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I'm not sure what effect Tort reform would have on this case. The term "tort reform" (TR) refers to attempts to alter the current civil judicial recovery system. If you go through the different types of TR, I don't think any really effect the suit your mom's friend's husband has.
The primary component of TR is a cap on non-economic damages. These are often referred to as pain and suffering damages. Other than Colorado, I don't know of any TR which limits economic damages (which are money lost due to the malpractice).
Since this woman was a brilliant physicist with a prestigious job at Los Alamos (or an offer to begin work there), her income and her expected future income (which I would expect to be in excess of $100,000 per year) would not be limited by TR. Also any additional medical costs that were incurred after the birth would be recoverable. Also the cost for home care for the infant now that the father either has to work or obtain help to replace the mother is recoverable. Assuming the woman was in her 30s-early 40s, this case should easily be worth 5-6 million in economic damages alone, and possibly more. Whether or not there is insurance or assets available for that judgment is another issue.
The TR damage cap would limit the non-economic damages. These pain and suffering awards are difficult to predict or evaluate. What is the pain and suffering for losing a mother or a wife worth? Historically, jury awards for these damages have been VERY varied. Some juries do not give a tremendous amount of money for these losses. I once had a jury award $40,000 for pain and suffering to the parents of a still born infant when there was clear negligence by the hospital. This jury felt that the pain and suffering for losing a child was worth $40,000. I thought it was a little low, but thats what the jury held. I have seen cases at both extremes. We once had a clear malpractice case result in a $1 award of pain and suffering and I have seen awards in the millions. Most fall in between these extremes.
We had a similar case last year in San Fran where the jury awarded the spouse and children $150,000 in non-economic damages (they have a $250,000 cap there, but the jury never reached the cap). (juries don't even know about the cap, unless, as is often the case, a lawyer or an insurance worker is on the jury).
What your post seems to be very upset at is the hospital's alleged negligence for not telling the mother or her spouse about the doctor's history of negligence. I know of no TR which will in any way limit this type of suit. There are certainly factual and legal issues present. Usually the hospital's don't employ the OB-GYNs that perform non-emergent deliveries. If this doctor was sought out on the patient's own and she had admitting privileges at the hospital, I don't see why the hospital should have any obligations to notify the patients of their own doctor's history. If the hospital didn't set the patient up with the doctor, it seems that the choice was the patient's.
If the patient went in for an emergency procedure an a hospital attending OB-GYN performed the procedure, there may be a claim for negligent credentialing, but that is fairly difficult as well.
There certainly may have been malpractice on the part of a hospital employee, and I'm sure the spouse's lawyer will look at the nursing records, the fetal monitoring strips and the delivery notes to determine what was done wrong.
I just don't think any state TR or the proposed federal TR would in any way effect this type of claim.
There are HUGE problems with TR, mostly taking the valuation out of the hands of a jury and placing it in the hands of the legislature. Some think a constitutional amendment is needed to do this. I disagree and think some TR is needed to keep doctors in practice. If it costs $500,000 annually to buy malpractice insurance and you only take in $600,000, and you have $100,000 in overhead (rent, employee salaries and benefits, supplies) why would anyone want to work for free. We need to control insurance premiums, and TR has proven to work in California and Colorado. It is looking like insurance costs are lower in Texas since last year's TR, but its too soon to tell there.
Anyway, I think TR is needed to some degree, but I don't think even the most extreme TR would hurt your mom's friend. I am sorry for their loss and I hope that the lawsuit offers them some measure of closure and comfort.
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