Taylor v. United States

• Decision Date: 02 October 1964
• Docket Number: Civ. A. No. 205-63.
• Citation: 233 F. Supp. 1008
• Parties: Ruth A. TAYLOR, individually, as Executrix of Raymond M. Taylor, Deceased, and as Next Friend of Barbara Taylor, an infant, Plaintiff, v. UNITED STATES of America, Defendant.
• Court: U.S. District Court — District of New Jersey

233 F. Supp. 1008

Ruth A. TAYLOR, individually, as Executrix of Raymond M. Taylor, Deceased, and as Next Friend of Barbara Taylor, an infant, Plaintiff, v. UNITED STATES of America, Defendant.

Civ. A. No. 205-63.

United States District Court D. New Jersey.

October 2, 1964.

Platoff, Platoff & Heftler, Union City, N. J., by Irwin Waldman and Joseph S. Lobenthal, Jr., New York City, for plaintiff.

David M. Satz, Jr., U. S. Atty., by Edward J. Turnbach, Asst. U. S. Atty., and Vincent H. Cohen, Department of Justice, for defendant.

WORTENDYKE, District Judge.

The plaintiff invoked the Court's jurisdiction under the Federal Tort Claims Act, 28 U.S.C. § 1346(b). Recovery of damages is sought under the New Jersey Wrongful Death Act, for the death of plaintiff's testator, and under the New Jersey Survivorship Statute for damages sustained by the decedent before his death, charged to have resulted from alleged malpractice by the United States Veterans' Administration Outpatient Clinic in Newark, New Jersey. An additional cause of action by the plaintiff, as guardian ad litem of an infant daughter of the decedent, was dismissed at the pretrial conference.

The gravamen of the action is found in the allegations of the complaint that an agency of the Government violated its duty to diagnose and treat a disease which was not service-connected, and in the development of which the agency was not instrumental.

The Veterans' Administration Out-patient Clinic in Newark, New Jersey is a nonprofit clinic, established by the agency pursuant to 38 U.S.C. § 612(a), to render medical care and treatment to veterans for service-connected injuries.

The ad damnum of the complaint seeks damages in the amount of one million dollars.

The Government contends that the ad damnum should be reduced to $10,000 because no more than that amount may be recovered as a matter of law of the State of New Jersey. It is the contention of the Government, upon its present motion, that under the circumstances alleged in the complaint, the United States, as a private person, would not be liable to the plaintiff under the law of the State of New Jersey, where the cause of action arose, because N.J.S. 2A:53A-7, N.J.S. A., provides that "No nonprofit corporation, society or association organized exclusively for * * * hospital purposes shall, except as is hereinafter set forth, be liable to respond in damages to any person who shall suffer damage from the negligence of any agent or servant of such corporation, society or association, where such person is a beneficiary, to whatever degree, of the works of such nonprofit corporation, society or association; * * *." and N.J.S. 2A:53A-8, N.J.S.A., provides that, notwithstanding the foregoing provision, "any nonprofit corporation, society or association organized exclusively for hospital purposes shall be liable to respond in damages to such beneficiary who shall suffer damage from the negligence of such corporation, society or association or of its agents or servants to an amount not exceeding $10,000.00, together with interest and costs of suit, as the result of any 1 accident and to the extent to which such damage, together with interest and costs of suit, shall exceed the sum of $10,000.00 such nonprofit corporation, society or association organized exclusively for hospital purposes shall not be liable therefor." The Government argues that, unless the $10,000 recovery limitation is applied to a Veterans' Hospital or Clinic, the liability of the United States may be extended beyond the provision of 28 U.S.C. § 1346(b) which permits recovery only to the extent to which it would be available against a private person under the law of New Jersey. This contention poses the question whether the United States, or its agency, the Veterans' Administration, is a "nonprofit corporation, society or association organized exclusively for hospital purposes" as that phrase is used in N.J.S. 2A:53A-8, N.J.S.A.

While the United States of America might be considered a public corporation, it is certainly not a nonprofit corporation organized exclusively for hospital purposes. Neither is the Veterans' Administration. If we are to apply the New Jersey law, in determining whether a hospital is liable in damages for negligence to a beneficiary, section 7 of the New Jersey Statute expressly prohibits the recovery of such damages by the beneficiary. The following section of the same Statute, N.J.S. 2A:53A-8, N.J.S.A., authorizes the recovery of such damages from a nonprofit corporation organized exclusively for hospital purposes, but limits the quantum thereof.

"The language of the Federal Tort Claims Act makes the United States liable `respecting the provisions of this title relating to tort claims, in the same manner and to the same extent as a private individual under like circumstances'. 28 U.S.C. § 2674. This statute is another example of the progressive relaxation by legislative enactments of the rigor of the immunity rule. Through such statutes that changed the law, organized government expresses the social purposes that motivate its legislation. Of course, these modifications are entitled to a construction that will accomplish their aim, that is, one that will carry out the...