C.R. v. Tenet Healthcare Corp. (Summary)

LIABILITY/CORPORATE NEGLIGENCE

C.R. v. Tenet Healthcare Corp., No. B201220 (Cal. Ct. App. Jan. 5, 2009)

The California Court of Appeal for the Second District reversed a lower court’s dismissal of a patient’s claim that a health care corporation that was the parent corporation of a medical center could be held liable for sexual harassment as well as negligence in the hiring, supervision and retention of the employee who allegedly sexually harassed her while she was employed by the medical center. In determining that the parent corporation could not be held liable for the allegations, the trial court had "judicially noticed" three hospital operating licenses stating that the medical center was operated by a separate joint venture entity, none of which were named. On appeal, the court found that the licenses could not be used to conclusively negate the former employee’s allegations that the corporation directly or indirectly employed a nursing assistant who sexually harassed her. The court also held that the complaint contained sufficient allegations that the corporation and the medical center had ratified the alleged misconduct by continuing to employ the nurse, even with knowledge of the fact that sexual misconduct had occurred.