Court Opinion

ID: 9648239
Source: CourtListenerOpinion
Date Created: 2023-08-23 14:11:06.356906+00
Date Added: 2024-06-11T18:11:57.767332
License: Public Domain

Robert L. Brown, Justice, dissenting. American Health Care moved to dismiss the bad faith claim on the basis that such claims cannot be brought against HMO’s. The trial court denied the motion, and the O’Briens were allowed to present their bad faith claim at trial. After proof of bad faith was presented, the trial court granted American Health Care’s motion for a directed verdict on that claim. The majority holds that this rendered moot any error that might have accompanied the original denial of the motion to dismiss. I do not agree. The trial court’s denial of the motion to dismiss allowed bad faith evidence to be presented to the jury in addition to proof of breach of contract. If American Health Care is right and there can be no claim for bad faith against an HMO, the company was prejudiced by the bad faith evidence which should not have been presented at the trial of the contract claim. Evidence of mental anguish and the like undoubtedly had some spillover effect on the jury and on its assessment of the contract claim. This is so even though the trial court ultimately decided that the proof submitted was not sufficient to support a claim of bad faith. This court should decide whether a bad faith claim may be appropriately lodged against an HMO, and I would do so in this case. If a bad faith claim can be presented, no prejudice resulted to American Health Care at trial. But if a bad faith claim does not lie against an HMO, American Health Care was prejudiced, and the case should be remanded for a new trial on that basis. Because I do not believe that this case can be decided without reaching the bad faith/HMO issue, I respectfully dissent.