Shatto v. Syringa Surgical Center, LLC
2016 Ida. LEXIS 303
Idaho2016Background
- Harvey Wainio underwent bunion surgery by Dr. Richard Allen at Syringa Surgical Center on Jan. 21, 2010; his foot later became necrotic and was amputated. Plaintiffs sued Dr. Allen and the Surgical Center; Wainio later died and his estate was substituted.
- Dr. Allen had a documented history of prescription-drug misuse in 2009; he completed inpatient treatment Nov. 17, 2009, and complied with Board-ordered monitoring. He was a one-third owner/member of the Surgicenter LLC but was not an employee; the center was an ambulatory surgical center (one OR).
- Plaintiffs alleged the Surgical Center was vicariously liable for Allen’s alleged negligence (preoperative exams and decision to perform surgery) under actual and apparent authority, and that the Center was negligent in failing to detect/stop his drug misuse.
- The Surgical Center moved for summary judgment arguing no basis for vicarious liability and no admissible expert evidence of relapse in Jan. 2010; the district court granted summary judgment and excluded evidence of relapse under Rule 403.
- Plaintiffs settled/dismissed claims against Allen; appeal challenges the summary judgment dismissing Syringa. The Idaho Supreme Court affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Scope of alleged negligence (pre-op vs. surgery) | Shatto: negligence included both preoperative exams and the decision to perform the Jan. 21 surgery, imputable to Syringa | Syringa: alleged negligent acts were pre-op evaluations by Allen in his office, not acts of the Center | Court: Plaintiff’s negligence theory centered on pre-op evaluation/decision to operate; both claims would be pursued only via vicarious liability, which fails for Syringa |
| Actual (express/implied) authority / agency | Shatto: Syringa conferred actual authority on Allen to act for the Center when he used its facilities and as a medical-staff member | Syringa: Allen was an independent podiatrist and member-owner, not an employee or agent; bylaws and LLC membership rights do not show right to control his medical decisions | Court: No evidence Syringa had contractual right to control Allen’s decision or manner of performing surgery; membership and bylaws do not create agency; summary judgment proper |
| Apparent authority | Shatto: signage, shared building, and consent/insurance forms bearing the Center’s name would lead a reasonable patient to believe Allen acted for Syringa | Syringa: referrals and forms do not show conduct by Syringa that would reasonably create belief Allen acted on its behalf; patient did not rely on Syringa for physician services | Court: Forms and proximity insufficient to show conduct by Syringa that would reasonably lead a patient to believe Allen acted for it; no evidence of patient reliance; apparent authority fails |
| Direct negligence of the Surgical Center (failure to detect/monitor drug abuse) | Shatto: Syringa negligently allowed Allen to practice despite known drug problems and failed to secure access to drugs; violated its own policies | Syringa: After Sept. 2009 it implemented Propofol counting and had no evidence of diversion after Allen’s treatment; no record evidence of knowledge of relapse before Jan. 2010 | Court: Plaintiff offered no admissible evidence that Syringa or its agents knew of drug use after Allen’s treatment or violated policies; unspecific assertions insufficient; summary judgment proper |
Key Cases Cited
- Infanger v. City of Salmon, 137 Idaho 45, 44 P.3d 1100 (standard for summary judgment review)
- Bailey v. Ness, 109 Idaho 495, 708 P.2d 900 (distinguishing express and implied authority)
- Clark v. Gneiting, 95 Idaho 10, 501 P.2d 278 (implied authority defined)
- Koch v. Elkins, 71 Idaho 50, 225 P.2d 457 (control/right of control key to agency)
- Sharp v. W.H. Moore, Inc., 118 Idaho 297, 796 P.2d 506 (right to control creates agency)
- Hayward v. Yost, 72 Idaho 415, 242 P.2d 971 (agency principles)
- Van Vranken v. Fence-Craft, 91 Idaho 742, 430 P.2d 488 (right to control test)
- Jones v. HealthSouth Treasure Valley Hospital, 147 Idaho 109, 206 P.3d 473 (apparent authority doctrine for hospitals and independent personnel)