Graham v. HHC St. Simons, Inc.
322 Ga. App. 693
Ga. Ct. App.2013Background
- Graham filed May 18, 2010 suit against HHC alleging wrongful discharge of his son who was a suicide risk; the son died eight hours after discharge.
- HHC moved for summary judgment on June 21, 2012; on June 27, 2012 HHC made an OCGA 9-11-68 settlement offer of $100,000.
- Graham counteroffered $200,000, rejected by HHC on August 2, 2012, which stated it reiterates the $100,000 offer.
- On August 22, 2012 the trial court granted HHC’s summary judgment.
- Graham purportedly accepted on August 23, 2012 and moved to enforce settlement; the trial court denied; the appeal followed.
- The court affirms in part (no enforceable settlement) and reverses in part (summary judgment improper regarding doctor’s status).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Enforceability of settlement due to lack of consideration | Graham contends there was acceptance and a binding agreement. | HHC argues there was no meeting of the minds on consideration. | No enforceable contract; no meeting of the minds on consideration. |
| Effect of August 2, 2012 letter as the settlement offer and its consideration | Graham claims the August 2 letter formed a settlement commitment. | HHC asserts the letter did not create enforceable terms under OCGA 9-11-68 and lacked proper consideration. | No contract under ordinary contract rules; no valid consideration established. |
| Summary judgment based on doctor’s employment status under OCGA § 51-2-5.1 | Graham argues the doctor was an employee/agent of HHC and liable for negligent discharge. | HHC contends the doctor was an independent contractor under the letter agreement. | Trial court erred in ruling as a matter of law the doctor was an independent contractor; issue of fact remains. |
Key Cases Cited
- Cox Broadcasting Corp. v. Nat. Collegiate Athletic Assn., 250 Ga. 391 (Ga. 1982) (objective theory of intent; surrounding circumstances relevant to mutual assent)
- UniFund Fin. Corp. v. Donaghue, 288 Ga. App. 81 (Ga. Ct. App. 2007) (parol evidence admissible on justness of consideration and contract formation)
- Drake v. Wallace, 259 Ga. App. 111 (Ga. Ct. App. 2003) (elements of contract; consideration must be certain)
- Powerhouse Custom Homes v. 84 Lumber Co., 307 Ga. App. 605 (Ga. Ct. App. 2011) (meeting of minds requires simultaneous understanding of terms)
- Wilkins v. Butler, 187 Ga. App. 84 (Ga. Ct. App. 1988) (reasonable time for acceptance of an open offer)