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This summary was computer-generated without any editorial revision. It is not official, has not been checked for accuracy, and is NOT citable.

Facts

  • The family of Harold Elless, Jr., deceased, filed a medical malpractice and wrongful death complaint against Dr. Jocelyn Ramoso and her employer, Artesia General Hospital (AGH), alleging negligence in the decedent's care. AGH denied the allegations of negligence but later filed a third-party complaint for indemnification against Dr. Ramoso, seeking to recover any damages it might be required to pay as a result of her alleged negligence. The underlying lawsuit was settled, and AGH amended its third-party complaint to reflect this settlement and remove its denials of negligence (paras 2-7).

Procedural History

  • District Court of Eddy County, July 31, 2008: AGH filed an original third-party complaint for indemnification against Dr. Ramoso (para 5).
  • District Court of Eddy County, May 18, 2009: AGH filed an amended third-party complaint for indemnification against Dr. Ramoso (para 7).
  • District Court of Eddy County, January 26, 2010: Dr. Ramoso's first motion to dismiss the amended complaint was denied (para 8).
  • District Court of Eddy County, Date (N/A): Dr. Ramoso's motion for summary judgment was denied due to genuine issues of material fact (para 9).
  • District Court of Eddy County, Date (N/A): Dr. Ramoso's second motion to dismiss was granted, leading to AGH's appeal (para 10).

Parties' Submissions

  • AGH: Argued that the district court erred by concluding the third-party complaint failed to state a claim for indemnification against Dr. Ramoso, was barred under the Medical Malpractice Act’s statute of repose, and that equitable estoppel barred AGH from pursuing indemnification due to previous denials of negligence (para 1).
  • Dr. Ramoso: Contended that AGH's amended third-party complaint was effectively a new complaint subject to the Medical Malpractice Act’s three-year statute of repose, and thus untimely. Also argued that the contractual indemnity provision in her employment contract prevented AGH from pursuing common law indemnification claims against her (paras 8-9).

Legal Issues

  • Whether AGH's third-party complaint for indemnification against Dr. Ramoso stated a claim upon which relief could be granted.
  • Whether AGH's amended third-party complaint was barred by the Medical Malpractice Act’s statute of repose.
  • Whether the contractual indemnification provision between AGH and Dr. Ramoso prevented AGH from seeking equitable indemnification.
  • Whether equitable estoppel barred AGH from pursuing indemnification against Dr. Ramoso due to its previous denials of her negligence (para 1).

Disposition

  • The Court of Appeals reversed the district court’s order granting Dr. Ramoso’s motion to dismiss AGH’s third-party complaint for indemnification (para 24).

Reasons

  • The Court of Appeals, with Judge Cynthia A. Fry writing, concurred by Judges Timothy L. Garcia and M. Monica Zamora, found that AGH sufficiently stated a claim for equitable indemnification and that the amended third-party complaint related back to the original filing. The Court disagreed with the district court's application of the Medical Malpractice Act’s statute of repose to the amended complaint and found no basis for applying equitable estoppel against AGH. The Court emphasized that the purpose of a motion to dismiss is to test the legal sufficiency of the claim, not the facts supporting it, and concluded that AGH's claims for indemnification were not barred by the statute of repose or by equitable estoppel. The Court also noted that the district court erred in adopting findings of fact and conclusions of law when granting a motion to dismiss, as this is inconsistent with the premise of such a motion (paras 11-23).
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