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Jaime Guzman v. Melvin Jones
804 F.3d 707
| 5th Cir. | 2015
Read the full case

Background

  • Collision between Melvin Jones (truck driver) and Jaime Guzman; Jones and employer Celadon conceded fault; trial limited to damages.
  • Jury awarded Guzman $1,314,000 (including $104,000 for past medical bills); appellants do not contest liability or other awards.
  • Guzman introduced medical bills showing list charges; he was uninsured and had not received Medicaid or workers’ compensation payments at the time of treatment.
  • Appellants sought to exclude the bills arguing Guzman may have been eligible for insurance/Medicaid such that billed amounts were not "actually incurred." District court admitted the bills.
  • Appellants requested an independent medical examination (IME); Guzman disclosed intent to have back surgery, scheduled and had surgery before the IME; appellants later moved for spoliation sanctions and an adverse inference instruction.
  • District court denied spoliation sanctions and adverse-inference instruction; Fifth Circuit affirmed and ordered a slight remittitur to correct a numerical error in the award.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Admissibility of billed medical charges under Tex. Civ. Prac. & Rem. Code § 41.0105 Guzman: billed amounts are actual debts; he was billed, owes them, and they are admissible Jones/Celadon: billed list prices are not "actually incurred" if plaintiff may have been eligible for insurance or public benefits that would reduce charges Admitted: court affirmed that an uninsured plaintiff who was billed and remains liable may present list charges; Haygood does not bar such evidence when reduced-rate payments were not actually paid or owed
Spoliation / adverse-inference due to pre-IME surgery Jones/Celadon: Guzman’s surgery before IME altered or destroyed evidence; bad-faith spoliation warrants adverse inference/sanctions Guzman: disclosed intent to have surgery; no evidence of bad faith or intent to hide evidence; IME nevertheless occurred and records/scans pre-surgery were provided Denied: no evidence of bad faith; timing alone insufficient for spoliation sanctions; district court did not abuse discretion

Key Cases Cited

  • Arthur J. Gallagher & Co. v. Babcock, 703 F.3d 284 (5th Cir.) (abuse-of-discretion review of evidentiary rulings)
  • Global Petrotech, Inc. v. Engelhard Corp., 58 F.3d 198 (5th Cir.) (de novo review of underlying legal determinations on admissibility)
  • Haygood v. De Escabedo, 356 S.W.3d 390 (Tex. 2012) (holding recoverable medical expenses limited to amounts actually paid or obligated to be paid)
  • Big Bird Tree Service v. Gallegos, 365 S.W.3d 173 (Tex. App.—Dallas 2012) (permitting recovery of billed charges where provider retained right to collect from uninsured plaintiff)
  • Metro. Transit Auth. v. McChristian, 449 S.W.3d 846 (Tex. App.—Houston [14th Dist.] 2014) (admitting billed medical expenses for uninsured plaintiff where bills showed no insurer adjustments and plaintiff remained liable)
  • Rimkus Consulting Grp., Inc. v. Cammarata, 688 F. Supp. 2d 598 (S.D. Tex. 2010) (definition and preservation duties related to spoliation)
  • Condrey v. SunTrust Bank of Georgia, 431 F.3d 191 (5th Cir.) (bad faith requirement for adverse inference/sanctions for spoliation)
Read the full case

Case Details

Case Name: Jaime Guzman v. Melvin Jones
Court Name: Court of Appeals for the Fifth Circuit
Date Published: Oct 22, 2015
Citation: 804 F.3d 707
Docket Number: 15-40007
Court Abbreviation: 5th Cir.