Appeals Court Rules that Parents are Bound by Son’s Arbitration Agreement in Wrongful Death Claim

In recent news, a Los Angeles skilled nursing facility run by Silverscreen Healthcare was sued for wrongful death by the parents of a resident who died while in their care.

The Case: Holland v. Silverscreen Healthcare, Inc.

The Court: California Court of Appeals, Second District, Second Division

The Case No.: B323237

The Plaintiff: Holland v. Silverscreen Healthcare, Inc.

The plaintiffs in the case, Holland, originally filed for survivor claims and a wrongful death claim in the Superior Court of Los Angeles County, alleging dependent adult abuse and negligence on behalf of their deceased son, Skyler. Silverscreen Healthcare, Inc. (dba Asistencia skilled nursing facility) moved to compel arbitration of the entire complaint, arguing there was an arbitration agreement between Skyler and Asistencia. The trial court granted Asistencia's motion for the survivor claims. However, they denied the motion for the wrongful death cause of action, stating that the parents did not have an enforceable arbitration agreement with Asistencia (relying heavily on Avila v. Southern California Specialty Care, Inc. (2018) 20 Cal. App.5th 835 (Avila)).

The Defendants: Holland v. Silverscreen Healthcare, Inc.

The defendant, Silverscreen Healthcare, Inc. (dba Asistencia), filed for appeal. arguing Ruiz v. Podolsky (2010) 50 Cal.4th 838 (Ruiz) sets a precedent and that the parents are bound by the arbitration agreement signed by their son, so the parents' wrongful death claim is also subject to arbitration. The appeals court agreed with Asistencia and found that under Ruiz and Code of Civil Procedure Section 1295, the parents' wrongful death claim must go to arbitration along with Skyler's survivor claims.

Do Medical Arbitration Agreements Apply to Wrongful Death Claims?

Ruiz addressed the following issue: "[W]hen a person seeking medical care contracts with a health care provider to resolve all medical malpractice claims through arbitration, does that agreement apply to the resolution of wrongful death claims when the claimants are not themselves signatory to the arbitration agreement?" (Ruiz, supra, 50 Cal.4th at p. 841.) In seeking an answer, Ruiz focused on the legal intent behind Section 1295 (part of the Medical Injury Compensation Reform Act of 1975 (MICRA). MICRA's goal of reducing costs in the resolution of malpractice claims encourages arbitration of medical malpractice disputes, stating, "...all medical malpractice claims, including wrongful death claims, may be subject to arbitration agreements between a health care provider and the patient." (Ruiz, supra, 50 Cal.4th at p. 841; see also id. at p. 843).

The Case: Holland v. Silverscreen Healthcare, Inc.

After Skyler's death on October 29, 2020, his parents filed a lawsuit alleging four causes of action against Asistencia: dependent adult abuse, negligence, violation of resident's rights, and wrongful death. The first three causes of action are survivor claims (Skyler's claims) brought by his mother, Holland. Holland filed survivor claims in her capacity as Skyler's successor in interest. Holland and Wayne bring the fourth cause of action for wrongful death as individuals. Silverscreen Healthcare, Inc. filed an appeal after the Superior Court of Los Angeles County (No. 22STCV01945) found that the parents did not have an enforceable arbitration agreement with Asistencia. On appeal, Michelle Williams Court, Judge, reversed the decision and remanded with directions.

If you have questions about how to file a California wrongful death lawsuit, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw L.L.P. Experienced wrongful death attorneys are ready to assist you in various law firm offices in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.