Owen & Galloway, L.L.C. v. Smart Corp., et al.


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Docket Number: 2004-CA-00277-SCT

Supreme Court: Opinion Link
Opinion Date: 03-24-2005
Opinion Author: Easley, J.
Holding: Affirmed

Additional Case Information: Topic: Contract - Standing - Real party in interest - M.R.C.P. 17(a)
Judge(s) Concurring: Smith, C.J., Carlson and Graves, JJ.
Non Participating Judge(s): Diaz, Dickinson and Randolph, JJ.
Concurs in Result Only: Waller and Cobb, P.JJ.
Procedural History: Summary Judgment
Nature of the Case: CIVIL - CONTRACT

Trial Court: Date of Trial Judgment: 01-30-2004
Appealed from: Harrison County Circuit Court
Judge: Jerry O. Terry, Sr.
Disposition: Granted summary judgment against Owen & Galloway for lack of standing.
Case Number: A2401-2001-453

  Party Name: Attorney Name:  
Appellant: Owen & Galloway, L.L.C.




JOE SAM OWEN CHARLES OTIS LEE



 

Appellee: Smart Corporation, Gulf Coast Community Hospital, Inc. and Hancock Medical Center MICHAEL B. WALLACE RICHARD B. TUBERTINI HOLLY TRUDELL HENRY JOHN GUTIERREZ BETH LEVINE ORLANSKY WILLIAM H. LEECH RONALD J. ARTIGUES, JR. JEANNE WILLIAMS BAXTER  

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Topic: Contract - Standing - Real party in interest - M.R.C.P. 17(a)

Summary of the Facts: Owen & Galloway, LLC, a law firm in Gulfport, filed a lawsuit against Smart Corporation, Gulf Coast Community Hospital, Inc., and Hancock Medical Center1 alleging that they violated Mississippi anti-trust statutes, that excessive and inconsistent fees were charged by Smart with knowledge of the other two defendants which constitutes fraud, and that the contract between Smart Corporation and Hancock Medical Center violated public policy. Owen & Galloway sought a declaratory judgment, injunctive relief, attorney’s fees, costs, actual damages in the amount of $10 million, and punitive damages in the amount of $15 million. The defendants filed motions for summary judgment, and Owen & Galloway filed a cross-motion for summary judgment. The court granted the motions for summary judgment for all three defendants and denied Owen & Galloway’s cross-motion for summary judgment. Owen & Galloway appeals.

Summary of Opinion Analysis: Owen & Galloway argues that the court erred in finding that it lacked standing to assert the claims presented. It argues that the firm is the direct purchaser of the medical records from Smart and that a Smart representative admitted that the company charged extra retrieval fees to the firm for medical record requests and invoiced the firm with the expectation that the firm was solely responsible for paying the charges. Gulf Coast Community Hospital, Inc. and Hancock Medical Center are hospitals from whom Owen & Galloway requested medical records on behalf of its clients, both actual and potential. Smart Corporation is the corporation that contracted with the hospitals to provide medical record copying services. An attorney is merely an agent for his or her client that seeks to obtain a copy of his or her medical records and nothing more. Without the authorization from a patient/client, an attorney or law firm would have no independent right to request a person’s medical records. Further, the transaction involved is only between the patient and Smart. M.R.C.P. 17(a) requires that only parties in interest may sue. The right to obtain medical records belonged to the patient/client and not to the law firm handling any potential legal claim for the client. Therefore, the court was correct in finding that Owen & Galloway lacked standing in this case.


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