Hatcher v. BELLEVUE VOLUNTEER FIRE DEPT.

Decision Date22 June 2001
Docket NumberNo. S-00-197.,S-00-197.
PartiesTheresa S. HATCHER, Appellant, v. BELLEVUE VOLUNTEER FIRE DEPARTMENT, Appellee.
CourtNebraska Supreme Court

Thomas F. Hoarty, Jr., and Scott A. Calkins, of Byam & Hoarty, Omaha, and John K. Green, for appellant.

Tim Engler and Dana M. Van Beek, of Harding, Shultz & Downs, Lincoln, for appellee.

HENDRY, C.J., WRIGHT, CONNOLLY, GERRARD, STEPHAN, McCORMACK, and MILLER-LERMAN, JJ.

STEPHAN, Justice.

Dr. Theresa S. Hatcher brought this civil action for damages against the Bellevue Volunteer Fire Department (BVFD), based upon separate theories of intentional interference with a business relationship and conspiracy. Hatcher appeals from an order of the district court for Sarpy County entering summary judgment in favor of BVFD. She contends that contrary to the holding of the district court, BVFD is not immune from suit under the Political Subdivisions Tort Claims Act, Neb.Rev.Stat. §§ 13-901 to 13-926 (Reissue 1997), and that there is a genuine issue of material fact regarding whether BVFD tortiously interfered with her business relationship with Nebraska Emergency Consultants, P.C. (NEC). We conclude that BVFD is immune from suit under the act and therefore affirm the judgment of the district court.

I. BACKGROUND

Evidence submitted by the parties with respect to the motion for summary judgment discloses the following facts: Dr. Michael Westcott is the sole shareholder of NEC, a professional corporation which provides physician emergency room services to Midlands Community Hospital (Midlands Hospital) in Papillion, Nebraska. Hatcher entered into a written employment agreement with NEC in May 1991 and was employed by that entity as an emergency room physician at Midlands Hospital until the employment agreement was terminated by Westcott on April 15, 1998. Westcott took this action pursuant to a provision in the agreement authorizing termination without cause upon 60 days' prior written notice.

BVFD is a nonprofit corporation, organized and existing under the laws of the State of Nebraska. BVFD provides fire protection and rescue services to residents of the city of Bellevue and to portions of rural Sarpy County. All of the members of BVFD are employed by other entities or are retired. No member is required to respond to rescue calls. The city of Bellevue owns all of the fire equipment and buildings utilized by BVFD, and all of BVFD's operating funds come from the city of Bellevue. There is no written contract between BVFD and the city of Bellevue. Pursuant to its bylaws, BVFD controls the means and manner of its provision of services. BVFD answers approximately 1,600 rescue calls per year and, on 75 to 80 percent of these calls, transports patients to Midlands Hospital. BVFD charges $100 for each rescue call and uses this revenue to fund a "Length of Service Awards Program." This program entitles members who have served as volunteers for 20 years and who have reached the age of 60 to receive payments of $100 per month. Additional payments can be received for years of service exceeding 20 years, with a maximum monthly benefit of $150. BVFD members also receive reimbursement for training expenses but receive no other form of compensation.

From 1993 to 1998, Hatcher served as medical director of BVFD in addition to her duties with NEC. In approximately November 1997, a question arose concerning morphine allegedly missing from the rescue squad supplies of BVFD. Extensive investigations by state and federal authorities determined that no morphine was actually missing, but that BVFD personnel had not followed state and federal regulations in the restocking and resupplying of morphine. Hatcher, in her role as medical director of BVFD, was substantially involved in these investigations. The investigations garnered local publicity in November 1997. In early 1998, Hatcher met with BVFD fire chief Steven Betts regarding the appropriate discipline to be imposed upon three BVFD officers found to be generally responsible for the morphine recordkeeping discrepancies. Hatcher proposed placing letters of discipline in the personnel files of the three officers, and she independently drafted a letter in that regard. In March 1998, the disciplinary letters were given to the three officers at Hatcher's direction. The recipients of the letters were upset at receiving the discipline, and Betts believed that the letters were unnecessary.

On March 6, 1998, Betts notified Hatcher that she was terminated from her position as medical director of BVFD. Dale Tedder and Mike Almsteier, in their capacities as assistant fire chief and rescue chief of BVFD, respectively, also approved the termination. According to Betts, the termination was based at least in part upon the issuance of the disciplinary letters.

Hatcher wrote a letter to the mayor of Bellevue on April 3, 1998, outlining the actions of BVFD with respect to the morphine incident, the disciplinary letters, and the termination of her relationship with BVFD. Hatcher averred that this letter was written in her capacity as former medical director of BVFD and as a member of the Bellevue City Council. Sometime between April 4 and 14, the Bellevue Leader, a local newspaper, obtained a copy of Hatcher's letter to the mayor and contacted both Hatcher and Betts. The newspaper published a story regarding Hatcher's termination in its Wednesday, April 15, edition, which first appeared on the evening of April 14. The article was entitled "Hatcher quits BVFD over morphine discipline spat" and was based upon statements Hatcher made to the newspaper and the contents of her letter to the mayor. The article and Hatcher's letter were generally critical of BVFD. Hatcher averred that on the evening the article was published, she received a telephone call from Betts informing her that he was upset about the article and that it was a "career ending move" for her. A former member of BVFD also averred that Betts had stated the incident was a career-ruining event for Hatcher. Betts testified he did not recall discussing the newspaper article with Hatcher.

Prior to the publication of this article, Westcott had contacted Betts to arrange a meeting for later in the month of April. Westcott requested the meeting because he felt there was some ill will between Midlands Hospital, NEC, and BVFD due to the circumstances surrounding the termination of Hatcher's relationship with BVFD. It was also the customary practice for Midlands Hospital personnel to meet with a new fire chief, and Betts had recently been appointed to that position. On April 15, 1998, the morning the article appeared in the Bellevue Leader, Betts telephoned Westcott and requested that the meeting be held "sooner instead of later." The meeting was then rescheduled for that same day.

The meeting took place in a conference room at Midlands Hospital. Those present included Westcott, Betts, Tedder, and Almsteier. Diana Smalley, the administrator of Midlands Hospital, and Toni Regni, Midlands Hospital's chief nurse, were also in attendance. The individuals present at the meeting testified generally that there was some discussion during the meeting regarding the morphine incident and resulting disciplinary action, with BVFD personnel stating their "side" of these events. Smalley testified that she asked if BVFD was asking that Hatcher be terminated from her position on the Midlands Hospital staff and that Betts responded "absolutely not, that is not our role."

Westcott terminated Hatcher's employment agreement with NEC on the same day as the meeting. Westcott testified that he did not recall anyone at the meeting suggesting that Hatcher be terminated and that none of the information he received from the firefighters played any part in his decision to terminate Hatcher. He testified that he alone made the decision because of his concern about Hatcher's work habits and NEC's reputation.

Hatcher filed this action naming BVFD as the sole defendant. In her operative amended petition, Hatcher alleged that "by and through its Fire Chief, Assistant Fire Chief and Rescue Chief," BVFD tortiously interfered with her business relationship with NEC. In a separate claim for relief, she alleged that BVFD "conspired with its Fire Chief, Assistant Fire Chief and Rescue Chief, and others, to damage [Hatcher] by persuading NEC to terminate [her] employment." BVFD moved to strike the phrase "and others" in the conspiracy allegation or, in the alternative, to make the allegation more definite and certain by identifying the persons with whom it allegedly conspired. The court granted the motion to strike and ordered the phrase "and others" stricken from the amended petition. BVFD then filed an answer to the amended petition, asserting defenses that the petition failed to state a cause of action and that Hatcher's claim was barred by Nebraska's Political Subdivisions Tort Claims Act.

BVFD subsequently filed a motion for summary judgment. After a hearing at which various affidavits and depositions were received in evidence, the district court entered an order on January 25, 2000, granting the motion for summary judgment. The court concluded that there was no material issue of fact with regard to whether BVFD engaged in an "`unjustified intentional act of interference'" and further noted its "concern" that the Political Subdivisions Tort Claims Act barred the suit. The order did not specifically address Hatcher's conspiracy claim.

Hatcher filed this timely appeal which we removed to our docket on our own motion pursuant to our authority to regulate the dockets of the appellate courts. See Neb.Rev.Stat. § 24-1106(3) (Reissue 1995).

II. ASSIGNMENTS OF ERROR

Hatcher assigns, restated, that the district court erred (1) in determining as a matter of law that BVFD did not tortiously interfere with her contractual relationship with NEC, (2) in determining that BVFD is an agent or employee of the city of Bellevue...

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