Radvany v. Davis

Present:   All the Justices

DONALD W. RADVANY

v.   Record No. 002499        OPINION BY JUSTICE ELIZABETH B. LACY
                                        September 14, 2001
JEAN T. DAVIS

           FROM THE CIRCUIT COURT OF CHESTERFIELD COUNTY
                      Michael C. Allen, Judge

       Donald W. Radvany seeks reversal of a trial court

judgment entered on a jury verdict awarding Jean T. Davis

$65,000 in damages for injuries she suffered as a result of

Radvany's negligence.    For the following reasons, we conclude

that the trial court did not err in refusing to allow the

introduction into evidence of the payment accepted by health

care providers for the medical services rendered to Davis and

did not err in instructing the jury on the aggravation of a

preexisting condition.

                         I.    Medical Bills

      Davis' medical bills showed that the health care

providers billed her $19,219.64 for the medical services

rendered to her.    The bills also showed the amount accepted by

the health care providers as payment in full, $7,819.99.     The

trial court held that, "under the Supreme Court decision of

Acuar v. Letournea[u] [260 Va. 180, 531 S.E.2d 316 (2000)] and

other authorities," Radvany could not introduce into evidence

the amounts paid by Davis' medical insurance carrier and
accepted by the health care providers as payment in full for

the medical services rendered to Davis.

     Radvany asserts that this ruling is erroneous because

Acuar only addressed whether amounts "written off" by health

care providers could be claimed as damages and did not rule on

whether the amounts accepted by health care providers as

payment in full for medical care rendered were evidence of the

reasonable value of the services.    We disagree.

     In Acuar, applying the collateral source rule, we held

that a tortfeasor may not deduct from the full compensation

owed an injured party any part of the benefits the injured

party received from his contractual arrangement with his

health insurance carrier.   Those benefits included not only

the amounts written off by the health care provider but also

the actual payments made by the health insurance carrier.

     Those amounts written off are as much of a benefit
     for which Letourneau paid consideration as are the
     actual cash payments made by his health insurance
     carrier to the health care providers.

260 Va. at 192, 531 S.E.2d at 322.   Payments made to a medical

provider by an insurance carrier on behalf of an insured and

amounts accepted by medical providers are one and the same.

Regardless of the label used, they are payments made by a

collateral source and, thus, are not admissible in evidence

for that reason.



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     Furthermore, such amounts are not evidence of whether the

medical bills are "reasonable, i.e., not excessive in amount,

considering the prevailing cost of such services."      McMunn v.

Tatum, 237 Va. 558, 568, 379 S.E.2d 908, 913 (1989).        The

amounts accepted by Davis' health care providers represent

amounts agreed upon pursuant to contractual negotiations

undertaken in conjunction with Davis' health insurance policy.

Such negotiated amounts, presumably inuring to the benefit of

the medical providers, the insurance carrier, and Davis, do

not reflect the "prevailing cost" of those services to other

patients.

     Accordingly, the trial court did not err in ruling that

Radvany could not introduce into evidence the amounts accepted

by the medical service providers as payment in full for the

medical services rendered Davis.

            II.    Aggravation of a Preexisting Condition

     Radvany also claims that there was no evidence to support

a jury instruction on the aggravation of a preexisting

condition and that the trial court erred in giving that

instruction.      Again, we disagree with Radvany.

     Davis testified that she experienced pain in her right

shoulder approximately three months after the accident and

that she did not recall having any pain or problems with her

shoulder prior to that time.     Her treating physician, Dr. Mark

E. deBlois, testified that Davis' rotator cuff was injured,
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that the accident caused the tear in Davis' rotator cuff, and

that the injury required surgery.     Dr. deBlois also testified

that Davis had a bone spur on her shoulder joint, which he

described as a calcium growth associated with degenerative

changes in the shoulder joint.

     Radvany's expert witness, Dr. John Meyers, disagreed,

asserting that the injury was the result of degenerative

changes that would have occurred regardless of the accident.

Meyers also testified that 75% of people Davis' age have

rotator cuff tears and that many of such conditions are

asymptomatic.    In response to a question by Davis' counsel,

Meyers stated that the tear in Davis' rotator cuff "may have"

developed prior to the accident.

     Both experts testified that Davis had a condition which

could have pre-dated the accident, a degenerative shoulder

joint and a rotator cuff tear.    Dr. Meyers' testimony

supported the inference that the torn rotator cuff could have

been asymptomatic prior to the accident.    Davis testified she

had no shoulder pain until after the accident.    This evidence

was "more than a scintilla" and thus was sufficient to support

a jury instruction on the aggravation of a preexisting

condition.     Rosen v. Greifenberger, 257 Va. 373, 380, 513

S.E.2d 861, 865 (1999).

     For these reasons, we will affirm the judgment of the

trial court.
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    Affirmed.




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