Orlando Medical Malpractice Lawyers Report-Hospitals are not obligated to require Malpractice Insurance of Staff Doctors
As Orlando medical malpractice lawyers we are disappointed with the Florida Supreme Court's ruling, holding that hospitals cannot be held liable in medical malpractice cases for failing to ensure doctors with staff privileges meet state financial responsibility requirements. The unanimous ruling disapproved of decisions by three district courts of appeal on that issue. In doing so, the Court adopted the position of the Fourth District Court of Appeal.
Previously, courts had interpreted the financial responsibility law to hold hospitals accountable for staff doctors who failed to obtain the necessary medical malpractice insurance or otherwise satisfy his or her minimum financial obligations. However, Justice Barbara Pariente writing for the Court held that the state law requiring doctors to establish financial responsibility as a condition of staff privileges does not create a duty on the part of the hospitals to enforce that mandate.
Instead, it's up to physicians to comply or else face sanctions including possible license revocation, she wrote. Also, insurance companies must notify the state if a doctor's policy is canceled or not renewed.
This is truly a sad day for Florida medical malpractice victims. As a practical matter if hospitals have no responsibility to ensure staff doctors comply with financial responsibility laws to obtain or keep staff privileges, there is no one looking out for hospital patients. This decision overturns the well-reasoned opinion of the Fifth District Court of Appeal that found the obvious intent of the Legislature to permit injured parties to collect at least $250,000 from hospitals that fail to enforce the requirement.
The case of Stuart and Lena Horowitz against Plantation General Hospital for medical malpractice included a $859,200 against Dr. Derek V. Jhagroo, failed attempts to collect that judgment because he left the United States, had no property here and no medical malpractice insurance. Without the ability to at least hold the hospital liable for the $250,000 minimum required to obtain or hold staff privileges, the plaintiffs will likely recover nothing for their losses.


