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Court of Appeals Ponders “Extreme and Outrageous” Conduct

Posted: June 13th, 2016

Published In: The Suffolk Lawyer

Patrick McCormick Appeals article

By Patrick McCormick

If it isn’t extreme and outrageous to film a trauma patient’s last minutes alive, the pronouncement of his death, and the family notification, then broadcast those intimate moments on national television in the name of entertainment, all without consent – then what is?

A recent decision from the New York State Court of Appeals leaves the legal community—and the family of that trauma patient—asking that very question.

In April 2011, Mark Chanko, 83, was struck by a sanitation truck as he crossed York Avenue to buy milk at a local deli.  He was still conscious and able to speak when he arrived at the emergency room of New York-Presbyterian Hospital/Weill Cornell Medical Center, but died within an hour.  Chief Surgery Resident Sebastian Schubl pronounced Mr. Chanko dead and notified his devastated family.

Unbeknownst to the Chankos, ABC News employees filming a medical documentary series, “NY Med,” had recorded Mr. Chanko’s treatment in the ER—including deeply personal moments such as moans of pain, asking if his wife knew what happened, and his actual death—as well as the family receiving the shattering news.

One evening over a year later, Mr. Chanko’s wife, Anita, turned on an episode of “NY Med.”   She recognized Dr. Schubl, then suddenly heard her husband’s voice.  The image was blurred and no name was used, but there was no doubt that she was witnessing her husband’s final moments.  Eventually she heard someone say, “Are you ready to pronounce him?”

Shocked by the fact that the worst night of their lives was televised to millions of people across the country without their knowledge, Mr. Chanko’s family filed complaints with the New York State Department of Health, the hospital, a hospital accrediting group, and the United States Department of Health and Human Services.  New York State eventually cited the hospital for violating Mr. Chanko’s privacy, and the family decided to commence a lawsuit against ABC, the hospital, and Dr. Schubl, among others.

The Supreme Court ultimately dismissed all but the causes of action for breach of physician-patient confidentiality against the hospital and Dr. Schubl and intentional infliction of emotional distress against those defendants and ABC.  The defendants appealed, and the Appellate Division dismissed the complaint in its entirety.  Chanko v. American Broadcasting Cos. Inc., 122 A.D.3d 487 (1st Dep’t 2014).  The Chankos were granted leave to appeal.

The Court of Appeals reinstated the breach of physician-patient privilege claim, determining that the plaintiffs had sufficiently alleged the elements for that cause of action, namely: “(1) the existence of a physician-patient relationship; (2) the physician’s acquisition of information relating to the patient’s treatment or diagnosis; (3) the disclosure of such confidential information to a person not connected with the patient’s medical treatment, in a manner that allows the patient to be identified; (4) lack of consent for that disclosure; and (5) damages.”  Chanko v. American Broadcasting Companies Inc., __ N.E.3d__ (2016).  The Court rejected the defendants’ argument that the disclosed medical information must be of an embarrassing nature to support such a cause of action.  The Court also rejected the argument that the blurring of Mr. Chanko’s face on screen and the fact that his name was not used warranted dismissal of the breach of confidentiality claim.  Not only had someone outside the family recognized Mr. Chanko on the episode, but sensitive medical information and the patient’s identity had been revealed to the ABC employees themselves throughout the filming and editing process.  The Court surmised that additional information would come out in discovery to either support or negate the plaintiffs’ claim, but that they had met their burden to defeat the motion to dismiss.

Things got murkier, however, when the Court turned to the intentional infliction of emotional distress claim.  The Court revisited the four elements of the cause of action: “(i) extreme and outrageous conduct; (ii) intent to cause, or disregard of a substantial probability of causing, severe emotional distress; (iii) a causal connection between the conduct and injury; and (iv) severe emotional distress.”  Chanko (2016), quoting Howell v. New York Post Co., 81 N.Y.2d 115, 121 (1993).  “‘Liability has been found,’” the Court warned, “‘only where the conduct has been so outrageous in character, and so extreme in degree, as to go beyond all possible bounds of decency, and to be regarded as atrocious, and utterly intolerable in a civilized community.’”  Id., quoting Howell, 81 N.Y.2d at 122.

The Court ultimately determined that while the plaintiffs’ allegations facially addressed all of the required elements of the claim, the allegations “do not rise to the level necessary to satisfy the outrageousness element.”  Id.  While the Court found the defendants’ conduct “offensive,” it was not “so atrocious and utterly intolerable” to support the claim.  Id.  The decision includes a highlight reel of conduct that the Court of Appeals and Appellate Divisions have deemed similarly not outrageous enough, such as a newspaper’s publication of a photo of a patient in a psychiatric facility (thus publicizing that person’s status as a patient there) and a TV station showing recognizable images of rape victims after repeatedly promising that they would not be identifiable.  Id.

This decision highlights what some may view as the dangers of an appellate court—in this case, New York’s highest—evaluating the facts on the merits, rather than considering only the sufficiency of a pleading (and leaving it to a trial judge or jury to sift through the facts).  The case also serves as a warning: if you’re ever headed to the emergency room, make sure to wear something you wouldn’t mind being photographed in.

CMM Partners All Achieve AV Preeminent® Ratings

Posted: June 7th, 2016

NRP_ 218_1Campolo, Middleton & McCormick, LLP, has announced that all four partners of the firm—Joe Campolo, Scott Middleton, Patrick McCormick, and Christine Malafi—have earned AV Preeminent ratings from Martindale-Hubbell®, the highest possible rating from the most recognized and trusted legal directory and resource for nearly 150 years.  The AV Preeminent rating recognizes attorneys for both ethical standards and legal ability, and is earned only after an extensive peer review and recommendation process that includes members of the bar and judiciary.  Frederick Eisenbud, Of Counsel to the firm and chair of the Environmental & Land Use practice group, also holds an AV Preeminent rating.

A peer named Campolo as “the first recommendation to my clients for business and commercial law issues,” while Middleton was recognized for being “an outstanding trial attorney” and “respected by the judiciary.”  A fellow lawyer shared that McCormick “would be my number one choice” for personal representation.  Malafi was praised for having an “exceptional legal mind” and ethical standards “beyond reproach.”

The partners of the firm all continue to shape Suffolk County’s legal and business landscape by serving on the boards of some of its most prestigious professional organizations.  In recognition of their legal skill and community involvement, they have won numerous awards in addition to achieving the AV Preeminent rating.  In 2016, Campolo was voted the Best Lawyer on Long Island for the second year in a row and Malafi was named a Top Woman in Law. Both Middleton and McCormick are recent recipients of LIBN Leadership in Law Awards and have been named New York Super Lawyers for several years running.

McCormick Elected to Suffolk County Bar Association Board of Directors

Posted: May 27th, 2016

Patrick McCormickCMM partner Patrick McCormick was installed as a member of the Board of Directors of the Suffolk County Bar Association at the 108th Installation Dinner Dance on Friday, June 3.  The gala event at the Cold Spring Country Club in Huntington celebrated the incoming officers and directors and honored those SCBA members who have made an indelible mark on the community over the past year.

McCormick chairs the Litigation & Appeals practice group at Campolo Middleton.  He has been named to New York Super Lawyers – Metro Edition for several years running and has also earned an AV Preeminent rating on Martindale Hubbell.

In addition to his new role at the SCBA, McCormick also serves as an Associate Dean and Officer of the SCBA’s Academy of Law and as Secretary of the Board of Directors of Developmental Disabilities Institute (DDI), a nonprofit organization serving over 1,500 children and adults with autism.  In recognition of his legal work and community involvement, he received an LIBN Leadership in Law Award in 2015.

Campolo, Middleton & McCormick Petitions U.S. Supreme Court in Fair Housing Act Case

Posted: May 26th, 2016

By: Lauren Kanter-Lawrence, Esq. email

Tags: ,

Supreme Court seal

Campolo, Middleton & McCormick, LLP, a premier law firm, has filed a petition with the United States Supreme Court on behalf of Safe Harbor Retreat, a residence in East Hampton, New York, for individuals in recovery from drug and alcohol addiction.  The May 18, 2016 petition asks the nation’s highest court to settle a split among the circuit courts as to when the denial of an applicant’s request for a reasonable accommodation under the Fair Housing Act becomes justiciable.

“The question presented by this case is of critical import to the millions of disabled Americans who are denied equal enjoyment and access to housing every day,” said Joe Campolo, lead counsel on the petition.  “While the chances of the Supreme Court granting certiorari in connection with any petition are notoriously slim, we have put forth very strong reasons for them to do so here.”

It is a rare and special opportunity for a law firm to file such a petition.  In addition to Campolo, the CMM team included Patrick McCormick, Fred Eisenbud, and Lauren Kanter-Lawrence.

Campolo, Middleton & McCormick is known for taking on the most difficult cases.  The firm spearheaded the legal challenge to the MTA payroll tax, a fight later joined by municipalities and legislators across the region; obtained the first civil judgment against sub-brokers of the Agape World Ponzi scheme, obtaining a multimillion dollar damage award; and represented an emerging medical device company in a complicated trade secret misappropriation case involving highly technical issues in the esteemed Delaware Court of Chancery.

The information contained in this article is provided for informational purposes only and is not and should not be construed as legal advice on any subject matter. The firm provides legal advice and other services only to persons or entities with which it has established an attorney-client relationship.

Malafi Joins Girl Scouts of Suffolk County Board of Directors

Posted: May 24th, 2016

Christine MalafiChristine Malafi, a partner at Campolo, Middleton & McCormick, LLP, Suffolk County’s premier law firm, has been sworn in as a member of the Board of Directors of Girl Scouts of Suffolk County (“GSSC”).  The preeminent leadership development organization for girls, GSSC serves more than 40,000 girls between the ages of 5 and 17.  As a board member, Malafi will work to further the organization’s mission to build girls of courage, confidence, and character.

In 2015, Malafi was involved in the implementation of GSSC’s new “Justice Patch” program, which was designed to help girls develop a sense of fairness and an understanding of the role of lawyers and judges in the community.  The Justice Patch program imparts knowledge to the county’s young citizens as to why laws exist and how they can be changed when they do not work.

Malafi, chair of the Corporate department at Campolo Middleton, focuses on mergers and acquisitions as well as insurance, municipal, and labor and employment matters.  She is a longtime volunteer for organizations dedicated to the personal and professional development of women and girls.  She is no stranger to GSSC, having been a Girl Scout herself in her youth.

“We are delighted to have Ms. Malafi join the Board of Directors,” said Yvonne Grant, President and CEO for Girl Scouts of Suffolk County. “I am confident that her enthusiasm and dedication to serving girls will align extremely well with the Girl Scout mission of building girls of courage, confidence and character.”

I Need an Estate Plan – Part Four

Posted: May 23rd, 2016

By: Martin Glass, Esq. email

Tags: ,

The first three parts of this series have been about the various advanced directives, i.e. Power of Attorney, Health Care Proxy, and Living Will.  These are all very important documents but they also become null and void upon your death.

That’s where your Last Will and Testament (the “Will”) comes in.  If you don’t write and execute a Will, New York has a default Will set up for you.  For those technical people, it’s mainly in the Estate Powers and Trusts Laws (“EPTL”) 4-1.1.  If you don’t like what the law says, you need to change it by properly drafting and executing a Will.

When you die with a Will, the person you named in the Will as your Executor needs to bring the Will to Surrogate’s Court to prove that it is in fact your valid Will and then gets designated by the Court as the appointed Executor.  This is called a probate proceeding.  He or she can then carry out your instructions in your Will with the Court’s backing and approval.  If there is no Will, then your spouse or any of your children can petition the Court through an administration proceeding to handle the gathering and distribution of your estate.  You have no say in who can or should petition the court.  The EPTL has a list of acceptable candidates including creditors and other interested parties.  So an Executor versus an Administrator is problem number one.

Problem number two is who actually gets your assets.  In a Will, you get to decide.  Typically most of my clients say first to their spouse and then to their kids.  If any of their kids predeceases them, then that child’s share goes to that child’s kids.  You can ensure that your kids or grandkids don’t get the assets too early by putting their share (or potential share) into a trust until a later age.  I tend to pick at least 25 years old.  My kids are in that age bracket and are just starting to show signs of fiscal maturity.

The EPTL has a different view of all this.  The statute says that if you have just a spouse, it all goes to him or her.  If you have children but no spouse, everything goes to them in equal shares, and they get it outright when they turn 18.  But, if you have a spouse and kids, then your spouse only gets the first $50,000 plus one-half of your estate.  The kids get the other half.  New York does not want to disinherit the children as a default provision.  You need to write a Will to do that!

Further, if the child is under 18, anyone can apply for legal guardianship of that child for that child’s property.  The surviving spouse is the legal guardian of that child’s person (i.e. health and welfare) but not of his or her property.  It takes another court proceeding to determine who will take on that role.  By putting in a Will that the property goes into a continuing trust until the child is 25, and you appoint a trustee of that trust, the problem is solved.  So we’ll call the how and when your children get your assets problem number three.

Problem number three gets even more problematic if one of your children has special needs and may need government assistance, or has creditor problems, or just has no idea how to hold on to his money.  The statutes do not take these things into account.  If your child is over 18 and has not had the need to have a guardian already appointed to her, she gets the asset outright and can do whatever she wants with it.  That means to pay off debts, pay back the government, or to just spend it all away.

The last problem (at least for this article) is what happens if you don’t want to give to your children equally.  Or, what if you don’t have children, but have nieces and nephews, some of whom you know and like, and some you don’t?  Well here’s another surprise.  The statute doesn’t care if you don’t like all of your children.  There’s no way to know because you didn’t tell anyone (in your Will!), so everybody gets an equal share.

And if you don’t have a spouse or children, the law says you now look up a generation.  That means your parents now inherit your estate.  If they’re not alive, then it will go down to your brothers and sisters, and then your nieces and nephews.  But all your siblings would get an equal share.  If any of them have predeceased you, then their children would get their parent’s share.  Again, probably not what you had in mind.

The bottom line is that if you don’t write a Will and put your wishes down on paper, New York State has a default Will ready and waiting for you.  But if you don’t like what it says, you need to change it.

The information contained in this article is provided for informational purposes only and is not and should not be construed as legal advice on any subject matter. The firm provides legal advice and other services only to persons or entities with which it has established an attorney-client relationship.

U.S. Department of Labor Announces Updates to Overtime Exemption Rule

Posted: May 23rd, 2016

On May 18, 2016, the United States Department of Labor released final updates to the Fair Labor Standards Act (FLSA), extending overtime eligibility to over 4.2 million workers.  The key change is to double the salary threshold – from $23,660 to $47,476 per year ($455 to $913 per week) – under which most salaried employees are now guaranteed overtime pay.  Employers should immediately begin preparing to comply with the updates by the effective date of December 1, 2016.

Previously, the FLSA’s salary threshold had been updated only once since the 1970s.  The change automatically entitles 35 percent of full-time salaried workers to overtime pay, based solely on salary.

The salary threshold will be automatically updated every three years beginning January 1, 2020, to counteract the prior rule’s effect of covering fewer workers each year as wages increased over time.

The new rule also increases the total annual compensation level above which highly compensated employees (“HCE”) are ineligible for overtime pay, from $100,000 to $134,004 a year.  Further, under the new rule, up to 10 percent of the salary threshold for non-HCE employees can be met by non-discretionary bonuses, incentive pay, or commissions, provided payments are made at least quarterly.

The “duties test,” which is used to determine whether white collar salaried workers earning more than the salary threshold are ineligible for overtime pay, remains unchanged.  However, fewer employers will need to apply this test due to the higher salary threshold; salary alone will provide a bright line answer as to more employees’ overtime eligibility.

Employers are advised to review their compensation and payroll policies without delay to ensure compliance by December 1, 2016.  Please contact us to discuss how the final rule will affect your organization and for compliance assistance.