health care providers against whom the claim is asserted 120 days after the original petition is filed. The Supreme Court affirmed, holding that a claimant's nonsuit of a health care liability claim before the expiration of the 120-day period tolls the expert-report period until suit is refiled. View "CHCA Woman's Hosp., LP v. Lidji" on Justia Law

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In an earlier suit, fourteen Texas hospitals filed a declaratory relief action against the Texas Health and Human Services Commission and its Executive Commissioner (collectively HHSC), challenging a cutoff date used by HHSC to cap the collection of data used to calculate Medicaid reimbursement rates for inpatient services. The Supreme Court declared the cutoff-date rule invalid and enjoined its enforcement. The Court further remanded the cause to the district court, where the hospitals argued that the Court's judgment should apply retroactively to provide them a basis to reopen their earlier administrative appeals and to seek reimbursement for the underpayment of past Medicaid claims calculated under the invalid cutoff-date rule. The district court found in favor of the hospitals. The court of appeals reversed, determining that the injunction should only operate prospectively. The Supreme Court affirmed, holding that the court of appeals correctly concluded that the Court's earlier opinion and judgment did not purport to reopen past rate determinations or closed administrative proceedings. View "El Paso County Hosp. Dist. v. Tex. Health & Human Servs." on Justia Law

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Plaintiff sued the hospital (Hospital) where she gave birth to a newborn and the two doctors who assisted in delivery, alleging that Hospital was liable for injuries to the newborn because of its own direct negligence as well as its vicarious liability for the negligence of the two doctors. Plaintiff served Hospital with three expert reports, all of which Hospital objected to. The trial court determined that when the three reports were read in concert, Plaintiff had met the requirements of the Texas Medical Liability Act (TMLA). The court of appeals concluded Plaintiff's reports were adequate as to the vicarious liability claim but remanded to the trial court to consider granting an extension to cure other deficiencies. The Supreme Court (1) affirmed the court of appeals' judgment as to the adequacy of the reports regarding the claim that Hospital was vicariously liable for the doctors' actions; and (2) did not address whether the court of appeals erred by remanding the case for the trial court to consider granting an extension of time for Plaintiff to cure deficiencies, as the expert reports satisfied the TMLA requirements as to one theory of liability alleged against Hospital. View "TTHR Ltd P'ship v. Moreno" on Justia Law

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Several hospitals (Hospitals) sued Aetna, Inc. and Aetna Health, Inc. (collectively Aetna) for allegedly violating the Prompt Pay Statute. Aetna provided a Medicare plan (Plan) through an HMO called NYLCare. It delegated the administration of its Plan to North American Medical Management of Texas (NAMM), a third-party administrator. IPA Management Services (Management Services) provided medical services to Plan enrollees. Management Services entered into contracts with the Hospitals to secure hospital services for the Plan employees. Aetna was not a party to these contracts. The Hospitals submitted hospital bills to NAMM for payment. After NAMM and Management Services became insolvent, Aetna de-delegated NAMM and assumed responsibility for processing and paying claims. However, Aetna instructed the Hospitals to continue submitting their bills to NAMM. The Hospitals argued that Aetna was liable for NAMM's failure to timely pay claims and was responsible for $13 million in outstanding bills. The trial court granted summary judgment for Aetna. The court of appeals affirmed, concluding that because the Hospitals entered into contracts with Management Services and not with Aetna directly, the Hospitals had no viable prompt-pay claim. The Supreme Court affirmed, holding that the lack of privity between the Hospitals and Aetna precluded the Hospitals' suit. View "Christus Health Gulf Coast v. Aetna, Inc." on Justia Law