Parker v. Carilion Clinic
Parker v. Carilion Clinic
Opinion
Lindsey Parker sued Carilion Clinic, Carilion Healthcare Corporation (collectively, "Carilion"), and two Carilion employees, Christy Davis and Lindsey Young, claiming that they had disclosed her confidential medical information to others. Parker served process on Carilion but did not serve Davis or Young. The circuit court granted Carilion's demurrers and dismissed all of Parker's claims against it, which included both vicarious and direct liability claims. Parker challenges that holding on appeal. We agree with Parker that the circuit court should not have dismissed her vicarious liability claim on demurrer, but we agree with Carilion that the circuit court correctly dismissed the direct liability claims.
I. BACKGROUND
In her complaint, Parker claimed that she had been diagnosed with a medical condition at Rocky Mount Obstetrics & Gynecology. 1 J.A. at 2. Almost seven months later, she visited her primary care physician at Rocky Mount Family Practice for treatment unrelated to her previous diagnosis. Carilion owned and operated both healthcare facilities. While awaiting treatment at Rocky Mount Family Practice, Parker spoke with an acquaintance, Trevor Flora, in the waiting room. Davis, a Carilion employee working at Rocky Mount Family Practice, saw Parker conversing with Flora, with whom she also was acquainted.
Davis accessed Parker's confidential medical information and discovered Parker's previous diagnosis. Davis then contacted her friend Young, who was a Carilion employee working at a third facility and who also knew Flora. Davis told Young that Parker was at Rocky Mount Family Practice conversing with Flora and disclosed Parker's previous diagnosis to Young. Young then accessed Parker's confidential medical information and confirmed Davis's disclosure. Young thereafter disclosed Parker's previous diagnosis to Flora, who revealed the disclosure to Parker.
Parker's complaint alleged that Davis, Young, and Carilion had disclosed her confidential medical information in breach of the tort duty that we recognized in
Fairfax Hospital v. Curtis
,
Parker also asserted a negligence per se claim against Carilion. She based this claim on the theory that the federal Health Insurance Portability and Accountability Act of 1996, Pub. L. No. 104-191,
In its answer, Carilion admitted that Davis and Young were its employees at the time that they accessed and disclosed Parker's confidential medical information. In its demurrer to the unauthorized-disclosure count, however, Carilion argued with respect to Davis and Young that they had acted outside the scope of their employment, precluding Parker's respondeat superior claim as a matter of law. Carilion also contested the legal viability of Parker's direct liability claims, in which she had asserted a breach of the non-disclosure duty recognized in Fairfax Hospital and negligence per se based upon HIPAA violations.
On October 25, 2016, the circuit court entered an order sustaining Carilion's demurrers but granting Parker 21 days within which to amend her complaint. The order provided that if she did not do so, "the case is dismissed with prejudice." J.A. at 80. Parker did not amend her complaint but instead filed a notice of appeal on December 2, 2016.
II. RULE 1:1 & THE NOTICE OF APPEAL
As a threshold matter, Carilion asserts that Parker failed to file her notice of appeal within 30 days from the entry of the final order as required by Rule 5:9(a). Under Rule 1:1, Carilion reasons, the final order was entered on the date that it was signed, notwithstanding the fact that the order provided Parker 21 additional days within which to file an amended complaint. Although we held in
Norris v. Mitchell
that an order sustaining a demurrer and dismissing the case unless the plaintiff files an amended complaint within a specified period of time does not become
final
until the time for amendment lapses,
see
Rule 5:9(a) provides in relevant part that
[n]o appeal shall be allowed unless, within 30 days after the entry of final judgment or other appealable order or decree, or within any specified extension thereof granted by this Court pursuant to Rule 5:5(a), counsel for the appellant files with the clerk of the trial court a notice of appeal and at the same time mails or delivers a copy of such notice to all opposing counsel.
This requirement is "mandatory, not merely directory."
School Bd. v. Caudill Rowlett Scott, Inc.
,
We ruled that the circuit court retained jurisdiction until 21 days after July 8 because an order merely sustaining a demurrer is not final, but an order dismissing a case is final.
See
Norris
,
Although not analyzed in Norris , the commencement of the 30-day period for filing a notice of appeal requires "the entry of [a] final judgment or other appealable order or decree," Rule 5:9(a) (emphasis added), and Norris , Bibber , London-Virginia Mining Co. , and Commercial Bank of Lynchburg all decisively hold that an order merely sustaining a demurrer without dismissing the case is not final. Consequently, the 30-day period provided by Rule 5:9(a) does not begin to run in the absence of a final order, and in the case before us, no final order existed until the deadline for filing an amended complaint had expired. Absent a statutory provision stating otherwise, an order must be both entered and final before the 30-day period for filing a notice of appeal commences. Thus, Parker's notice of appeal was timely.
III. THE DEMURRERS
When reviewing an order granting a demurrer, we accept as true all factual allegations expressly pleaded in the complaint and interpret those allegations in the light most favorable to the claimant.
See
Coutlakis v. CSX Transp., Inc.
,
First, while we also accept as true unstated inferences to the extent that they are reasonable , we give them no weight to the extent that they are unreasonable . The difference between the two turns on whether "the inferences are strained, forced, or contrary to reason," and thus properly disregarded as "arbitrary inferences." Second, we must distinguish allegations of historical fact from conclusions of law. We assume the former to be true arguendo , but we assume nothing about the correctness of the latter because "we do not accept the veracity of conclusions of law camouflaged as factual allegations or inferences." "Instead, we review all conclusions of law de novo."
On appeal, Parker contends that the circuit court erred in granting the demurrers because she adequately pleaded four distinct causes of action:
• Tort claims against Davis and Young individually for breach of the "health care provider" duty of non-disclosure recognized in Fairfax Hospital . See Appellant's Suppl. Br. at 3-6.
• A respondeat superior claim against Carilion, as Davis and Young's employer, that alleged vicarious liability for the employees' torts. See Appellant's Br. at 16-19; Appellant's Suppl. Br. at 7-11.
• A direct claim against Carilion for breach of the "health care provider" duty of non-disclosure recognized in Fairfax Hospital . See Appellant's Br. at 16-19.
• A direct claim against Carilion alleging negligence per se based upon violations of federal HIPAA provisions. See id. at 20-22.
We will address these arguments in the same sequence.
A. TORT CLAIMS AGAINST DAVIS & YOUNG INDIVIDUALLY
Parker pleaded tort claims against Davis and Young individually, asserting that they were "healthcare providers" and thus owed a duty under Fairfax Hospital not to disclose her confidential medical information without her authorization. See J.A. at 4-5. On appeal, Parker argues in her first assignment of error that the circuit court "erred in ruling there is no cause of action under Virginia law against an employee of a healthcare provider when the employee makes an extra-judicial disclosure of sensitive confidential personal health information without the authorization of the patient-plaintiff." Appellant's Suppl. Br. at 1 (altering capitalization).
The circuit court, however, never addressed whether a viable cause of action *817 existed against Davis and Young individually. Instead, the court held only that Carilion could not be liable under respondeat superior principles because, based on Parker's allegations, Davis and Young had acted outside the scope of their employment. Parker nonetheless contends that we should address the issue given its importance to the underlying issue of respondeat superior liability. 3
Though we appreciate Parker's concerns,
4
we cannot address them in the present appeal. Rule 5:17(c)(1)(iii) requires an assignment of error to "address the findings or rulings in the trial court or other tribunal from which an appeal is taken."
See
Wright v. Commonwealth
,
B. CARILION'S VICARIOUS LIABILITY
1. The Rebuttable Presumption
Parker asserts that the circuit court erred by ruling as a matter of law that Carilion was not vicariously liable for Davis and Young's tortious acts. She contends that when Carilion "admitted ... that Davis and Young were its employees," there arose a rebuttable presumption that Davis and Young were acting within the scope of their employment when they committed the alleged tort.
See
Appellant's Suppl. Reply Br. at 2;
see also
Majorana v. Crown Cent. Petroleum Corp.
,
Carilion acknowledges the rebuttable presumption but contends that the cases cited by Parker apply only when considering "the evidentiary burden at trial, not whether the plaintiffs' complaints alleged facts sufficient to state a vicarious liability claim." Appellees' Suppl. Br. at 17-18. And even if those cases apply at the pleading stage, Carilion adds, Parker's own pleadings, coupled with the factual interpretations that she advocates on appeal, show "that the defendant could not, as a matter of law, be held vicariously liable." Id. at 18; see also Oral Argument Audio at 18:04 to 18:11 (arguing that "there has to be more ... than just asserting magic words of employer-employee relationship"); id. at 18:32 to 18:36 (arguing that Parker pleaded herself out of the presumption because of "the information that's not provided" in the complaint).
*818
To Carilion's first point, we disagree that the presumption applies only at trial and has no role at the pleading stage of the case. There has always been in law a symmetry between pleadings and proof. On essential matters, the latter can go no further than the former.
See
Ted Lansing Supply Co. v. Royal Aluminum & Constr. Corp.
,
Without discussion, we applied the rebuttable presumption at the demurrer stage in
Plummer v. Center Psychiatrists, Ltd.
,
We held that summary judgment was improper because the rebuttable presumption
arising out of the complaint
supplied the necessary permissible inference that the tortfeasor had acted within the scope of his employment.
See
Addressing Carilion's second point, that Parker's complaint and its factual inferences themselves rebutted the presumption, the resolution of that issue depends on what the presumption actually presumes. Quite a lot, apparently, if we were to grant Parker's requested remedy: "Upon remand," Parker argues, the circuit court "should be instructed that when an employee is allowed access to medical information as part of their employment with a health care provider, and the employee wrongfully distributes or discloses such confidential information, they are acting within the scope of their employment as a matter of law." Appellant's Suppl. Br. at 8.
From Parker's perspective, neither her complaint nor its factual inferences could possibly provide a basis for self-refutation because "[u]nder these facts there is respondeat superior liability of the master-employer as a matter of law." Id. at 9. In response, Carilion argues that Parker "has affirmatively alleged facts demonstrating that [Davis and Young] were not acting within the scope of their employment," and thus, the circuit court properly dismissed the complaint as a matter of law. 7 Appellees' Suppl. Br. at 19 (emphasis in original).
We cannot fully agree with either Parker or Carilion.
2. The Job-Related-Service Principle
"[C]ommon-sense is opposed to making one man pay for another man's wrong." Oliver Wendell Holmes, Jr.,
Agency
,
Restating the doctrine in such low-resolution terms, however, has led to "difficulties" in its application,
Giant of Md., Inc. v. Enger
,
"devoid of meaning in itself" and is "obviously no more than a bare formula to cover the unordered and unauthorized acts of the servant for which it is found to be expedient to charge the master with liability, as well as to exclude other acts for which it is not."
Faragher v. City of Boca Raton
,
Aware of these doctrinal vagaries, we hold to the belief first expressed over a century ago that "the only safe course to pursue is to revert to first principles, and adhere to ancient landmarks" rather than yielding to some "new principle sought to be engrafted upon the law" for the alleged purpose of addressing "supposed exigencies of new conditions."
Blair v.Broadwater
,
To put the matter succinctly, "[t]he doctrine of respondeat superior applies only when the relation of master and servant is shown to exist between the wrongdoer and the person sought to be charged for the result of some neglect or wrong at the time and in respect to the very transaction out of which the injury arose ."
Manuel v. Cassada
,
Under this job-related-service principle, while it is true that vicarious liability "is not limited to those acts of the servant which promote the object of the employment," it is equally true that no such liability can be imposed if the tortious act did not arise out of the "very transaction,"
Manuel
,
*820
The job-related-service principle has arisen in many intentional-tort contexts,
8
including one in which a "contract negotiator and administrator" committed fraud while "in the execution of the services for which he was employed."
Commercial Bus. Sys., Inc.
,
We came to a similar conclusion in
Gina Chin
, a case in which a bank teller had accepted forged checks for deposit for his own gain. Vicarious liability could apply, we held, because the employee "was performing a
normal function of a bank teller
in accepting checks for deposit."
Gina Chin
, 260 Va. at 545,
In each of these cases - Plummer , Majorana , and Gina Chin - the tortious act or transaction occurred while the employee was in fact performing a specific job-related service for the employer, and, but for the employee's wrongdoing, the service would otherwise have been within the authorized scope of his employment. To be sure, "[i]n many cases, perhaps most, an employee's intentional torts are purely personal acts and thus not within the scope of employment." Id. § 429, at 796. 9
Chief Justice Hassell emphasized this point on behalf of a unanimous Court in
Giant of Maryland, Inc.
,
The circuit court let the case go to a jury and instructed the jury that "if the tortious act of the employee arose out of an activity which was within the employee's scope of employment or within the ordinary course of business, then that act may be considered to be within the scope of employment."
Id. at 515,
A comparison of our established test with the challenged jury instruction compels us to conclude that the jury instruction is erroneous. Under our aforementioned test, an employer is responsible for an employee's tortious act if that act was within the scope of the duties of the employment and in the execution of the service for which the employee was engaged .
Id. at 516,
The challenged jury instruction differs from the test that we have consistently applied because the instruction allows the jury to find the employer liable for any tort committed during the employee's employment, even if the service that the employee was performing when he committed the tortious acts was not within the ordinary course of the employer's business or not within the scope of the employee's authority .
Id. at 516-17,
In short, "our established test" limits respondeat superior liability to tortious acts performed "within the
scope of the duties
of the employment and in the execution of the
service
for which the employee was engaged."
Id. at 516,
3. External, Independent, and Personal Motives
The employee's motive in committing the tortious act plays a role in the job-related service doctrine. For nearly a century,
see
Kidd
,
The requirement that the tortious act "not arise wholly from some external, independent, and personal motive" of the employee,
Smith
,
*822 Restatement (Second) of Agency § 228(1)(c) (1958) (emphasis added), or, put another way, "[a]n employee's act is not within the scope of employment when it occurs within an independent course of conduct not intended by the employee to serve any purpose of the employer," Restatement (Third) of Agency § 7.07(2) (2006) (emphasis added).
As we explained in
Gina Chin
, "generally" speaking, an employee does not "commit[ ] a willful and wrongful act that results in injury to others ... 'with the intent to further the employer's interest.' " 260 Va. at 541,
Admittedly, the trial court's task may be particularly difficult in cases in which the injury is caused by an intentional, often criminal, tortious act which clearly would not have been contemplated by the employer as being within the scope of employment, but which nonetheless was performed incident to the employment and even facilitated thereby.
Id. at 542-43,
4. Parker's Complaint Established a Rebuttable Presumption
In this case, Parker alleged that Davis and Young had committed the torts in the context of their employment with Carilion.
11
These allegations created a rebuttable presumption that facts exist (though not specifically pleaded) that would satisfy the "established test" for vicarious liability: that Davis and Young committed tortious acts "within the scope of [their] duties of ... employment and in the execution of the service for which [they were] engaged."
Giant of Md., Inc.
,
Carilion acknowledges that the presumption applies but contends that the express allegations in Parker's complaint rebut the presumption. We agree that, in theory, such an argument could have merit. A plaintiff can plead herself out of court by affirmatively alleging facts that rebut the presumption implied in law - no differently than a litigant at trial can rely on an evidentiary presumption and yet assert facts that undermine it. At the demurrer stage of a case, however, the self-refutation must be clear, not conjectural, and irrefutable rather than debatable. In this case, the rebuttal inferences that Carilion asserts are not strong enough to defeat the presumption and thereby establish, based solely on the pleadings, "that the defendant could not, as a matter of law, be held vicariously liable." Appellees' Suppl. Br. at 18.
Facts that come to light later might affirm or disaffirm the presumption. The scope-of-employment "presumption disappears in the face of positive facts to the contrary."
McNeill
,
C. CARILION'S DIRECT LIABILITY
On appeal, Parker contends that her complaint stated two theories of direct liability against Carilion: first, a claim under the tort duty recognized in Fairfax Hospital , and second, a state-law negligence per se claim based upon Carilion's alleged HIPAA violations.
1. Wrongful-Disclosure Tort Liability
Parker's first argument in support of a direct tort claim against Carilion relies on our holding in
Fairfax Hospital
. In that case, we held that absent a statute to the contrary or a risk of "serious danger to the patient or others," "a health care provider owes a duty to the patient not to disclose information gained from the patient during the course of treatment without the patient's authorization, and that [a] violation of this duty gives rise to an action in tort."
Fairfax Hosp.
,
First, it fails to police the conceptual boundaries between vicarious liability and direct liability. If an employer "has himself committed a wrong against the plaintiff, [the employer] may be held liable for his own wrongdoing . This is not vicarious liability." Friend, supra , § 9.1, at 201 (emphases in original). Liability based upon the employer's own tortious conduct "is not traditionally conceived as vicarious liability." 2 Dobbs et al., supra note 3, § 425, at 782. While ignoring this distinction, Parker correctly states the obvious that "[c]orporate health care providers only provide health care through their employees." Appellant's Br. at 19. The point of the respondeat superior doctrine is to draw a distinction between circumstances in which employers should be liable for their employees' misdeeds and circumstances in which they should not. Parker's syllogism, if true, would cut respondeat superior principles completely out of our common-law tradition.
Second, Parker fails to allege that Davis and Young acted with the requisite corporate authority. A corporate defendant may be liable as a primary tortfeasor (independent of respondeat superior liability) if it authorized, directed, ratified, or performed the tortious conduct through those who, under the governing management structure, had the discretionary authority to act on behalf of the corporation. 12 In the corporate context, this statement would include corporate officers acting with authority under the corporate bylaws or boards of directors acting with authority under the corporate charter.
In contrast, if a mere
employee
commits the tortious conduct, the corporate employer will not be subject to direct liability, technically speaking, but rather only to respondeat superior liability.
Cf.
Phillips Oil Co. v. Linn
,
Parker does not allege that Davis and Young were corporate officers or authorized agents of Carilion. As a result, Carilion can only be liable, if at all, for the tortious acts of Davis and Young under respondeat superior principles. The circuit court therefore correctly sustained the demurrer to any claim of direct liability for breach of the duty of non-disclosure recognized in Fairfax Hospital .
2. Negligence Per Se & HIPAA
HIPAA requires healthcare providers to "maintain reasonable ... safeguards ... to ensure the integrity and confidentiality of the" patient's confidential medical information and "to protect against any reasonably anticipated ... unauthorized uses or disclosures of" such information. 42 U.S.C. § 1320d-2(d)(2) (2012). Its purpose, as stated in its title, is
to improve portability and continuity of health insurance coverage in the group and individual markets, to combat waste, fraud, and abuse in health insurance and health care delivery, to promote the use of medical savings accounts, to improve access to long-term care services and coverage, to simplify the administration of health insurance, and ... other purposes.
110 Stat. at 1936. Similarly, the provisions dealing with unauthorized disclosure of confidential medical information are found in Title II, Subtitle F of HIPAA, the stated purpose of which is
to improve the Medicare program under title XVIII of the Social Security Act, the medicaid program under title XIX of such Act, and the efficiency and effectiveness of the health care system, by encouraging the development of a health information system through the establishment of standards and requirements for the electronic transmission of certain health information.
HIPAA § 261, 110 Stat. at 2021. Alleging that Carilion failed to comply with HIPAA, Parker contends that she has a negligence per se remedy under Virginia common law and under Code § 8.01-221. We disagree.
The starting point in our analysis is the observation that "the violation of a statute does not, by that very fact alone, constitute actionable negligence or make the guilty party negligent per se."
Williamson v. Old Brogue, Inc.
,
the doctrine applies only where there is a common-law cause of action . The doctrine of negligence per se does not create a cause of action where one did not exist at common law. Thus, the doctrine does not create a duty of care. It merely sets a standard of care by which the defendant may be judged in the common-law action.
Friend, supra , § 2.3.2(A), at 23 (3d ed. 2003 & Supp. 2017) (emphases in original) (endnotes omitted).
"In other words, a statute may define the standard of care to be exercised where there is an
underlying common-law duty
, but the doctrine of negligence per se does not create a cause of action where none otherwise exists."
Williamson
,
Framed properly, therefore, a negligence per se claim predicated on a statutory violation
requires a showing that [i] the tortfeasor had a duty of care to the plaintiff, [ii] the standard of care for that duty was set by statute, [iii] the tortfeasor engaged in acts that violated the standard of care set out in the statute, [iv] the statute was enacted for public health and safety reasons, [v] the plaintiff was a member of the class protected by the statute, [vi] the injury was of the sort intended to be covered by the statute, and [vii] the violation of the statute was a proximate cause of the injury.
Parker's negligence per se argument based on HIPAA finds no support in Virginia law. None of our precedents has ever imposed a tort duty on a healthcare provider to manage its confidential information systems so as to deter employees from willfully gaining unauthorized access to confidential medical information. Parker argues that Fairfax Hospital permits an inference that such a duty exists. See Reply Br. at 3-4, 9-10 (arguing that Fairfax Hospital creates the underlying tort duty forming the basis of her negligence per se claim and that Carilion's assertion that there is no duty to protect confidential information would "gut the ruling in Fairfax Hospital and endanger" patients); Oral Argument Audio at 1:13 to 2:03, 12:53 to 13:25, 29:33 to 30:58 (arguing that the duty not to disclose includes the duty to safeguard). We disclaim any such inference.
Fairfax Hospital
broke new ground.
See
Pierce v. Caday
,
We hold that in the absence of a statutory command to the contrary, or absent a serious danger to the patient or others, a health care provider owes a duty to the patient not to disclose information gained from the patient during the course of treatment without the patient's authorization, and that violation of this duty gives rise to an action in tort .
*826
No Virginia precedent has imposed such a tort duty on healthcare providers.
15
"The issue whether a legal duty in tort exists is a pure question of law."
Kellermann v. McDonough
,
Finally, we acknowledge, but find inconsequential, Parker's invocation of Code § 8.01-221. In relevant part, that statute provides that
[a]ny person injured by the violation of any statute may recover from the offender such damages as he may sustain by reason of the violation, even though a penalty or forfeiture for such violation be thereby imposed, unless such penalty or forfeiture be expressly mentioned to be in lieu of such damages.
For more than a century, however, we have construed this statute and its predecessors
merely to preserve to any injured person the right to maintain his action for the injury he may have sustained by reason of the wrong-doing of another, and to prevent the wrong-doer from setting up the defence that he had paid the penalty of his wrong-doing under a penal statute. It cannot be supposed that, in enacting [ Code §] 8.01-221, the Legislature had the remotest *827 idea of creating any new ground for bringing an action for damages.
Vansant & Gusler, Inc. v. Washington
,
For over a century, we have held to the view that neither Code § 8.01-221 nor its predecessors created a "new right of action for damages" based upon statutory violations.
Vansant & Gusler, Inc.
,
Adhering to our settled precedent interpreting Code § 8.01-221, we decline Parker's invitation to reinterpret it as a legislative directive to transform alleged federal HIPAA violations into a state-law, negligence per se claim.
IV. CONCLUSION
We agree with Parker that the circuit court erred in its order granting the demurrer to the extent that it dismissed Parker's respondeat superior claim against Carilion. We therefore reverse the circuit court's judgment on this issue. We disagree with Parker regarding Carilion's direct liability under Fairfax Hospital and under the doctrine of negligence per se. We thus affirm the circuit court's judgment on these issues. We remand this case for further proceedings consistent with this opinion.
Affirmed in part, reversed in part, and remanded.
I concur with the majority's conclusion that the circuit court erred by sustaining Carilion's demurrer to Parker's respondeat superior claim. The allegations in her complaint were sufficient to create a presumption that Davis and Young were acting within the scope of their employment, and Carilion has not rebutted that presumption. * I also concur with the majority's conclusion that the court did not err by sustaining Carilion's demurrer to her negligence per se claims. However, I must write separately to differentiate myself from the majority on the role employees' motives play in the determination of whether they acted within the scope of their employment.
I disagree with the majority opinion's analysis of how to determine whether employees
*828
act within the scope of their employment, thereby making their employers liable for their actions. While there is nothing controversial in the majority opinion's statement in Part III(B)(2) that the doctrine of respondeat superior limits an employer's exposure to vicarious liability to instances wherein the employee acted within the scope of his or her employment, the problem has been determining what "the scope of employment" means. We said a century ago that "[t]he difficulty, as has been often remarked, lies not in the uncertainty of the principle we are considering, but in its application."
Henry Myers & Co. v. Lewis
,
The majority opinion declares that the first principle of respondeat superior is that an employer may be vicariously liable only when the service in which the employee's tortious act was done was within the ordinary course of the employer's business.
Ante
at 819 (citing
Gina Chin & Assocs. v. First Union Bank
,
This distinction is important. The first question does not focus on the particular act the employee committed, but on whether the employer "has put the [employee] in his place to do that class of acts."
Henry Myers
, 121 Va. at 65,
The more important point, on which I diverge from the majority opinion, is in respect to the role of the employee's motive. The majority opinion takes our previous statements about individual motive and unduly emphasizes them. The personal motive of the employee is not the controlling factor in determining whether the employer is vicariously liable for his or her tortious acts. To the contrary, the employee's personal motive may be so outweighed by the nexus between the employee's tortious act and the scope of his or her employment that the question of motive is almost eclipsed by it.
This point is illustrated with two observations. First, when repeating the rule that the employee's tortious act must not "arise wholly from some external, independent, and personal motive on the part of the employee,"
ante
at 821 (citing
Smith v. Landmark Commc'ns, Inc.
,
For example, in
Davis
, a gateman at a railroad crossing shot at a car whose driver insisted that he open the gate in the middle of the night.
Id. at 71-72,
In Davis , we wrote that
[i]f a person, acting for himself, wilfully and maliciously inflict an injury upon another, he is liable in damages for such injury. And there is no reason why a master should be permitted to turn his business over to servants who have no regard for the public welfare and thereby escape the responsibility which he would otherwise have to bear. It is manifestly right and just that both corporations and individuals be required to answer in damages for wanton and malicious assaults inflicted within the scope of the servant's employment and duty, and it matters not whether the act of the servant is due to a lack of judgment, infirmity of temper, or the influence of passion, or that the servant goes beyond his strict line of duty and authority in inflicting such injury.
Similarly, in
Tri-State Coach
, we wrote that, "[t]hough this was an intentional and wilful tort, the jury was justified in concluding that it was the result of an impulse or emotion which directly arose out of the prosecution of the master's business and was within the course of the employment."
the wilfulness or wrongful motive which moves an employee to commit an act which causes injury to a third person does not of itself excuse the employer's liability therefor. The test of liability is not the motive of the employee in committing the act complained of, but whether that act was within the scope of the duties of employment and in the execution of the service for which he was engaged.
Id. at 305-06,
The cited section of American Jurisprudence begins by noting that
under the earlier common law it seems to have been the accepted view of many courts that an employer was not liable for the malicious or intentional torts of his employee even though committed by the latter while forwarding the master's business. According to this view, the wilful act of the employee was deemed to be a departure from the employer's business, or was presumed prima facie to be outside the scope of the employment. The courts, however, have long since departed from the rule of nonliability of an employer for wilful or malicious acts from his employee .
35 Am. Jur., Master and Servant § 560, at 994-95 (1941) (emphasis added). Thus, the idea that the employee's motive alone could excuse the employer from vicarious liability was "long" obsolete even in 1941. Rather, as the next section explains, "[t]he general rule is that the master is liable for all tortious acts of the servant committed by such servant while acting within the scope of his employment."
Consequently, the majority opinion's emphasis is in the wrong place when it opines that an employee's personal motive can excuse the employer from vicarious liability, regardless of the proximity of the employee's tortious act to the scope of his or her employment. We expressly ruled in
Davis
that the employee's gunshots were motivated by his anger at being asked to raise the gate in the middle of the night, but affirmed the judgment against the employer because he fired the shots as part of the encounter that began when the chauffeur made the request, which was clearly within the employee's function to fulfill.
Likewise, in
Tri-State Coach
, we noted that "the altercation [between the bus driver
*830
and the plaintiff] arose about the manner in which [the driver] was operating the bus."
These cases illustrate that an employee's tortious act motivated by emotion or passion provoked from the very performance of the task or function that his or her employer pays him or her to do may result in the employer's vicarious liability.
The second observation is that in
Gina Chin
, we expressly noted that the employee's motive "is not determinative of whether" the tortious act took place within the scope of the employment. 260 Va. at 543,
Gina Chin
is no outlier. In
Commercial Business Systems
, a computer repair company's employee accepted bribes from one subcontractor to allow another subcontractor's contract to expire and award the replacement contract to the former.
In
Plummer v. Center Psychiatrists
,
Thus, this line of cases, culminating in
Gina Chin
, stands for the proposition that we stated in that case: "the motive of the employee in committing the act complained of is not determinative of whether it took place within the scope of the employment relationship." 260 Va. at 543,
I hasten to note that these holdings do not compel a verdict against the employer when the facts or allegations establish a clear nexus between the employee's tortious act and the scope of his or her employment because the act was committed while the employee
*831
was performing the task or function that the employer paid him or her to do. Rather, they only require that the question of the employer's liability advance to a jury.
Gina Chin
, 260 Va. at 542,
When reviewing the grant of a demurrer, we restate the facts that were alleged, but not yet proven or unproven, at the pleading stage of a case. A demurrer tests only "the legal sufficiency of facts alleged in pleadings, not the strength of proof."
Coutlakis v. CSX Transp., Inc.
,
That said, we disregard allegations that "are inherently impossible, or contradicted by other facts pleaded."
Ames v. American Nat'l Bank
,
By definition, respondeat superior is wholly vicarious in nature,
see
Wintergreen Partners, Inc. v. McGuireWoods, LLP
,
Rule 5:17(c)(1)(iii) would not preclude us from addressing the issue under "the right-result-
different
-reason doctrine,"
Rickman v. Commonwealth
,
Because the circuit court did not rule against Parker on this ground, both parties are free to raise the issue on remand and, thereafter, on appeal from a final judgment.
This presumption shifts the burden of production to the employer to present facts sufficient to permit the factfinder to conclude that the employee was not acting within the scope of his employment at the time of his tortious conduct.
See
Majorana
, 260 Va. at 526,
Carilion has asserted this point inconsistently. During oral argument before this Court, Carilion argued that it is "the information left out" of Parker's complaint that caused her to lose the presumption that Davis and Young were acting within the scope of their employment. Oral Argument Audio at 18:32 to 18:36.
As Justice Koontz, the author of
Gina Chin
, pointed out in
Majorana
, which was issued the same day,
Gina Chin
addressed "the necessary elements of a cause of action for liability against an employer for the
willful and wrongful acts
of its employee premised upon the doctrine of respondeat superior."
Majorana
, 260 Va. at 526,
Plummer and Majorana represent close questions on the boundaries of the respondeat superior doctrine, as evidenced by the four to three split of opinion in Plummer and the five to two split of opinion in Majorana .
"If the employee
steps aside from the employer's business
to do acts
not connected with such business
, the relationship of master and servant is for the time suspended and the servant is not acting within the scope of his employment."
Cary v. Hotel Rueger, Inc.
,
The respondeat superior analysis is employee-specific. Even if the employer is not liable for the tortious acts of one employee, the employer may still be liable for the acts of another employee.
See
Roughton Pontiac Corp.
,
See generally
Restatement (Third) of Agency § 7.03(1) (stating that a principal is directly liable when "the agent acts with actual authority or the principal ratifies the agent's conduct");
This distinction between the duty of care and the standard of care explains the very existence of statutory rights of action. When a statute
creates a duty
of care
and sets the standard
by which a breach is measured, the statute no longer gives rise to a negligence per se claim but rather creates a right of action.
See, e.g.
,
Lafferty v. School Bd.
,
See, e.g.
,
Collett v. Cordovana
,
Parker has not asserted, nor do we address, a direct-liability theory of recovery based upon negligent hiring, which this Court has recognized.
See
Southeast Apts. Mgmt., Inc. v. Jackman
,
Given our holding, we need not decide whether any HIPAA provisions were enacted to protect public safety or whether any of the other necessary factors outlined in
Steward
,
See also
Costello,
supra
note 15, § 17.05[5], at 17-33 ("Although it does not create any new remedies,
I also note that as a practical matter, it will usually be difficult to rebut the presumption in a demurrer to a well-pleaded complaint because no evidence has been adduced then, the plaintiff's allegations are taken as true, and all reasonable inferences from them are drawn in favor of the plaintiff.
Coward v. Wellmont Health Sys.
,
Reference
- Full Case Name
- Lindsey PARKER v. CARILION CLINIC, Et Al.
- Cited By
- 28 cases
- Status
- Published