Baumann v. Kroger Co.
Baumann v. Kroger Co.
Opinion
INTRODUCTION
¶ 1 Kari Baumann sued her physician and her pharmacy for overprescribing medication. But Ms. Baumann failed to designate any expert on the applicable standards of care until the day on which the district court had scheduled the summary judgment hearing. Even then, she only designated an expert on the pharmacy's standard of care, not the physician's. Applying the standard in rule 26 of the Utah Rules of Civil Procedure, the district court excluded the late-designated expert. It then awarded summary judgment to both defendants based on its determination that without expert testimony Ms. Baumann would be unable to show that either the physician or the pharmacy had violated the applicable standard of care.
¶ 2 On appeal to the court of appeals, Ms. Baumann argued that the district court should have applied rule 16, instead of rule 26, in assessing whether to exclude the expert that she designated. She also argued that the district court erred in failing to give her more of an opportunity to procure and designate an expert on the physician's standard of care-even though she did not ask for more time and did not otherwise give any indication that such an expert would be forthcoming.
¶ 3 The court of appeals correctly held that Ms. Baumann had failed to preserve her argument that the district court ought to have given her more time to find an expert on the physician's standard of care. The court of appeals also upheld the district court's grant of summary judgment to the pharmacy. But even though the pharmacy had argued that Ms. Baumann had failed to preserve her argument that the district court should have applied rule 16, the court of appeals resolved this issue on the merits. It also reached out and decided an issue that had not been briefed to it-whether the district court had abused its discretion under rule 26-reaching the right result but announcing an erroneous rule of law in the process.
¶ 4 We correct the court of appeals' legal error and affirm the court of appeals on the alternative ground that Ms. Baumann failed to preserve any of the issues she appealed.
BACKGROUND
¶ 5 Kari L. Baumann sued her physician (Dr. Gregory P. Tayler) and her pharmacy (Smith's, nom de guerre of The Kroger Company), accusing them of overprescribing drugs. But she did not designate any experts on the applicable standards of care for physicians or pharmacies until after the discovery deadlines had all passed and the defendants' summary judgment motion-rooted in the proposition that the standards of care related to prescribing and dispensing blood pressure medication could only be proved by expert testimony-had been fully briefed. Indeed, it was not until the day originally set for the summary judgment hearing that Ms. Baumann attempted to designate an expert on the pharmacy's standard of care. 1 She never designated an expert on the physician's standard of care.
¶ 6 The district court granted summary judgment in favor of the physician and the pharmacy. Based on established Utah law, it ruled that Ms. Baumann could not make out a prima facie case without expert testimony about the applicable standards of care.
See, e.g.
,
Dalley v. Utah Valley Reg'l Med. Ctr.
,
¶ 7 On appeal to the Court of Appeals, Ms. Baumann made two arguments why the district court erred in excluding her late-designated expert and granting summary judgment on that basis. First, citing our recent decision in
Coroles v. State
,
¶ 8 In addition to challenging the district court's decision to exclude the late-designated expert on the pharmacy's standard of care, Ms. Baumann also argued that the district court should have sua sponte postponed ruling on the physician's motion for summary judgment and extended the discovery deadlines to allow Ms. Baumann the opportunity (if she were so inclined) to find and designate an expert on the applicable physician's standard of care. Even though the district court had not applied rule 26 to exclude an expert on the physician's standard of care-there was, after all, no expert to exclude-Ms. Baumann argued to the court of appeals that the district court abused its discretion because it failed to consider whether postponing the summary judgment hearing and allowing Ms. Baumann to locate an expert on the physician's standard of care would have been harmless. See UTAH R. CIV . P. 26(d)(4) (exclude late-disclosed discovery "unless the failure is harmless or the party shows good cause for the failure").
¶ 9 Both the pharmacy and the physician filed response briefs. The physician argued, among other things, that Ms. Baumann's challenge to the district court's "exclusion" of a nonexistent expert on the physician's standard of care was unpreserved-a textbook example of an issue that has not been "presented to the [district] court in such a way that the ... court has an opportunity to rule on" it.
In re Adoption of Baby E.Z.
,
¶ 10 The pharmacy likewise argued preservation:
In this case, the only issue that Ms. Baumann seeks review of on appeal with regard to ... her claims against Smith's Pharmacy is whether 'the District Court abused its discretion under Rule 16(d) of the Utah Rules of Civil Procedure by excluding an untimely expert report submitted by a pro se party when the Court decided the Defendants-Appellees' motion for summary judgment.' However, Ms. Baumann ... does not provide any citation to the record showing that this issue was preserved in the district court. Ms. Baumann also fails to set forth a statement of grounds for seeking review of this unpreserved issue.
¶ 11 In the event that the court of appeals reached the merits, the pharmacy further argued that the district court had not abused its discretion in applying rule 26 instead of rule 16. It argued that Coroles required the application of the more forgiving sanctions in rule 16 only when discovery, even though disclosed late, is nonetheless disclosed well before trial or a hearing on a dispositive motion (not the case here). And it argued that, regardless of whether rule 16 or rule 26 applied, the court had ample justification for excluding the expert report under the circumstances of the case; Ms. Baumann had agreed to an extended discovery schedule and still failed to make the requisite disclosures until the very day that the summary judgment hearing was first scheduled-months after the applicable discovery deadlines and after a summary judgment motion predicated on Ms. Baumann's failure to designate experts had been fully briefed.
¶ 12 The court of appeals upheld the district court's decision. It first agreed that Ms.
Baumann's appeal was unpreserved as it pertained to the physician.
Baumann v. Kroger Co.
,
¶ 13 While the court of appeals did not address the pharmacy's preservation argument, it did consider an argument that Ms. Baumann had not made-the argument that the district court erred in failing to make an explicit finding that allowing Ms. Baumann to offer the late-designated expert would have been prejudicial to the pharmacy. 3 Reaching out beyond the briefing before it, the court of appeals held that the district court was not required to make this finding: "[i]t is well settled that a district court's exclusion of materials may be supported if the court makes a finding that there is either no good cause for the failure or that the failure is harmful." Id. ¶ 18 n.8 (emphases omitted) (citations omitted). Thus, because the district court had found that there was no good cause for Ms. Baumann's violation of the discovery schedule, the court of appeals held that it did not need to consider whether that violation was harmless.
¶ 14 We granted certiorari and now affirm the court of appeals, but on different grounds. Utah Code section 78A-3-102(3)(a) gives us jurisdiction.
STANDARD OF REVIEW
¶ 15 "On certiorari, we review for correctness the decision of the court of appeals, not the decision of the trial court."
State v. Levin
,
ANALYSIS
¶ 16 But for a set of procedural irregularities that we address below, this is among the simplest of cases for an appellate court to resolve. On certiorari to this court, Ms. Baumann argues (1) that the district court erred in applying rule 26 instead of rule 16 to the expert report on the pharmacy's standard of care and (2) even if rule 26 applies, that the district court abused its discretion in failing to consider whether allowing the late-designated expert would have been harmless.
¶ 17 First, Ms. Baumann's argument that the district court erred in applying rule 26, instead of rule 16, to the expert report on the pharmacy's standard of care is unpreserved. Ms. Baumann never asked the district court to admit the late-designated expert report under rule 16. Instead, she virtually invited the court to apply rule 26. In a document styled "Plaintiff's URCP 26 Expert Report in Response to Reply to Memorandum in Support of Statement Opposing Defendants' Motion for Summary Judgment," Ms. Baumann submitted the expert report "under URCP 26." This submission arguably invited the district court to apply rule 26 instead of rule 16.
See
State v. McNeil
,
¶ 18 At minimum, Ms. Baumann did not preserve her argument that the district court erred in applying rule 26 's sanctions instead of the more forgiving standard set forth in rule 16. And, on appeal, she does not argue that the plain error doctrine or exceptional circumstances warrant our reaching this unpreserved issue.
Cf.
Coleman ex rel. Schefski v. Stevens
,
¶ 19 Second, Ms. Baumann did not argue to the court of appeals that the trial court abused its discretion when it failed to consider whether allowing the late-designated expert to testify would have been harmless-i.e., when it failed to expressly hold that exclusion was appropriate under rule 26 because allowing the expert to testify would have prejudiced the pharmacy. Instead, Ms. Baumann argued that the district court abused its discretion in applying rule 26 to exclude "an additional expert report applicable to the doctor," not the pharmacy. At one point, she (somewhat confusingly) argued that this decision was error because the district court's "sole basis ... was that Ms. Baumann ... did not establish good cause that excused her failure to file"-when, in fact, this was the basis for the court's decision to exclude the late-designated expert on the pharmacy's standard of care. But it is clear in context that Ms. Baumann's argument to the court of appeals was that the district court's conclusion that "an additional expert report [, i.e., an expert report on the physician's standard of care,] should be excluded ... constitute[d] an abuse of discretion." Indeed, in her court of appeals reply brief, Ms. Baumann conceded that this portion of her argument focused on the undisclosed expert on the physician's standard of care, and she asked the court of appeals to apply the exceptional circumstances doctrine to reach this issue-a request she does not renew before us.
¶ 20 In any event, Ms. Baumann made no attempt to show that admitting the late-designated expert evidence on the pharmacy's standard of care-evidence on whose absence the pharmacy relied in briefing multiple trial court memoranda in support of summary judgment-would have been harmless. Indeed, as we have explained, Ms. Baumann makes the argument that the district court should have applied rule 26 to find that allowing expert testimony on the pharmacy's standard of care would have been harmless for the first time before this court. And she does not ask us either to apply the plain error doctrine or to find that exceptional circumstances exist. Accordingly, this point, too, is waived.
¶ 21 Finally, there is no question that the court of appeals got it right when it affirmed the district court's decision to grant summary judgment in favor of the physician in this case. As the court of appeals put it, "the district court could not have abused its discretion in not making a ruling it was never asked to make."
Baumann v. Kroger Co.
,
¶ 22 In a clean case, this would be the end of the matter. The problem is that the court of appeals looked past the pharmacy's preservation arguments to the merits of whether the district court should have applied rule 16 instead of rule 26 in deciding to exclude the late-designated expert.
See
¶ 23 Notwithstanding these irregularities, we ultimately conclude that we may-and should-pierce through the court of appeals' merits decision to reach the preservation problems within.
¶ 24 First, while the pharmacy has not explicitly stated that the court of appeals erred in failing to affirm the district court on preservation grounds, it has done everything short of that. It has cogently explained why the issues were unpreserved at the district court level, and it has pointed out deficiencies in Ms. Baumann's appellate briefs-thereby giving Ms. Baumann ample opportunity to respond. Moreover, unlike in a case where a party ignores analysis undertaken by the court of appeals, here the court of appeals simply did not analyze the preservation problems that had been put before it.
Cf.
Scott v. Scott
,
¶ 25 Second, the pharmacy prevailed in the district court and the court of appeals. And while the court of appeals ultimately reached the merits of Ms. Baumann's unpreserved argument, it did not explain why. Because of this, Ms. Baumann has consistently born the burden of persuasion throughout her appeal.
See
Broderick v. Apartment Mgmt. Consultants, L.L.C.
,
¶ 26 On the merits, this case calls for a clarification of
Coroles v. State
,
CONCLUSION
¶ 27 Ms. Baumann did not preserve her claims that the district court ought to have applied rule 16 instead of rule 26 and that it abused its discretion in declining to find, on the record, that admitting a late-filed expert report whose absence had been the very predicate of all summary judgment proceedings would have been harmless. The court of appeals' decision is affirmed on these alternative grounds; footnote 8 is vacated.
Associate Chief Justice Lee, concurring in part and concurring in the judgment:
¶ 28 I concur in every element of the majority opinion except for footnote 4. That footnote, as the court concedes, "reache[s] out" to decide an issue "that we have found unpreserved." Supra ¶ 22 n.4. We are doing so, moreover, in a case in which we are reversing the court of appeals for improperly reaching an unpreserved issue.
¶ 29 This strikes me as a double standard. We are an appellate court. And we are as subject to the law of preservation as is the court of appeals. We should heed the lessons of our own opinions. When we fail to do so we create the impression that we have confused the finality of our decisions with the infallibility of our decisionmaking.
¶ 30 Our court does have power to "superintend the proper interpretation of the procedural rules." Supra ¶ 22 n.4. But our authority to do so is hardly unbounded. We "superintend" the rules through the proper exercise of appellate jurisdiction. Or by the promulgation or amendment of our rules of procedure. But not by dropping a footnote resolving an issue that is not properly presented for our decision.
The district court initially scheduled oral argument on defendants' summary judgment motion for November 17, 2014. At the hearing, Ms. Baumann's husband sought to speak for her. The district court sustained an objection to proceeding in this manner, but granted Ms. Baumann a continuance to January 5, 2015, to either obtain counsel or represent herself.
Rule 16 provides that if a party fails to obey a pretrial order "the court, upon motion or its own initiative, may take any action authorized by Rule 37(b)." Utah R. Civ . P. 16(d). Rule 37(b), in turn, permits (but does not require) a wide array of sanctions, ranging from dismissal of the action to a stay or payment of reasonable costs, expenses, and attorney fees caused by the failure. Id. 37(b). Thus, unlike rule 26, rule 16 gives the court much wider discretion in deciding what, if any, sanction to impose.
Ms. Baumann had argued that the district court erred in failing to consider whether allowing Ms. Baumann to designate an expert with respect to the physician would have been harmless, but she did not make the same argument with respect to the district court's exclusion of the late-designated expert on the pharmacy's standard of care.
The court of appeals was wrong to hold that a litigant may obtain relief from a discovery violation under rule 26 only if he or she can show
both
that the violation was excused by good cause
and
that no prejudice would come from excusing the violation.
See
Baumann v. Kroger Co.
,
We are not unaware that we have now reached out to correct the court of appeals' erroneous statement of law on an issue that we have found unpreserved, even as we explain that appellate courts ought not to reach unpreserved issues. While we are tempted, on this point, simply to take solace in our infallibility,
see
Brown v. Allen
,
Reference
- Full Case Name
- Kari L. BAUMANN, Appellant, v. the KROGER COMPANY and Gregory P. Tayler, Appellees.
- Cited By
- 7 cases
- Status
- Published