Estate of Moulton v. Puopolo
467 Mass. 478
| Mass. | 2014Background
- Moulton, age 25, worked as a residential treatment counsellor at North Suffolk Mental Health Association, Inc. (North Suffolk), a charitable corporation.
- While alone with resident Chappell, Chappell assaulted Moulton at North Suffolk’s Revere facility, causing her death.
- Moulton’s estate filed a wrongful death action against North Suffolk’s director defendants, two psychiatric consultants, the Commonwealth, and Chappell, claiming willful, wanton, reckless, malicious, and gross negligence, seeking punitive damages and asserting a breach of fiduciary duty.
- Director defendants argued immunity under G. L. c. 152, § 24 (exclusive remedy) and lack of fiduciary duty exposure; the appeal was interlocutory.
- Court held the director defendants were Moulton’s employer for purposes of the exclusive remedy; the wrongful death and punitive damages claims were barred; and the fiduciary duty claim against directors was not viable, with exclusive authority lying with the Attorney General for charitable governance under G. L. c. 12, § 8.
- Case remanded with judgment entered for the director defendants on all claims.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether directors are immune under the Workers’ Compensation Act as Moulton’s employer. | Moulton’s estate seeks damages despite Act immunity. | Directors are employers under the Act and immune. | Yes; directors are immune as the employer." |
| Whether the Court may hear an interlocutory appeal about director immunity under present execution. | Immunity denial is appealable now. | Immunity issue collateral and appealable. | Permitted under present execution. |
| Whether directors are “employers” under the Act for purposes of exclusive remedy. | Directors acted as individuals, not as employers. | Directors, as board voting on policies, acted as North Suffolk’s employer. | Directors are employers for purposes of § 24; immune. |
| Whether the complaint states a viable breach of fiduciary duty by the directors. | Directors breached fiduciary duties to North Suffolk, employees, clients, and public. | Employer has no fiduciary duty to employee; no standing to sue for public/charity matters; conflict claims inadequately pled. | Dismissed; no fiduciary duty owed by directors to Moulton; Attorney General controls public-charity fiduciary issues. |
| Whether the employee wrongful death claim can proceed given the exclusive remedy provision. | Wrongful death is independent of workers’ comp. | Exclusive remedy bars wrongful death claims arising from employment. | barred; wrongful death claim dismissed. |
Key Cases Cited
- Saab v. Massachusetts CVS Pharmacy, LLC, 452 Mass. 564 (Mass. 2008) (exclusive remedy precludes employee tort claims for act injuries)
- Foley v. Polaroid Corp., 381 Mass. 545 (Mass. 1980) (definitions of exclusive remedy and waiver rights under § 24)
- Berger v. H.P. Hood, Inc., 416 Mass. 652 (Mass. 1993) (broad exclusivity of workers’ compensation; waiver requirement)
- Peerless Ins. Co. v. Hartford Ins. Co., 48 Mass. App. Ct. 551 (Mass. App. Ct. 2000) (wrongful death claims precluded by workers’ comp exclusivity)
- Green v. Wyman-Gordon Co., 422 Mass. 551 (Mass. 1996) (employee status and “out of and in the course of employment” standard)
- Harhen v. Brown, 431 Mass. 838 (Mass. 2000) (corporate governance; board acts as the corporation; director liability)
- American Discount Corp. v. Kaitz, 348 Mass. 706 (Mass. 1965) (board decisions; corporate power exercised by directors)
- Boston Athletic Ass’n v. International Marathons, Inc., 392 Mass. 356 (Mass. 1984) (agents of the corporation; acts of board and corporation are one)
- Geller v. Allied-Lyons PLC, 42 Mass. App. Ct. 120 (Mass. App. Ct. 1997) (fiduciary duties of corporate directors)
- Dillaway v. Burton, 256 Mass. 568 (Mass. 1926) (public protection role of Attorney General in charitable administration)
