Opinion ID: 1773893
Heading Depth: 2
Heading Rank: 5

Heading: Other Related Matters

Text: The record contains evidence that the Foundation reimbursed St. Joseph for residents' (including Villafani's) salaries and benefits while they were on rotation with the Foundation. As an administrative practice, the Foundation made these payments from the revenue it collected from operating the program. The Foundation also paid residents (including Villafani) a housing stipend during their rotation at Brackenridge and provided workers' compensation insurance. While Villafani was on rotation at Brackenridge, the Foundation set Villafani's work schedule and considered him to be its employee, but St. Joseph set Villafani's vacation time and sick leave. In addition, the record contains evidence that:  The Foundation made a slight profit from its involvement in the general surgical residency program, while St. Joseph incurred a significant loss.  Sponsorship of a residency program enhances an institution's stature in the medical community.  Physicians are drawn to a hospital that has residents available to assist with patient care at lower rates, thereby increasing both the hospital's business and its profit margin.  As the sponsoring institution, St. Joseph received federal Medicare payments based on the number of residents in the general surgery residency program. There is no evidence it shared these payments with the Foundation.  Institutions involved in residency training have an opportunity to recruit residents to stay and practice in their communities after they finish their training.  Harshaw, the Director of Surgical Education appointed by the Foundation to oversee the integrated surgical residency program, was also Wolff's attending physician. He assigned Villafani to assist him in providing Wolff's medical care.  Villafani, a third-year resident, was also supervised by fourth and fifth-year residents. Harshaw, the chief resident, and Villafani did not take direction from anyone at St. Joseph regarding any part of Wolff's treatment. No one with St. Joseph participated in Wolff's care in any way. We now consider St. Joseph's arguments with respect to each of the vicarious liability theories asserted by the Wolffs.