Opinion ID: 312233
Heading Depth: 1
Heading Rank: 5

Heading: gratuitous nursing services

Text: 30 (A) CHOICE OF LAW 31 Under the Federal Tort Claims Act the United States is liable to the claimant in accordance with the law of the place where the [negligent] act or omission occurred. 28 U.S.C. Sec. 1346(b). This statute has been construed to required that the whole law of the state including its choice of law rules be applied in determining the Government's negligence. Richards v. United States, 369 U.S. 1, 82 S.Ct. 585, 7 L.Ed.2d 492 (1962). In applying New York's local law to determine the Government's liability for gratuitous nursing services rendered Tyminski by his wife, the District Court concluded that New York would deny plaintiff recovery for the value of these services. See Coyne v. Campbell, 11 N.Y.2d 372, 230 N.Y.S. 2d 1, 183 N.E.2d 891 (1962); Drinkwater v. Dinsmore, 80 N.Y. 390 (1880). We have concluded, however, that in applying New York's choice of law rules New York would look to New Jersey to determine recovery for the value of gratuitous nursing services and that New Jersey would allow recovery. 32 In Babcock v. Jackson, 12 N.Y.2d 473, 240 N.Y.S.2d 743, 191 N.E.2d 279 (1963) New York rejected the inexorable choice of law rule in which substantive rights and liabilities arising out of a tortious occurrence are determined by the law of the place of the tort. The court in Babcock applied a center of gravity or grouping of contacts doctrine as a method of giving controlling effect to the law of the jurisdiction which, because of its relationship or contact with the occurrence or the parties, has the greatest concern with the specific issue in the litigation. Id. 12 N.Y. 2d at 481, 240 N.Y.S.2d at 749, 191 N. E.2d at 283. Later New York cases have focused on the governmental interests of the states which have a relationship to the particular issue arising out of the tortious conduct. See Tooker v. Lopez, 24 N.Y.2d 569, 301 N.Y.S.2d 519, 249 N.E.2d 394 (1969); Miller v. Miller, 22 N.Y.2d 12, 290 N.Y.S.2d 734, 237 N. E.2d 877 (1968). Recently, however, the court has expressed the desire to formulate rules of general applicability reflecting the underlying values and policies which determine the law to be applied to a particular issue. In Neumeier v. Kuehner, 31 N.Y.2d 121, 335 N.Y.S.2d 64, 286 N.E.2d 454 (1972) the court states: 33 The single all-encompassing rule which called, inexorably, for selection of the law of the place of injury was discarded, and wisely, because it was too broad to prove satisfactory in application. There is, however, no reason why choice-of-law rules, more narrow than those previously devised, should not be successfully developed, in order to assure a greater degree of predictability and uniformity, on the basis of our present knowledge and experience. (See, e. g., Cavers, The Choice of Law Process, 121-122; Reese, Chief Judge Fuld and Choice of Law, 71 Col.L.Rev. 548, 555, 561-562; Reese, Choice of Law: Rules or Approach, 57 Corn.L.Rev. 315, 321 et seq.; Rosenberg, Comments on Reich v. Purcell, 15 U.C.L.A.L.Rev. 641, 642, 646-647.) The time has come, I wrote in Tooker (24 N.Y.2d, at p. 584, 301 N.Y.S.2d at p. 532, 249 N.E.2d at p. 403), to endeavor to minimize what some have characterized as an ad hoc case-by-case approach by laying down guidelines, as well as we can for the solution of guest-host conflicts problems. Babcock and its progeny enable us to formulate a set of basic principles that may be profitably utilized, for they have helped us uncover the underlying values and policies which are operative in this area of the law. To quote again from the concurring opinion in Tooker (p. 584, 301 N.Y.S.2d p. 532, 249 N.E.2d p. 408), Now that these values and policies have been revealed, we may proceed to the next stage in the evolution of the law-the formulation of a few rules of general applicability, promising a fair level of predictability. 34 Id. 31 N.Y.2d at 127-128, 335 N.Y.S.2d at 69, 286 N.E.2d at 457. 35 A general rule applicable to the measure of damages was set out by the New York Court of Appeals in James v. Powell, 19 N.Y.2d 249, 279 N. Y.S.2d 10, 225 N.E.2d 741 (1967). In James the court stated: 36 Although it is clear that the measurement of compensatory damages is determined by the same law under which the cause of action arises, [citations omitted] this is not necessarily true with regard to exemplary damages. An award of compensatory damages depends upon the existence of wrongdoing-in this case, an issue for resolution under the lex situs of the property alleged to have been fraudulently conveyed. An award of punitive damages, on the other hand, depends upon the object or purpose of the wrongdoing and on this issue we should look to the law of the jurisdiction with the strongest interest in the resolution of the particular issue presented. 37 Id. 19 N.Y.2d at 259, 279 N.Y.S.2d at 17-18, 225 N.E.2d at 746-747. New York does not view recovery for the value of nursing services gratuitously rendered as compensatory damages. This seems clear from Coyne v. Campbell, 11 N.Y.2d supra at 376, 230 N.Y.S.2d supra at 4, 183 N.E.2d supra at 893 where the court states that [i]t would hardly be fair in a negligence action, where damages are compensatory and not punitive, to change the Drinkwater [v. Dinsmore, supra] rule of long standing in the fact of the Legislature's refusal to do so, and to punish a defendant by requiring him to pay plaintiff for a friend's generosity. On the other hand, recovery for the value of nursing services rendered gratuitously does not fit neatly the classification punitive damages. It cannot be said that the physicians in this case had any object or purpose to their wrongdoing. Nevertheless, it seems clear that New York would apply a governmental interest approach to determine recoverability even for compensatory damages when there exists no conflict between states with an interest in the issue of damages concerning whether a cause of action exists resulting from the defendant's conduct. This conclusion follows from the use by New York of a governmental interest approach to determine what state's law applies in considering whether the plaintiff has made out a cause of action. See Long v. Pan Amer. World Airways, Inc., 16 N.Y.2d 337, 266 N.Y.S.2d 513, 213 N.E.2d 796 (1965); Restatement, Second, Conflict of Laws Sec. 171 (1971). 6 38 A rule of recovery for damages reflecting the governmental interest approach was applied in Thomas v. United Air Lines, Inc., 24 N.Y.2d 714, 301 N.Y. S.2d 973, 249 N.E.2d 755 (1969), cert. denied, 396 U.S. 991, 90 S.Ct. 484, 24 L. Ed.2d 453 (1969). Thomas involved the issue whether the Illinois $30,000 limitation on wrongful death actions should apply to a suit by passengers of an airplane which crashed in th navigable waters of Illinois. The passengers were residents of New Jersey, Connecticut and Iowa. Having decided that federal maritime law did not preclude decision by a state court, the court rejected application of Illinois' limitation on damages for wrongful death. The court then quoted from Manos v. Trans World Airlines, 295 F.Supp. 1170, 1173 (N.D.Ill.1969) as follows: The predominant interests to be served on the issue of damages are those of the states containing the people or estates which will receive the recoverable damages, if any, for their injuries or their decedent's death. The Manos court was a federal court sitting in Illinois and applying Illinois' choice of law principles. Thomas applied this reasoning to reject application of Illinois' limitation on recovery for wrongful death. 39 Tyminski was a resident of New Jersey throughout the time the nursing care was rendered to him by his wife and until his death in 1969. Under the reasoning applied in Thomas New Jersey law would determine the measure of damages for injuries the liability for which New York would grant recovery when there exists no object of wrongdoing New York would have a particular interest in preventing. See also Cumming v. United Air Lines, 71 Misc.2d 1024, 338 N.Y.S.2d 20, 23 (Sup.Ct.N.Y. 1972); In re Estate of Caccamo, 71 Misc.2d 391, 336 N.Y.S.2d 77, 81 (Surrogate's Ct. Kings County 1972). 40 Finally, the Government contends that in looking to New Jersey law to determine recovery for nursing services gratuitously rendered New York would look to New Jersey's choice of law rules and that in applying New Jersey's choice of law rules New Jersey would look to New York as the place where the tort occurred to determine the measure of damages. The concept of looking to the whole law of another state including its choice of law rule is referred to as renvoi. See In re Schneider's Estate, 198 Misc. 1017, 96 N.Y.S.2d 652, aff'd on rearg. 198 Misc. 1017, 100 N.Y.S.2d 371 (Surrogate's Ct. N.Y.County 1950). Renvoi has often been thought useful in providing flexibility to choice of law determinations. See Griswold, Renvoi Revisited, 51 Harv.L.Rev. 1165 (1938). The concept has had little application, however, beyond determining interests in land and in determining the validity of a decree of divorce. See N. Reese and M. Rosenberg, Conflict of Laws Cases and Materials 505 (1971). But see University of Chicago v. Dater, 277 Mich. 658, 270 N.W. 175 (1936). With the exception of matters involving land and divorce Restatement, Conflict of Laws Sec. 7 rejected the reference by the forum state to the choice of law rules of the referent state. Restatement, Second, Conflict of Laws Sec. 8 takes a broader view of the use of renvoi. 41 We need not, however, consider the circumstances under which New York in referring to New Jersey law to decide the issue before us would apply the choice of law rules of New Jersey or simply New Jersey's local law. New Jersey applies a governmental interest analysis in determining choice of law issues. See Melk v. Sarahson, 49 N.J. 226, 229 A.2d 625 (1967). Thus, New Jersey, in applying its choice of laws rule to the issue before us, would reach the same result which we have determined New York would reach in applying its choice of law rule-that is, that New Jersey law would apply. This can only refer to New Jersey's local law. And even were we to find that New Jersey would apply New York law, New Jersey in turn would apply New York's choice of law rule. See Pfau v. Trent Aluminum Co., 55 N.J. 511, 263 A.2d 129 (1970). Again, we would be left with applying New Jersey's local law in order to remain faithful to the governmental interests involved in the issue before us. 42 (B) RECOVERY FOR NURSING SERVICES 43 New Jersey allows for the recovery of the reasonable value of medical expenses necessitated by a defendant's tortious conduct. See Coll v. Sherry, 29 N.J. 166, 148 A.2d 481, 485 (1959); Work v. Philadelphia Supply Co., 95 N. J.L. 193, 196, 112 A. 185 (E. & A. 1920). New Jersey's highest court, however, has never decided whether recovery is allowed for the reasonable value of medical expenses necessitated by the tortfeasor's action but not incurred by the injured person because the services have been rendered gratuitously by the injured person's spouse. In resolving this issue we must apply the rule which the state's highest court would apply were it faced with the question. Cf. Feeley v. United States, 337 F.2d 924 (3rd Cir. 1964). 44 Tort law seeks to compensate a person for injuries caused by defendant's breach of duty. Feeley v. United States, 337 F.2d supra at 926; 2 Harper and James, The Law of Torts Sec. 25.1 at p. 1299 (1956). Despite this rationale most American jurisdictions do not permit the defendant in an action for negligence to establish that the plaintiff did not actually sustain the amount of injury alleged, if diminution resulted from the conduct of a third person. Note, Unreason in the Law of Damages: The Collateral Source Rule, 77 Harv. 741 (1964). See also 2 Harper and James, The Law of Torts Sec. 25.22 at p. 152 (Supp. 1968). Application by courts of the collateral source rule has been criticized for the failure to articulate the reasons underpinning application of the rule in any given case. The caution expressed in Helfend v. Southern California Rapid Transit District, 2 Cal.3d 1, 6 n. 3, 84 Cal.Rptr. 173, 175 n. 3, 465 P.2d 61, 63 n. 3 (1970) seems most appropriate: There are many sorts of collateral sources and a great variety of contexts in which the 'rule' might be applied. We expressly do not consider or determine the appropriateness of the rule's application in the myriad of possible situations which we have not discussed or which are not presented by the facts in this case. See also Feeley v. United States, 337 F.2d supra at 927-928. With this view in mind we proceed to determine the applicability of the rule to the issue before us as the rule has been formulated in New Jersey. 45 The collateral source rule is clearly recognized in New Jersey and has been given an expansive application by the courts of that State. In Long v. Landy, 35 N.J. 44, 171 A.2d 1 (1961) the administrator of the estate of the plaintiff's husband was the third-party defendant in an action brought by the widow for injuries arising out of an automobile collision. The administrator sought to reduce the widow's recovery against her husband's estate by the amount of money received by the widow as a result of health insurance coverage, premiums for which had been paid by the husband, accident insurance coverage, stocks that devolved on the widow and other valuables received by the widow as a result of her husband's death. In refusing to allow reduction of plaintiff's recovery the court stated: 46 The administrator admits that ordinarily a tort-feasor may not set up in mitigation of damages payments made to injured persons from collateral sources. Cornish v. North Jersey St. Ry. Co., 73 N.J.L. 273, 62 A. 1004 (Sup.Ct.1906); Skillen v. Eagle Motor Co., 107 N.J.L. 211, 152 A. 854 (Sup.Ct.1930); Rusk v. Jeffries, 110 N.J.L. 307, 164 A. 313 (E. & A. 1932). He seeks, however, to distinguish the case sub judice from the general rule, by reason of the fact that the premiums for the policies under which the payments were here made to plaintiff were paid by defendant. There is no direct proof of the source of payments of these premiums. In any event, we see no reason to deviate from the general rule insofar as the payments for medical and hospital expenses are concerned merely because the husband paid the premiums. This does not affect the common law rule that a tortfeasor may not benefit by payments to the injured party from collateral sources. Plaintiff was the direct contractual beneficiary of these policies which vested her with a property right. Cf. Metropolitan Life Insurance Co. v. Dinzik, 141 N.J.Eq. 336, 57 A.2d 247 (Ch.1948). Furthermore, the payment of the death benefits arising upon the husband's decease, the vesting of the jointly owned stock in plaintiff upon the death of the husband, and the inheritance through the estate of the husband, cannot be considered compensation for the injuries inflicted upon plaintiff through the wrongful act of her husband. The contractual right is separate and distinct from any right she may have to recovery for the quantum of damages sustained by her from the independent tortious act of her husband. The two should not be confused. 47 Id. 35 N.J. at 55-56, 171 A.2d at 7-8. Dubil v. LaBate, 52 N.J. 255, 245 A.2d 177 (1968) presented the question whether the remarriage of a surviving spouse may be utilized by a defendant in a wrongful death action to mitigate damages. The measure of damages under New Jersey's wrongful death statute, N.J.S. 2A:31-1 et seq. provided for the deprivation of a reasonable expectation of a pecuniary advantage which would have resulted by a continuance of the life of the deceased. In holding that remarriage of a surviving spouse would not reduce the recovery provided by the statute the court stated: 48 That the receipt of such benefits should not reduce the award long has been recognized in the doctrine that a tortfeasor may not show in mitigation of damages that the plaintiff has received pecuniary advantages from a collateral source. Patusco v. Prince Macaroni, Inc., 50 N.J. 365, 368, 235 A.2d 465 (1967) (holding that a wife may recover medical expenses from a tort-feasor despite the fact that her husband, and not she, is responsible for their payment); Long v. Landy, 35 N.J. 44, 55-56, 171 A.2d 1 (1961) (holding that a wife's recovery from her husband's estate for injuries negligently inflicted upon her by the husband is not reduced by inheritance from the husband and payments made to her under his insurance policies); Muradian v. Paganessi, 3 N.J.Misc. 320, 128 A. 158 (Sup.Ct.1925) (holding that the receipt by plaintiff of insurance on the life of the decedent may not be shown in a wrongful death action to reduce plaintiff's recovery); Hexamer v. Public Service Railway Co., 4 N.J.Misc. 184, 132 A. 310 (Sup. Ct.1926) (holding that a widow's recovery for the death of her husband was not to be diminished by the inheritance she received from him). See also Rusk v. Jeffries, 110 N.J.L. 307, 311, 164 A. 313 (E. & A. 1933); Weber v. Morris and Essex R. R. Co., 36 N.J.L. 213, 215 (Sup.Ct.1873). As we recently said in Patusco, supra 50 N.J. at p. 368, 235 A.2d p. 466: It should not concern the tortfeasor that someone else is obligated to aid his victim because of a duty assumed by contract or imposed by law.    [A] wrongdoer cannot claim the benefit of the rights his victim may have against others by virtue of contract, employment, or other relation. We conclude that when the someone else is a new husband who has assumed, by marital obligation, the duty to support the widow, his contributions are analogous to pecuniary benefits received from insurance, inheritance, employment, or other collateral sources. Just as a widow's receipt of an inheritance from a relative will not decrease the recoverable loss of her deceased husband's potential pecuniary contributions, so her receipt of financial benefits from a new husband-or the possibility thereof-should not be used to reduce her recovery. 49 Id. 52 N.J. at 260-261, 245 A.2d at 179-180. 50 The principle applied in Long and Dubil would be applied in the same manner to services paid for by another regardless of whether a person is under a legal duty to provide payment. In Rusk v. Jeffries, 110 N.J.L. 307, 164 A. 313 (E. & A. 1933) the court affirmed the refusal by the trial court to allow defendant to show that the plaintiff, injured in an automobile accident, was receiving a pension. The court went on to state that the general and more reasonable rule is that the amount so paid, regardless of whether paid pursuant to contract or as a gratuity, cannot operate to reduce the damages recoverable against a tortfeasor. See also Cornish v. New Jersey State Ry. Co., 73 N.J.L. 273 (Sup.Ct. 1906); Weber v. Morris and Essex R. R. Co., 36 N.J.L. 213 (Sup.Ct.1873). Similarly, in Skillen v. Eagle Motor Co., 107 N.J.L. 211, 152 A. 854 (Sup.Ct. 1931) the court held that an injured sister could recover the cost of medical services even though the expenses had been paid for by a brother and sister gratuitously. See also Cowan v. Kaminow, 128 N.J.L. 398, 406, 26 A.2d 258, 262 (E. & A. 1942) (court refused to diminish damages when medical expenses were paid by injured person's daughters). We discern no distinction in these cases between recovery for the value of medical services gratuitously paid for by a relative as opposed to medical services gratuitously rendered by a relative. And it seems certain that New Jersey would not so limit the application of its collateral source rule. 51 The only limitation expressed by New Jersey courts on the collateral source rule was stated in Theobold v. Angelos, 44 N.J. 228, 208 A.2d 129 (1965). In Theobold the Court stated that the law does not frown upon a greater satisfaction [for injuries caused by defendant's tortious conduct] if there is no threat to the public interest or unfair advantage taken of another. Id. 44 N.J. at 239, 208 A.2d at 134. The court reasoned that because of the imprecision involved in knowing whether the injured person has been made whole by a damages award it is not unfair that a tortfeasor be required to provide recovery for injuries caused by him even though expenses were not incurred by the injured person. This reasoning requires the conclusion that New Jersey would allow as a measure of damages that a person injured by tortious conduct recover the value of nursing services gratuitously rendered by a spouse.