Lead Opinion
In these two appeals from two orders of the Circuit Court of Monongalia County granting summary judgment to West Virginia University Hospitals (hereinafter referred to as “WVUH”), the Appellants ask this Court to rule that the circuit courts erred in finding that no actual or apparent agency relationship existed between physicians employed by the West Virginia University Board of Trustees (hereinafter referred to as “the BOT”) and WVUH. We find no error in the circuit courts’ rulings that no actual agency existed. However, we find that the courts erred in granting summary judgment on the issue of apparent agency. In reaching this conclusion, we find that for a hospital to be held liable for a physician’s negligence under an apparent agency theory, a plaintiff must establish that: (1) the hospital either committed an act that would cause a reasonable person to believe that the physician in question was an agent of the hospital, or, by failing to take an action, created a circumstance that would allow a reasonable person to hold such a belief, and (2) the plaintiff relied on the apparent agency relationship.
I.
FACTUAL AND PROCEDURAL HISTORY
Each of the two cases consolidated for purposes of this opinion involve a woman who gave birth to her child at WVUH under circumstances that she alleges resulted in severe birth defects to her child. The relevant facts of each case, as developed in the pleadings, depositions, affidavits, and exhibits, follow.
A. Jaclyn Burless
In July of 1998 Jaclyn Burless learned she was pregnant and sought prenatal care at the Cornerstone Care Clinic (hereinafter referred to as “the Cornerstone Clinic” or simply “the clinic”) located in Greensboro, Pennsylvania. The Cornerstone Clinic was where Ms. Burless had routinely sought her primary medical care. Similarly, Ms. Burless elected to receive her prenatal care at the clinic. She received her prenatal care from Dr. Douglas Glover for approximately seven months.
In November, 1998, Dr. Glover sent Ms. Burless to WVUH for an ultrasound. At
Ms. Burless later filed a negligence action, claiming breaches of the standard of care in connection with the management of her labor, against the BOT as the physicians’ employer,
A. Melony Pritt
Melony Pritt presented to the Emergency Department of WVUH on June 2, 1998, complaining of pain in her right lower abdomen. It was determined that she was nine weeks pregnant and had a left ovarian cyst. Ms. Pritt was released from the hospital on June 3 and was instructed to follow-up at the Obstetrics and Gynecology clinic at the Physicians Office Center (hereinafter “POC”) for her prenatal care and monitoring of her ovarian cyst. When Ms. Pritt arrived for her first follow-up visit, she reported to the admissions clerk at WVUH and was assigned to
Ms. Pritt subsequently sued the BOT
II.
STANDARD OF REVIEW
These cases are before this Court on appeal from orders granting summary judgment in favor of WVUH. “A circuit court’s entry of summary judgment is reviewed de novo.” Syl. pt. 1, Painter v. Peavy,
“ ‘A motion for summary judgment should be granted only when it is clear that there is no genuine issue of fact to be tried and inquiry concerning the facts is not desirable to clarify the application of the law.’ Syllabus Point 3, Aetna Casualty & Surety Co. v. Federal Insurance Co. of New York,148 W.Va. 160 ,133 S.E.2d 770 (1963).” Syllabus Point 1, Andrick v. Town of Buckhannon,187 W.Va. 706 ,421 S.E.2d 247 (1992).
Syl. pt. 2, Painter. Moreover,
Summary judgment is appropriate where the record taken as a whole could not lead a rational trier of fact to find for the nonmoving party, such as where the nonmoving party has failed to make a sufficient showing on an essential element of the ease that it has the burden to prove.
Syl. pt. 4, Painter. We are also mindful that “The circuit court’s function at the summary judgment stage is not to weigh the evidence and determine the truth of the matter, but is
III.
DISCUSSION
Ms. Burless and Ms. Pritt assert that the circuit courts erred both in finding no actual agency relationship between the doctors who treated them and WVUH, and in finding no apparent agency relationship. We address each of these assignments of error in turn.
A Actual Agency
Ms. Burless and Ms. Pritt argue that the circuit court erred in concluding that there was no actual agency relationship between the physicians who provided them treatment and WVUH. We have explained that “one must examine the facts of a particular case to determine whether an agency relationship exists.” Arnold v. United Cos. Lending Corp.,
There are four general factors which bear upon whether a master-servant relationship exists for purposes of the doctrine of respondeat superior: (1) Selection and engagement of the servant; (2) Payment of compensation; (3) Power of dismissal; and (4) Power of control. The first three factors are not essential to the existence of the relationship; the fourth, the power of control, is determinative.
“[t]o ascertain whether a workman is an employee or an independent contractor each case must be resolved on its own facts and ordinarily no one feature of the relationship is controlling, but all must be considered together.’ Syl. pt. 1, Myers v. Workmen’s Compensation Commissioner,150 W.Va. 563 ,148 S.E.2d 664 (1966).”
Syl. pt. 2, Barkley v. State Workmen’s Comp. Comm’r,
Ms. Burless, Ms. Pritt, and WVUH have directed us to numerous portions of the voluminous record in this case in support of their contrasting contentions on this issue. We have thoroughly considered each of the Pax-ton factors in light of the particular facts of this case and the evidence in the record to which we were directed. We conclude that the considerable evidence contained in the record admits of only one reasonable conclusion, the BOT resident physicians who treat patients at WVUH are not agents or employees of WVUH.
We find additional support for our conclusion in the statutes that separated the BOT from WVUH.
‘“A statutory provision which is clear and unambiguous and plainly expresses the legislative intent will not be interpreted by the courts but will be given full force and effect.’ Syllabus point 2, State v. Epperly,135 W.Va. 877 ,65 S.E.2d 488 (1951).” Syllabus point 1, State v. Jarvis,199 W.Va. 635 ,487 S.E.2d 293 (1997).
Syl. pt. 4, Daily Gazette Co. v. West Virginia Development Office,
*771 [t]he corporation [WVUH] may utilize both corporation employees and university personnel. On or after the transfer date, each university employee working in the hospital shall elect to be either a corporation employee or a part of university personnel [an employee of the BOT]. No university employee may be required to become an employee of the corporation as the condition of employment or promotion. All university personnel are university employees in all respects.
Ms. Burless and Ms. Pritt next assert that the circuit courts erred in finding no apparent agency
As with most general rules, there are exceptions to the independent contractor rule. We have previously recognized that
One who by his acts or conduct has permitted another to act apparently or ostensibly as his agent, to the injury of a third person who has dealt with the apparent or ostensible agent in good faith and in the exercise of reasonable prudence, is es-topped to deny the agency relationship.
Syl. pt. 1, General Elec. Credit Corp. v. Fields,
In the hospital/physician context, this Court has heretofore established that even where a physician charged with negligence is an independent contractor, the hospital may nevertheless be found vicariously liable where the complained of treatment was provided in an emergency room. See Syl. pt. 1, Torrence v. Kusminsky,
1. Hospital/Physician Apparent Agency Outside the Emergency Room Setting. The public’s confidence in the modern hospital’s portrayal of itself as a full service provider of health care appeal’s to be at the foundation of the national trend toward adopting a rule of apparent agency to find hospitals liable, under the appropriate circumstances, for the negligence of physicians providing services within its walls. As one court observed:
In an often cited passage, a New York court explained: “The conception that the hospital does not undertake to treat the patient, does not undertake to act through its doctors and nurses, but undertakes instead simply to procure them to act upon their own responsibility, no longer reflects the fact. Present-day hospitals, as their manner of operation plainly demonstrates, do far more than furnish facilities for treatment. They regularly employ on a salary basis a large staff of physicians, nurses and internes, as well as administrative and manual workers, and they charge patients for medical care and treatment, collecting for such services, if necessary, by legal action. Certainly, the person who avails himself of ‘hospital facilities’ expects that the hospital will attempt to cure him, not that its nurses or other employees will act on their own responsibility.” ... In light of this modern reality, the overwhelming majority of jurisdictions employed ostensible or apparent agency to impose liability on hospitals for the negligence of independent contractor physicians.
Mejia v. Community Hosp. of San Bernardino,
“Modern hospitals have spent billions of dollars on marketing to nurture the image that they are full-care modern health facilities. Billboards, television commercials and newspaper advertisements tell the public to look to its local hospital for every manner of care, from the critical surgery and life-support required by a major accident to the minor tissue repairs resulting from a friendly game of softball. These efforts have helped bring the hospitals vastly increased revenue, a new role in daily health care and, ironically, a heightened exposure to lawsuits[.]”
Glover v. St. Mary’s Hosp.,
In order to set out a specific test for finding liability based upon apparent agency in a hospital/physieian context, we consider the tests that have been adopted in other jurisdictions.
Although the cases discussing ostensible agency use various linguistic formulation to describe the elements of the doctrine, in essence, they require the same two elements: (1) conduct by the hospital that would cause a reasonable person to believe that the physician was an agent of the hospital, and (2) reliance on that apparent agency relationship by the plaintiff.
[f]or a hospital to be held liable under an apparent agency theory, a plaintiff must establish that: “‘(1) the hospital, or its agent, acted in a manner that would lead a reasonable person to conclude that the individual who was alleged to be negligent was an employee or agent of the hospital; (2) where the acts of the agent create the appearance of authority, the plaintiff must also prove that the hospital had knowledge of and acquiesced in them; and (3) the plaintiff acted in reliance upon the conduct of the hospital or its agent, consistent with ordinary care and prudence.’ ”
Scardina v. Alexian Brothers Med. Ctr.,
a plaintiff must show that (1) the hospital held itself out to the public by offering to provide services; (2) the plaintiff looked to the hospital, rather than the individual physician, for care; and (3) a person in similar circumstances reasonably would have believed that the physician who treated him or her was a hospital employee.
Osborne v. Adams,
Using the foregoing authority as guidance, we now hold that for a hospital to be held liable for a physician’s negligence under an apparent agency theory, a plaintiff must establish that: (1) the hospital either committed an act that would cause a reasonable person to believe that the physician in
2. Hospital’s Actions or Inactions. The first element of our test requires evidence that the hospital either committed an act that would cause a reasonable person to believe that the physician in question was an agent of the hospital, or, by failing to take an action, created a circumstance that would allow a reasonable person to hold such a belief. This portion of the test focuses on the acts of the hospital and is generally satisfied when “the hospital ‘holds itself out’ to the public as a provider of care.” Mejia,
Turning to the cases before us, the circuit courts in both cases relied on the disclaimers signed by Ms. Pritt & Ms. Bur-less in granting summary judgment in favor of WVUH. In addition, the circuit court considering Ms. Pritt’s case summarily concluded that WVUH had not “held the physicians
The disclaimer that WVUH required both Ms. Pritt and Ms. Burless to sign stated: “I understand that the faculty physicians and resident physicians who provide treatment in the hospital are not employees of the hospital.” WVUH contends that this “disclaimer” was sufficient to unequivocally inform Ms. Pritt and Ms. Burless that the physicians treating them were not employees of the hospital. We disagree.
We do not find the disclaimer language used by WVUH, which indicated that “faculty physicians and resident physicians who provide treatment in the hospital” are independent contractors, was sufficient to support a grant of summary judgment in their favor. The WVUH disclaimer provision presupposes that all patients can distinguish between “faculty physicians,” “resident physicians” and any other type of physician having privileges at the hospital. In other words, for this disclaimer to be meaningful, a patient would literally have to inquire into the employment status of everyone treating him or her. Obviously, “[i]t would be absurd to require ... a patient ... to inquire of each person who treated him whether he is an employee of the hospital or an independent contractor.” Capan v. Divine Providence Hosp.,
Consequently, it was improper for the circuit court to grant summary judgment in favor of WVUH. Ms. Burless and Ms. Pritt have established a genuine question of material fact as to whether WVUH has either committed an act that would cause a reasonable person to believe that the physician in question was an agent of the hospital, or, by failing to take an action, created a eircum-stance that would allow a reasonable person to hold such a belief.
3. Reliance. The reliance prong of the apparent agency test is a subjective molehill. “Reliance ... is established when the plaintiff ‘looks to’ the hospital for services, rather than to an individual physician.” Mejia,
Mrs. Pritt and Ms. Burless provided evidence indicating that they believed that the physicians treating them were employees of WVUH.
In the deposition testimony of Ms. Burless she stated her belief that the people treating her at the hospital were employees, as follows: “Q. Did anyone do anything to make you believe that they were employees of WVU Hospital? A. They were all wearing their coats and name tags and in the building, so, you know, you know they’re — they work there, they’re employees.” In the affidavit submitted by Ms. Pritt in opposition to WVUH’s motion for summary judgment, the following was stated:
*778 2. At the West Virginia University Hospitals, I was assigned doctors who treated me and consulted me through my prenatal care, surgery and delivery of my son Adam.
3. Throughout all of my treatment and consultations, I believed that the doctors and nurses who treated me and spoke to me were employees of the West Virginia University Hospitals.
Ms. Burless and Ms. Pritt have also established a genuine question of material fact on the issue of their reliance on the apparent agency relationship between WVUH and their treating physicians. Consequently, on the issue of apparent agency, it is clear that summary judgment should not have been granted in favor of WVUH.
IV.
CONCLUSION
For the reasons explained above, we find that the circuit courts correctly granted summary judgment on this issue of actual agency, however they erred in granting summary judgment to WVUH on the issue of apparent agency. Accordingly, the orders of the circuit courts are affirmed in part, reversed in part, and this case is remanded for further proceedings consistent with this opinion.
Affirmed in Part, Reversed in Part and Remanded.
.An APGAR Score is a newborn's first evaluation and serves as a predictive indicator of any potential problems. The infant is examined at one and five minutes after birth and ranked on a scale of zero to two on five characteristics: 1) skin color; 2) heart rate; 3) response to stimuli of inserting a catheter in the nose; 4) muscle tone; and 5) respiratory effort. Thus, the maximum score is 10 with most healthy newborns scoring an eight or nine. The five APGAR factors can be mnemonically summarized as Appearance, R-ulse, G-rimace, A-ctivity, R-espiration. Hines v. Secretary of the Dep’t of Health and Hum. Serv.,
. Ms. Burless’ action against the BOT has been stayed pending this appeal.
. Ms. Burless asserted other theories of apparent agency that we find are without merit and, therefore, do not consider in this opinion.
. WVUH states, and Ms. Pritt does not dispute, that Ms. Pritt's case against the BOT remains pending in the circuit court.
. Ms. Pritt asserted other theories of apparent agency that we find are without merit and, therefore, do not consider in this opinion.
. Ms. Burless and Ms. Pritt refer to this element of their claim as "ostensible agency” instead of "apparent agency.” The two terms are commonly used interchangeably. See Baptist Mem’l Hosp. Syst. v. Sampson,
. See also Williams v. St. Claire Med. Ctr.,
. See Edlis, Inc. v. Miller,
. In recognizing an apparent agency theory, many courts have relied upon the Restatement (Second) of Agency § 267, the Restatement (Second) of Torts § 429, or both. See generally Mejia v. Community Hosp. of San Bernardino,
.The Scardina court went on to explain that "[(liability under apparent agency, however, will not attach against a hospital where the patient knows, or reasonably should have known, that the treating physician was an independent contractor.”
. See, e.g., Vanaman v. Milford Mem’l Hosp. Inc.,
. Through recent amendments to the Medical Professional Liability Act, the Legislature has attempted to limit the application of the apparent agency doctrine in the hospital/physician, context to situations where a physician does not have medical malpractice coverage of at least one million dollars. See W. Va.Code § 55-7B-9(g) (2003) (Supp.2003) ("A health care provider may not be held vicariously liable for the acts of a nonemployee pursuant to a theory of ostensible agency unless the alleged agent does not maintain professional liability insurance covering the medical injury which is the subject of the action in the aggregate amount of at least one million dollars.”). This statute was enacted after the two causes of action at issue in this case accrued. Therefore, the statute has no application to our resolution of the instant claims.
. Of course, "we do not hold that the existence of an [unambiguous] independent contractor disclaimer ... is always dispositive on the issue[.]” James by James v. Ingalls Mem’l Hosp.,
. The disclaimer is unlike the one we recently approved of in Hicks v. Ghaphery:
The undersigned recognizes all doctors of medicine furnishing services to the patient, including radiologists, pathologists, anesthesiologists, radiation oncologists, and the like are independent contractors and are not employees or agents of the hospital.
Concurrence Opinion
concurring, in part, and dissenting, in part:
I agree with the majority opinion that the circuit court properly granted summary judgment on the issue of actual agency. I disagree, however, with the majority opinion’s finding that the circuit court erred in granting summary judgment on the issue of apparent agency.
I believe the record clearly shows that there was no apparent agency. First, Ms. Burless and Ms. Pritt signed an unambiguous disclaimer that stated: “I understand that the faculty physicians and resident physicians who provide treatment in the hospital are not employees of the hospital.” The majority opinion, in discounting this disclaimer, reasons that “[t]he WVUH disclaimer provision presupposes that all patients can distinguish between ‘faculty physicians,’ ‘resident physicians’ and any other type of physician having privileges at the hospital.” This reasoning baffles me. If both faculty physicians mid resident physicians are non-employees, why is it necessary to distinguish between them? Second, the evidence demonstrates that neither Ms. Burless nor Ms. Pritt relied on any representation by the hospital that their physicians’ status was that of agent. Finally, the evidence shows that Ms. Burless chose her own physician, and Ms. Pritt could have rejected the hospital’s choice and chosen another physician. For these reasons, I would have affirmed the circuit court’s grant of summary judgment on behalf of the hospital on the issue of apparent agency.
Accordingly, I concur to the majority opinion insofar as it affirms the circuit court’s ruling that no actual agency exists. I dissent to the opinion insofar as it reverses the circuit court’s ruling on the issue of apparent agency.
