Valfer v. Evanston Northwestern Healthcare, 2016 IL 119220
No. 119220
Supreme Court of Illinois
May 19, 2016
2016 IL 119220
Illinois Official Reports
Decision Under Review: Appeal from the Appellate Court for the First District; heard in that court on appeal from the Circuit Court of Cook County; the Hon. Brigid Mary McGrath, Judge, presiding.
Judgment: Affirmed.
Counsel on Appeal: Leslie J. Rosen, of Chicago, for appellant.
David E. Dahlquist, Matthew R. Carter, J. Ethan McComb, Christopher J. Letkewicz and Laura B. Greenspan, of Winston & Strawn LLP, of Chicago, for appellee.
David R. Nordwall, of Chicago, for amicus curiae Illinois Trial Lawyers Association.
Zachary M. Bravos and Kathleen M. DiCola, of Bravos & DiCola, of Wheaton, for amicus curiae Association of American Physicians & Surgeons.
Mark D. Deaton and Thaddeus J. Nodzenski, of Naperville, for amicus curiae Illinois Health and Hospital Association.
Justices: JUSTICE THOMAS delivered the judgment of the court, with opinion. Chief Justice Garman and Justices Freeman, Kilbride, Karmeier, Burke, and Theis concurred in the judgment and opinion.
OPINION
¶ 1 Plaintiff, Steven I. Valfer, M.D., brought an action in Cook County circuit court seeking civil damages against defendant, Evanston Northwestern Healthcare, n/k/a NorthShore University HealthSystem (the hospital), based on the revocation of his privileges to practice at the hospital following a peer review conducted pursuant to the
¶ 2 BACKGROUND
¶ 3 Plaintiff is an obstetrician and gynecologist (OB-GYN) who has been licensed to practice medicine in Illinois since 1975. In November 2000 and September 2001, plaintiff was reappointed to the staff at defendant hospital. Relative to his September 2001 reappointment, plaintiff received a letter from the president of the hospital stating that plaintiff‘s reappointment would terminate May 31, 2002.
¶ 4 In February 2002, plaintiff applied for reappointment at the hospital. At that time, Dr. Kenneth Nelson, the division chief of gynecology at the hospital, reviewed one of plaintiff‘s gynecological surgeries and deemed that it did not meet relevant criteria. Specifically, Dr. Nelson learned plaintiff removed a woman‘s ovaries for treatment of menorrhagia—abnormal menstrual bleeding. Because that condition is not a recognized indication for the removal of ovaries, plaintiff‘s treatment raised patient safety concerns and led to a meeting between plaintiff and two other doctors at the hospital—Dr. Nelson and Dr. Richard Silver, who was the chairman of the OB-GYN department at the time.
¶ 6 On June 4, 2002, Dr. Nelson and Dr. Silver once again met with plaintiff, this time to discuss all the unnecessary surgeries. Following their discussion, plaintiff voluntarily agreed to refrain from performing gynecological surgery until the pending issues were resolved. Plaintiff still retained other privileges at the hospital such as the right to admit patients. Also on June 4, 2002, Dr. Silver sent plaintiff a letter informing him that he would not recommend plaintiff for reappointment at the hospital. That same day, Dr. Silver notified the hospital operating room that plaintiff‘s operating privileges were suspended until further notice.
¶ 7 Dr. Silver explained in his letter to plaintiff that his recommendation against reappointment was based on patient safety and specifically that there were “[m]ultiple surgical cases for which approved indications for the intended procedures appear to be lacking.” Dr. Silver also explained that if the executive committee accepted his recommendation against reappointment, plaintiff would be notified in writing.
¶ 8 On July 3, 2002, the hospital‘s executive committee met to discuss plaintiff‘s potential reappointment to the medical staff. The committee determined that it would recommend to the hospital‘s board of directors that plaintiff not be reappointed. On July 9, 2002, the president and chief executive officer (CEO) of the hospital sent plaintiff a certified letter stating that the recommendation to deny plaintiff‘s reappointment had been accepted. The letter set forth the reasons for the decision and explained plaintiff‘s right to request a hearing under the hospital bylaws and plaintiff‘s rights at such a hearing.
¶ 9 In 2004, the hospital held a hearing on the matter before a hearing committee, at which plaintiff was represented by counsel and was allowed to present evidence and examine witnesses. The hearing lasted three days. Plaintiff testified on his own behalf, and Dr. Nelson and Dr. Hansfield testified against plaintiff. Evidence was presented that both of the doctors testifying against plaintiff had offices in close proximity to plaintiff and were competitors of his. On July 21, 2004, the hearing committee upheld the executive committee‘s recommendation against reappointment.
¶ 10 The president and CEO of the hospital notified plaintiff in writing of the hearing committee‘s decision and reasoning and of plaintiff‘s right to appeal to an appellate review committee. In the meantime, plaintiff continued to retain privileges that he had not voluntarily relinquished and was able to continue to admit patients in accordance with the hospital bylaws.1
¶ 12 On March 15, 2007, plaintiff filed his initial lawsuit against the hospital seeking civil damages arising out of the hospital‘s decision not to reappoint him. Thereafter, a lengthy procedural history (largely irrelevant to the issues presented in this appeal) ensued over the next seven years.
¶ 13 In February 2014, the hospital filed a motion for summary judgment seeking to dismiss plaintiff‘s breach of contract count,2 which was the sole remaining claim in the case. In its motion, the hospital argued that it had complied with the applicable bylaws in deciding not to reappoint plaintiff, and therefore it could not be held liable for breach of contract. The hospital further argued that, pursuant to
¶ 14 The trial court first found that there was no genuine issue of material fact about whether plaintiff was reappointed after May 31, 2002. The court determined plaintiff was not reappointed after that date based on a number of facts. There were no documents advising him that he had been reappointed after that date as there had been for his September 2001 appointment. All of the deposition testimony was consistent in showing that he had not been reappointed. And plaintiff himself participated in all of the proceedings and never once challenged the characterization by the hospital of the hearings and investigations as being part of the reappointment process. Plaintiff also took advantage of all of the protections of the bylaws that govern the reappointment process and never invoked the protections available to doctors under the peer review process. Plaintiff also acknowledged on a number of occasions that the proceedings dealt with reappointment. Second, the court found that the immunity set forth in
¶ 15 Plaintiff appealed and made the following arguments before the appellate court: (1) he was “effectively reappointed” on May 31, 2002, because he was allowed to admit patients to the hospital after that date, and therefore a genuine issue of material fact exists as to whether the hospital was required to follow the bylaws applicable to peer review and suspension as
¶ 16 The appellate court affirmed the trial court‘s grant of summary judgment on the basis that the hospital was immune from suit under
¶ 17 Plaintiff filed a petition for leave to appeal with this court, which we allowed.
¶ 18 ANALYSIS
¶ 19 This court conducts de novo review of a summary judgment ruling. Bruns v. City of Centralia, 2014 IL 116998, ¶ 13. Moreover, the construction of a statute presents a question of law, which this court also reviews de novo. Hayashi v. Illinois Department of Financial & Professional Regulation, 2014 IL 116023, ¶ 16.
¶ 20 Summary judgment is proper where the pleadings, affidavits, depositions, admissions, and exhibits on file, when viewed in the light most favorable to the nonmovant, reveal that there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law.
¶ 21 Before this court, plaintiff first argues that the appellate court erred in construing the Licensing Act to mean that in order to satisfy the “wilful and wanton” exception to immunity, plaintiff must plead and prove that physical harm resulted from the hospital‘s actions. According to plaintiff, he has adequately shown “wilful and wanton misconduct” by merely alleging that the hospital did not follow its bylaws relating to the suspension of his privileges. In response, the hospital contends that plaintiff‘s argument starts from the faulty premise that he was “effectively reappointed” after May 31, 2002 (the date his appointment terminated). The hospital contends that there is no record evidence to support plaintiff‘s notion that he was reappointed after that date. Instead the record simply shows that he was allowed to continue on
¶ 22 The parties’ arguments present an issue of statutory construction. When construing a statute, this court‘s primary objective is to ascertain and give effect to the intent of the legislature. Barragan v. Casco Design Corp., 216 Ill. 2d 435, 441 (2005). The best signal of legislative intent is the language employed in the statute, which must be given its plain and ordinary meaning. Gillespie Community Unit School District No. 7 v. Wight & Co., 2014 IL 115330, ¶ 31. Words and phrases should not be considered in isolation, however, and should be viewed in light of other relevant provisions of the statute. Midstate Siding & Window Co. v. Rogers, 204 Ill. 2d 314, 320 (2003). And this court presumes that the legislature did not intend absurdity, inconvenience, or injustice. Citizens Opposing Pollution v. ExxonMobil Coal U.S.A., 2012 IL 111286, ¶ 23. We will also avoid a construction of a statute that renders any portion of it meaningless. Lake County Grading Co. v. Village of Antioch, 2014 IL 115805, ¶ 27. Where the statutory language is clear and unambiguous, it will be given effect without resort to other aids of construction. Bettis v. Marsaglia, 2014 IL 117050, ¶ 13. But if the meaning of an enactment is unclear from the statutory language, the court may look beyond the language used and consider the purpose behind the law and the evils the law was designed to remedy. Id.
¶ 23 Turning to the statutory language at issue, we note that
“§ 10.2. Because the candid and conscientious evaluation of clinical practices is essential to the provision of adequate hospital care, it is the policy of this State to encourage peer review by health care providers. Therefore, no hospital and no individual who is a member, agent, or employee of a hospital, hospital medical staff, hospital administrative staff, or hospital governing board shall be liable for civil damages as a result of the acts, omissions, decisions, or any other conduct, except those involving wilful or wanton misconduct, of a medical utilization committee, medical review committee, patient care audit committee, medical care evaluation committee, quality review committee, credential committee, peer review committee, or any other committee or individual whose purpose, directly or indirectly, is internal quality control or medical study to reduce morbidity or mortality, or for improving patient care within a hospital, or the improving or benefiting of patient care and treatment, whether within a hospital or not, or for the purpose of professional discipline *** *** For the purposes of this Section, ‘wilful and wanton misconduct’ means a course of action that shows actual or deliberate intention to harm or that, if not intentional, shows an utter indifference to or conscious disregard for a person‘s own safety and the safety of others.” (Emphasis added.)
210 ILCS 85/10.2 (West 2012) .
¶ 24 The stated purpose of
¶ 25 Reading
¶ 26 Plaintiff contends that “even though a termination of privileges is intentional, it can be accomplished in conformance with the hospital‘s bylaws [such that] the termination would most likely not be willful and wanton.” But we note that if a physician cannot show a violation of the hospital bylaws, there is no need to reach the statute‘s immunity or the exception to that immunity because the physician could not establish a breach of contract in the first instance. On the other hand, if a physician could satisfy the statute‘s exception to immunity simply by establishing a bylaws violation, the immunity would never apply because, according to plaintiff, the breach itself would establish wilful and wanton misconduct. Plaintiff is thus essentially asking this court to render
¶ 27 That is not to say that we believe that the language employed in the exception is flawless. As both parties acknowledge, “wilful and wanton” is a tort concept that has been incongruously engrafted into a statute that will largely be used to provide immunity for breach of contract claims. This is reinforced by the reality that Illinois law views wilful and wanton misconduct “as an aggravated form of negligence,” i.e., a tort. Krywin v. Chicago Transit Authority, 238 Ill. 2d 215, 235 (2010). A breach of contract is not considered a tort because intent or the willfulness of the breach is not relevant (Morrow v. L.A. Goldschmidt Associates, Inc., 112 Ill. 2d 87, 94 (1986)) and a breach of contract presents solely economic losses that are not normally recoverable in tort actions (In re Chicago Flood Litigation, 176 Ill. 2d 179, 198, 201 (1997)). Thus, because “wilful and wanton” is a tort concept that applies only to reckless or intentionally tortious conduct that causes physical harm to a person or property, it has no application to a nontort claim such as a routine breach of contract action involving a violation of the hospital bylaws.4
¶ 28 In support of his position that physical harm is not required, plaintiff relies upon Ziarko v. Soo Line R.R. Co., 161 Ill. 2d 267 (1994), and a comment in the legislative debate on the 1999 amendment to
¶ 29 Ziarko involved a truck-train collision that resulted in substantial physical injury. Id. at 269. This court was called upon to consider the parameters of the term “willful and wanton conduct” and concluded that the term is “a hybrid between acts considered negligent and behavior found to be intentionally tortious.” Id. at 275. Furthermore, even the quote from Ziarko that plaintiff now relies upon shows the connection between tortious behavior and physical harm and safety:
“Willful and wanton conduct includes that which was performed intentionally. [Citation.] However, unlike intentionally tortious behavior, conduct characterized as willful and wanton may be proven where the acts have been less than intentional—i.e., where there has been ‘a failure, after knowledge of impending danger, to exercise ordinary care to prevent’ the danger, or a ‘failure to discover the danger through *** carelessness when it could have been discovered by the exercise of ordinary care.’ [Citation.]” Id. at 274.
¶ 30 Plaintiff points to a comment on the Senate floor when the 1999 amendment to
¶ 31 Plaintiff argues that the appellate court‘s holding “eviscerates” this court‘s decision in Adkins v. Sarah Bush Lincoln Health Center, 129 Ill. 2d 497 (1989), which involved the immunity in a different statute,
¶ 32 We do not find Adkins controlling under the circumstances of the present case. Here, plaintiff was represented by counsel at all times and was afforded a thorough course of due process hearings and reviews. Plaintiff never once complained that the wrong process was followed until he filed his amended complaint in circuit court. Adkins also involved a different statute,
¶ 33 Plaintiff asserts that the appellate court‘s decision gives hospitals absolute immunity for their staffing decisions and would deprive doctors of access to the courts in breach of contract cases. Amici curiae in support of plaintiff, the Association of American Physicians and Surgeons, the Illinois Trial Lawyers Association, and Dr. Michael Benson, argue in similar fashion that the appellate court‘s decision would open the door to “sham peer review” and would shield intentional discrimination without any remedies for the physicians who suffer from such misconduct. We disagree.
¶ 34 Our decision today should not be interpreted as condoning sham peer review.
¶ 35 First, we note that the statute does not provide absolute immunity from all legal challenges to all decisions made by hospital peer review committees. Other remedies, such as injunctive and declaratory relief, remain available, and this is consistent with the notion expressed in Adkins that a hospital‘s actions are subject to limited judicial review to determine whether the decision was made in compliance with the hospital‘s bylaws. If a physician has a quarrel with his treatment under the bylaws, he can bring a timely claim for injunctive relief to make sure the proper procedures are followed. Also, tort actions that allege physical harm, such as physical harm resulting from intentional infliction of emotional distress, would be subject to the “wilful and wanton misconduct” language of the Licensing Act because physical harm is a part of such claims. Moreover, the Illinois statute cannot be read to take precedence over federal civil rights statutes that might be applicable for certain types of misconduct.
¶ 36 Second, and most importantly, we note that
¶ 37 We realize that the “wilful and wanton misconduct” exception is silent about motive and instead only speaks to whether the decision of the hospital was intentional or not. However, this point does not address whether the general immunity language of the statute is applicable in the first instance, which requires that the purpose of the hospital‘s decision be for quality health care and not some other sham purpose. See
¶ 39 This was clearly the correct result based on this record, and plaintiff makes no effort to put forth a contrary argument before this court. We find that a case cited by plaintiff—Levitin v. Northwest Community Hospital, 64 F. Supp. 3d 1107 (N.D. Ill. 2014)—is instructive and shows that the proper result was reached in this case. In Levitin, the plaintiff alleged a plethora of well-pleaded facts to indicate that the peer review process in that case was not undertaken in reasonable belief that the disciplinary action was in furtherance of quality health care but rather to retaliate against the plaintiff for complaining about another doctor‘s abusive behavior and false complaints. In denying the hospital‘s motion to dismiss, the federal district court in Levitin noted that at this stage in the proceedings, the plaintiff‘s factual allegations were presumed to be true and, if true, would ultimately deprive the hospital of immunity. Id. at 1121. This was so because the plaintiff had alleged plausible grounds “to doubt that [the defendants] acted under the reasonable belief that their actions were taken in the furtherance of quality health care.” Id.5 The court cautioned, however, that the “evidence adduced in discovery and presented on summary judgment or at trial may cast the case in a different light,” such that immunity might be found to be applicable. Id.
¶ 40 Similar to Levitin, the hospital‘s initial motion to dismiss in the present case was denied. This case, however, presents the scenario envisioned in Levitin where the facts adduced on summary judgment cast the case in a different light and establish that there is no genuine issue of material fact as to the purpose of the hospital‘s decision to not reappoint plaintiff.6
¶ 41 Plaintiff next argues that as construed by the appellate court,
¶ 43 We also note that there is no support for plaintiff‘s contention that the Licensing Act denies physicians access to the courts. Again, we have explained that physicians may bring injunctive and declaratory actions to force compliance with hospital bylaws, they may maintain tort actions where physical harm is alleged as part of the wilful and wanton component, and they may maintain other kinds of civil damage actions against a hospital where the hospital‘s acts or decisions can be said to be a sham rather than in furtherance of quality health care.
¶ 44 Our resolution of the above-discussed issues renders it unnecessary for us to address the remaining issues raised by the parties.
¶ 45 CONCLUSION
¶ 46 For the foregoing reasons, we affirm the appellate court‘s decision to affirm the trial court‘s order granting summary judgment in favor of the hospital.
¶ 47 Affirmed.
