Nogales vs. Capitol Medical Center Carpio, J.:G.R. No. 142625, Dec.

19, 2006 | 511 SCRA 204 FACTS: Pregnant with her fourth child, Corazon Nogales ("Corazon"), who was then 37 years old, was under the exclusive prenatal care of Dr. Oscar Estrada ("Dr. Estrada") beginning on her fourth month of pregnancy or as early as December 1975. While Corazon was on her last trimester of pregnancy, Dr. Estrada noted an increase in her blood pressure and development of leg edema5 indicating preeclampsia, which is a dangerous complication of pregnancy. Around midnight of 25 May 1976, Corazon started to experie nce mild labor painsprompting Corazon and Rogelio Nogales ("Spouses Nogales") to see Dr. Estrada at his home. After examining Corazon, Dr. Estrada advised her immediate admission to the Capitol Medical Center ("CMC"). On 26 May 1976, Corazon was admitted at 2:30 a.m. at the CMC after the staff nurse noted the written admission request8 of Dr. Estrada. Upon Corazon's admission at the CMC, Rogelio Nogales ("Rogelio") executed and signed the "Consent on Admission Agreement and Admission Agreement. Corazon was then bought to the labor room of the CMC. Dr. Rosa Uy ("Dr. Uy"), who was then a resident physician of CMC, conducted an internal examination of Corazon. Dr. Uy then called up Dr. Estrada to notify him of her findings. Based on the Doctor's Order Sheet, around 3:00 a.m., Dr. Estrada ordered for 10 mg.of valium to be administered immediately by intramuscular injection. Dr. Estrada later ordered the start of intravenous administration of syntocinon admixed with dextrose,5%, in lactated Ringers' solution, at the rate of eight to ten micro-drops per minute. According to the Nurse's Observation Notes, Dr. Joel Enriquez ("Dr. Enriquez"), an anesthesiologist at CMC, was notified at 4:15 a.m. of Corazon's admission. Subsequently, when asked if he needed the services of an anesthesiologist, Dr. Estrada refused. Despite Dr. Estrada's refusal, Dr. Enriquez stayed to observe Corazons condition. At 6:00 a.m., Corazon was transferred to Delivery Room No. 1 of the CMC. At 6:10a.m., Corazon's bag of water ruptured spontaneously. At 6:12 a.m., Corazon's cervix was fully dilated. At 6:13 a.m., Corazon started to experience convulsions. At 6:15 a.m., Dr. Estrada ordered the injection of ten grams of magnesium sulfate. However, Dr. Ely Villaflor ("Dr. Villaflor"), who was assisting

Dr. Estrada, administered only 2.5 grams of magnesium sulphate. At 6:22 a.m. Dr. Estrada, assisted by Dr. Villaflor, applied low forceps to extract Corazon's baby. In the process, a 1.0 x 2.5 cm. piece of cervical tissue was allegedly torn. The baby came out in an apnic, cyanotic, weak and injured condition. Consequently, the baby had to be intubated and resuscitated by Dr. Enriquez and Dr. Payumo. At 6:27 a.m., Corazon began to manifest moderate vaginal ble eding which rapidly became profuse. Corazon's blood pressure dropped from 130/80 to 60/40 within five minutes. There was continuous profuse vaginal bleeding. The assisting nurse administered hemacel through a gauge 19 needle as a side drip to the ongoing intravenous injection of dextrose. At 7:45 a.m., Dr. Estrada ordered blood typing and cross matching with bottled blood. Ittook approximately 30 minutes for the CMC laboratory, headed by Dr. Perpetua Lacson("Dr. Lacson"), to comply with Dr. Estrada's order and deliver the blood. At 8:00 a.m., Dr. Noe Espinola ("Dr. Espinola"), head of the ObstetricsGynecology Department of the CMC, was apprised of Corazon's condition by telephone. Upon being informed that Corazon was bleeding profusely, Dr. Espinola ordered immediate hysterectomy. Rogelio was made to sign a "Consent to Operation."13 Due to the inclement weather then, Dr. Espinola, who was fetched from his residence by an ambulance, arrived at the CMC about an hour later or at 9:00 a.m. He examined the patient and ordered some resuscitative measures to be administered. Despite Dr.Espinola's efforts, Corazon died at 9:15 a.m. The cause of death was "hemorrhage, postpartum."14 On 14 May 1980, petitioners filed a complaint for damages15 with the Regional TrialCourt16 of Manila against CMC, Dr. Estrada, Dr. Villaflor, Dr. Uy, Dr. Enriquez, Dr.Lacson, Dr. Espinola, and a certain Nurse J. Dumlao for the death of Corazon. Petitioners mainly contended that defendant physicians and CMC personnel were negligent in the treatment and management of Corazon's condition. Petitioners charged CMC with negligence in the selection and supervision of defendant physicians and hospital staff. ISSUES & ARGUMENTS W/N CMC should be held liable HOLDING & RATIO DECIDENDI YES The mere fact that a hospital permitted a physician to practice medicine and use its facilities is not sufficient to render the hospital liable for the negligence of a physician who is an independent contractor

o There is no proof that defendant physician was an employee of defendant hospital or that the latter had reason to know that any acts of malpractice would take place B o r r o w e d S e r v a n t D o c t r i n e once the surgeon enters the operating room and takes charge of the proceedings, the acts or omissions of operating room personnel, and any negligence associated with such acts or omissions, are imputable to the surgeon. o While the assisting physicians and nurses may be empl oyed by thehospital, or engaged by the patient, they normally become the temporary servants or agents of the surgeon in charge while the operation is in progress, and liability may be imposed upon the surgeon for their negligent acts under the doctrine of respondeat superior A hospital is the employer, master, or principal of a physician employee, servant, or agent, and may be held liable for the physicians negligence While "consultants" are not, technically employees, a point which respondent hospital asserts in denying all responsibility for the patient's condition, the control exercised, the hiring, and the right to terminate consultants all fulfill the important hallmarks of an employer-employee relationship, with the exception of the payment of wages. O In assessing whether such a relationship in fact exists, the c o n t r o l t e s t is determining. Accordingly, on the basis of the foregoing, we rule that for the purpose of allocating responsibility in medical negligence cases, an employer-employee relationship in effect exists between hospitals and their attending and visiting physicians. After a thorough examination of the voluminous records of this case, the Court finds no single evidence pointing to CMC's exercise of control over Dr.Estrada's treatment and management of Corazon's condition. o It is undisputed that throughout Corazon's pregnancy, she was under the exclusive prenatal care of Dr. Estrada. At the time of Corazon's admission at CMC and during her delivery, it was Dr. Estrada, assisted by Dr. Villaflor, who attended to Corazon. o There was no showing that CMC had a part in diagnosing Corazon's condition. o While Dr. Estrada enjoyed staff privileges at CMC, such fact alone did not make him an employee of CMC.42 CMC merely allowed Dr.Estrada to use its facilities43 when Corazon was about to give birth, which CMC considered an emergency. Considering thesecircumstances, Dr. Estrada is not an employee of CMC, but an independent contractor . Question now is whether CMC is automatically exempt from liability considering that Dr. Estrada is an independent contractor-physician. o General Rule: Hospital is NOT liable for the negligence of an independent contractor-physician

o Exception: Doctrine of Apparent Authority (DAA) - a hospital can be held vicariously liable for the negligent acts of a physician providing care at the hospital, regardless of whether the physician is an independent contractor, unless the patient knows, or should have known, that the physician is an independent contractor. Elements: Hospital, or its agent, acted in a manner that would lead a reasonable person to conclude that the individual who was alleged to be negligent was an employee or agent of the hospital Where the acts of the agent create the appear ance of authority, the plaintiff must also prove that the hospital had knowledge of and acquiesced in them ;and The plaintiff acted in reliance upon the conduct of the hospital or its agent, consistent with ordinary care and prudence o 2 Factors to determine liability of an independent contractor-physician: Hospitals manifestations Inquiry whether the hospital acted in a manner which would lead a reasonable person to conclude that the individual who was alleged to be negligent was an employee or agent of the hospital Patients reliance Inquiry on whether the plaintiff acted in reliance upon the conduct of the hospital or its agent, consistent with ordinary care and prudence o Circumstances of the cases showing application of DAA: CMC granted Dr. Estrada staff privileges Consent forms were printed on CMC letterhead Dr. Estradas referral of Corazons case with other physicians of CMC gave the impression that he, as a member of the CMCs medical staff, was collaborating with other CMC-employed specialists Spouses Nogales took Dr. Estrada as their physician inconsideration of his connection with a reputable hospital(CMC) Played a significant role in the Spouses decision WHEREFORE, CMC is found liable to pay the corresponding damages