Mendez v. United States
Decision Date | 09 May 2017 |
Docket Number | CIVIL ACTION NO. 14-7778 |
Parties | MARY MENDEZ, et al., Plaintiffs, v. UNITED STATES OF AMERICA, et al., Defendants. |
Court | U.S. District Court — District of New Jersey |
HONORABLE NOEL L. HILLMAN
APPEARANCES:
LOREN FINESMITH, ESQ.
191 Presidential Blvd., No. 416
P.O. Box 443
Bala Cynwyd, Pennsylvania 19004
Counsel for Plaintiffs
WILLIAM FITZPATRICK, ACTING U.S. ATTORNEY
By: Jordan M. Anger, A.U.S.A.
970 Broad Street, Suite 700
Newark, New Jersey 07102
Counsel for Defendant United States of America
PARKER MCCAY PA
By: Jarad L. Silverstein, Esq.
Carolyn R. Sleeper, Esq.
9000 Midlantic Drive, Suite 300
Mount Laurel, New Jersey 08054
Counsel for all other Defendants
This is a medical malpractice suit. Plaintiff Mary Mendez asserts that the negligence of the various medical professionals who treated her during her pregnancy caused the death of her baby during, or shortly after, the baby's birth.
One of those medical professionals is Dr. Eric Chang, who is employed by CAMcare Health Corporation ("CAMcare"). CAMcare is a federally qualified health center ("FHQC"), and the United States has been substituted for Dr. Chang pursuant to the provisions of the Federal Tort Claims Act ("FTCA"), 28 U.S.C. §§ 1346, 2671-2680.
The United States presently moves to dismiss pursuant to Fed. R. Civ. P. 12(b)(1) for lack of subject matter jurisdiction, or alternatively, for partial summary judgment pursuant to Fed. R. Civ. P. 56. At issue is whether the New Jersey Charitable Immunities Act, N.J.S.A. 2A:53A-7 et seq., applies to the claims against Dr. Chang; and if so, whether the NJCIA's absolute immunity provision, or the damages cap provision, applies.
If the absolute immunity provision applies, this Court lacks subject matter jurisdiction by operation of the United States' limited waiver of sovereign immunity in the FTCA. See 28 U.S.C. § 2674. If the damages cap applies, the United States is entitled to summary judgment limiting its liability to $250,000. If the NJCIA does not apply at all, as Plaintiff contends, then the United States' Motion should be denied in its entirety.
For the reasons stated herein, the Court holds that the NJCIA's damages cap provision applies. Accordingly, the United States' motion to dismiss for lack of subject matter jurisdiction will be denied, and the motion for partial summary judgment will be granted.
Four other opinions have been written in this case. See Mendez v. United States, 2017 U.S. Dist. LEXIS 16153 (D.N.J. Feb. 3, 2017); Mendez v. United States, 2016 U.S. Dist. LEXIS 168854 (D.N.J. Dec. 7, 2016); Mendez v. United States, 2015 U.S. Dist. LEXIS 102381 (D.N.J. Aug. 5, 2015); Mendez v. Chang, 2013 U.S. Dist. LEXIS 152131 (D.N.J. Oct. 23, 2013). The Court recites only the facts directly relevant to the instant motion.
CAMcare is classified as a public charity under the Internal Revenue Code. (Plaintiff's Response to United States' Statement of Material Facts Not in Dispute ("PSUF") ¶ 1) It provides "primary health care" services to "underserved families" through its operation of eight "health centers" located in Camden and Gloucester Counties. (PSUF ¶¶ 1-2)
CAMcare has no inpatient facilities and provides "no trauma care, not even suturing." (PSUF ¶ 1) However, the services CAMcare does provide-- "including primary care (internal medicine, pediatrics, obstetrical, gynecological, prenatal and perinatal services, and podiatry), preventive care (familyplanning, well-child services, dental services, and nutrition), [and] related support and enabling health services"-- are available 24 hours a day, 7 days a week. (PSUF ¶ 17-18)
CAMcare's Certificate of Incorporation states that CAMcare's corporate purposes are:
(PSUF ¶ 5) The statement of corporate purpose in CAMcare's Bylaws is substantially similar. (PSUF ¶ 12)
CAMcare's Board of Trustees is "an all-volunteer Board comprised of community members." (PSUF ¶ 15)
"As required of FQHCs by the federal government, CAMcare uses a sliding discount policy to determine appropriate patient discounts on the basis of family size and ability to pay according to federal poverty guidelines." (PSUF ¶ 9) During therelevant time period, "approximately 84.5% of CAMcare's patients were Medicaid recipients." (PSUF ¶ 8)1
During the relevant time period, CAMcare's total revenue was $19,885,237.00 (PSUF ¶ 30) The vast majority of the total revenue came from two sources: (1) patient revenue (i.e., Medicaid, Medicare, private insurance and self-pay); and (2) public (i.e., federal, state and local) grants. (PSUF ¶ 31-33, 37)
If CAMcare received any private grant money during the relevant time period, it was a "very small" fraction of CAMcare's total revenue. (PSUF ¶ 5)2
A motion to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(1) challenges the existence of a federal court's subject matter jurisdiction. Facial attacks contest the sufficiency of the pleadings, and in reviewing such attacks, theCourt accepts the allegations as true. Common Cause of Pa. v. Pennsylvania, 558 F.3d 249, 257 (3d Cir.), cert. denied, 558 U.S. 1091 (2009). Factual attacks, on the other hand, require the Court to weigh the evidence at its discretion, meaning that the allegations in the complaint have no presumptive truthfulness. See Mortensen v. First Fed. Sav. & Loan Ass'n, 549 F.2d 884, 891 (3d Cir. 1977).
The United States' Motion, as it pertains to the NJCIA absolute immunity issue, is a factual challenge.
The Court incorporates herein by reference the summary judgment standard set forth in the previous summary judgment opinion in this case. Mendez v. United States, 2017 U.S. Dist. LEXIS 16153 at *3-5 (D.N.J. Feb. 3, 2017).
It is undisputed that Dr. Chang is a salaried employee of CAMcare, as opposed to a volunteer doctor providing pro bono services. Plaintiffs argue that this fact precludes the application of the FTCA's limited waiver provision, which in turn would preclude the application of either the absolute immunity provision or the damage cap provision the NJCIA.
Chief Judge Simandle and Judge Kugler, in separate cases, have both rejected this argument as it specifically applies to employees of CAMcare, see Dupont v. United States, 197 F. Supp. 3d 678, 683-686 (D.N.J. 2016) (Simandle, C.J.); Young v. United States, 152 F. Supp. 3d 337, 347-48 (D.N.J. 2015)(Kugler, D.J.), and another judge has rejected this argument as applied to a similar case. See Gremminger v. United States, 2017 U.S. Dist. LEXIS 46390 at *14-16 (D.N.J. 2017)(Wolfson, D.J.).
As Gremminger, Dupont, and Young comprehensively explain, Plaintiffs' attempt to distinguish Lomando v. United States, 667 F.3d 363 (3d Cir. 2011) -- which held that, under the FTCA, employees of a federally supported health center could assert the NJCIA as a defense to a medical malpractice action -- is unpersuasive. The fact that the health center at issue in Lomando provided free services through volunteer physicians was not integral to the holding.
The Court holds that the United States may assert the NJCIA as a defense to the claims in this suit.
Section 7 of the NJCIA, "Immunity from liability for negligence," provides, in relevant part:
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