Johnson v. Preferred Professional Insurance Co.
2014 Del. Super. LEXIS 56
| Del. Super. Ct. | 2014Background
- Plaintiffs allege fraud on the court and related misconduct across prior litigation and the current case.
- Two prior lawsuits: a medical-negligence action (2007) and a related bad-faith action against the insurer.
- Allegations include alterations to Johnson’s chart and concealment by Montague, Dr. James, and PPIC’s attorneys.
- Current complaint asserts fourteen counts, including a new independent action for relief from judgment.
- Motions to dismiss all counts except XIV were filed and are addressed; discovery stay motions denied.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Independent action for relief from judgment | Fraud on the court warrants relief from judgment | Rule 60(b) remedies bar independent action | Count One survives; court has jurisdiction to hear independent action. |
| Civil conspiracy against multiple defendants | Conspiracy grounded in underlying torts; Noerr-Pennington does not bar | Conspiracy lacks cognizable underlying tort and damages; Noerr-Pennington applies | Counts Three, Four, Five survive; conspiracy pleaded with underlying torts and damages. |
| Fraud on the court and related claims (Counts Six, Seven, Ten, Twelve, Nine, Eleven, Thirteen) | Alleged perjury, concealment, and misrepresentation taint the adjudicatory process | Some claims lack prejudice or proper basis; Noerr-Pennington defense applies | Counts Six, Seven, Ten, Twelve, Nine, Eleven, Thirteen survive; negligent misrepresentation severed or transferred as appropriate. |
| RICO claim (Count Fourteen) | Pattern of racketeering activity alleged | Allegations do not show a continuing criminal pattern; not a valid RICO claim | Count Fourteen dismissed. |
Key Cases Cited
- Hazel-Atlas Glass Co. v. Hartford-Empire Co., 322 U.S. 238 (U.S. 1944) (fraud on the court; court may vacate for fraud on the court)
- Eastern R.R. Presidents Conference v. Noerr Motor Freight, Inc., 365 U.S. 127 (U.S. 1961) (Noerr-Pennington immunity for petitioning actions; limited fraud exception)
- United Mine Workers of Am. v. Pennington, 381 U.S. 657 (U.S. 1965) (Noerr-Pennington doctrine; continuing relevance)
- California Motor Transport Co. v. Trucking Unlimited, 404 U.S. 508 (U.S. 1972) (distinction between political activity and judicial process abuse)
- Nicolet, Inc. v. Nutt, 525 A.2d 146 (Del. 1987) (Delaware law on fraud and related claims)