251 P.3d 249
Wash. Ct. App.2011Background
- Diazes sued multiple health care providers for misdiagnosis of laryngeal cancer leading to unnecessary laryngectomy.
- Plaintiffs named Dr. Futran and UW Medical Center; also named pathologist Dr. Kini and MCL.
- Pretrial settlement: Diazes settled with Futran and UW for $400,000; Kini and MCL remained in suit.
- In the first trial, settlement evidence was not admitted; jury deadlocked.
- Before the second trial, the court admitted settlement evidence under RCW 7.70.080 and instructed the jury accordingly.
- Jury returned verdict for Kini and MCL;Diazes appealed challenging admissibility and related instructions.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether RCW 7.70.080 allows settlement evidence from a former codefendant. | Diazes contend former settling parties are proper collateral sources. | Kini argues only current defendants may be considered as defendant health care providers. | RCW 7.70.080 permits such evidence from former settling parties who contributed to compensation. |
| Whether ER 408 prohibits admission of settlement evidence under RCW 7.70.080. | Settled evidence serves to offset damages, not prove liability. | ER 408 bars settlement evidence only for liability, not for offset under 7.70.080. | ER 408 does not bar admission when evidence is offered for purposes specified by RCW 7.70.080. |
| Whether the instruction limited the jury’s use of settlement evidence correctly. | Instruction should allow reducing damages by prior settlements. | Instruction should not direct a verdict or prejudice defendant. | Instruction correctly stated that settlement evidence should not be used to apportion or reduce liability beyond RCW 7.70.080. |
| Whether the statute’s interpretation should be guided by related caselaw recognizing collateral source rules. | Statutory language is clear and broad to include settlements. | Balanced view with existing collateral source jurisprudence. | Statute unambiguously allows compensation evidence from sources other than the plaintiff; former codefendants may be sources. |
Key Cases Cited
- Adcox v. Children’s Orthopedic Hosp. & Med. Ctr., 123 Wn.2d 15 (1993) (collateral source evidence and offsetting damages in medical malpractice)
- Mahler v. Szucs, 135 Wn.2d 398 (1998) (redefines collateral source rule in medical malpractice; 7.70.080 context)
- Lange v. Raef, 34 Wn. App. 701 (1983) (supports broad interpretation of collateral sources)
- Northington v. Sivo, 102 Wn. App. 545 (2000) (settlement evidence may be admissible despite potential corrosion)
- Putman v. Wenatchee Valley Med. Ctr., PS, 166 Wn.2d 974 (2009) (interpreting coexistence of ER 408 with statutes)
- Columbia Physical Therapy, Inc. v. Benton Franklin Orthopedic Assocs., 168 Wn.2d 421 (2010) (statutory interpretation framework for resolving ambiguity)