Bhanusali v. Orange Reg'l Medical Ctr.

13-3426-cv Bhanusali v. Orange Reg’l Medical Ctr. 1 2 UNITED STATES COURT OF APPEALS 3 FOR THE SECOND CIRCUIT 4 5 SUMMARY ORDER 6 7 RULINGS BY SUMMARY ORDER DO NOT HAVE PRECEDENTIAL 8 EFFECT. CITATION TO A SUMMARY ORDER FILED ON OR AFTER 9 JANUARY 1, 2007 IS PERMITTED AND IS GOVERNED BY FEDERAL RULE 10 OF APPELLATE PROCEDURE 32.1 AND THIS COURT’S LOCAL RULE 11 32.1.1. WHEN CITING A SUMMARY ORDER IN A DOCUMENT FILED 12 WITH THIS COURT, A PARTY MUST CITE EITHER THE FEDERAL 13 APPENDIX OR AN ELECTRONIC DATABASE (WITH THE NOTATION 14 “SUMMARY ORDER”). A PARTY CITING TO A SUMMARY ORDER MUST 15 SERVE A COPY OF IT ON ANY PARTY NOT REPRESENTED BY COUNSEL. 16 17 At a stated term of the United States Court of Appeals for the Second 18 Circuit, held at the Thurgood Marshall United States Courthouse, 40 Foley 19 Square, in the City of New York, on the 16th day of July, two thousand fourteen. 20 21 PRESENT: GUIDO CALABRESI, 22 GERARD E. LYNCH, 23 RAYMOND J. LOHIER, JR., 24 Circuit Judges. 25 ------------------------------------------------------------------ 26 GOVINDLAL K. BHANUSALI, M.D., 27 GOVINDLAL K. BHANUSALI, M.D., PC, 28 29 Plaintiffs-Appellants, 30 31 v. No. 13-3426-cv 32 33 ORANGE REGIONAL MEDICAL CENTER, 34 domestic nonprofit organization, CRYSTAL RUN 35 HEALTHCARE LLP, BOARD OF DIRECTORS 36 OF THE ORANGE REGIONAL MEDICAL 37 CENTER, HAL D. TEITELBAUM, M.D., 38 individually and as Chief Executive Officer of 39 Crystal Run Health Care, SCOTT BATULIS, 40 individually and as President and Chief 41 Executive Officer of Orange Regional Medical 1 Center, GREGORY SPENCER, M.D., individually 2 and as Chairman of Staff and as Chairman of the 3 Medical Executive Committee at Orange Regional 4 Medical Center, GERARD J. GALARNEAU, 5 M.D., individually and as Chief of Staff at Orange 6 Regional Medical Center, JAMES E. OXLEY, D.O., 7 individually and as Vice President Medical 8 Affairs/Medical Director of Orange Regional 9 Medical Center, KEVIN TRAPP, M.D., 10 individually and as the Department Chair of 11 Orthopedics at Orange Regional Medical Center, 12 CHRISTOPHER INZERILLO, M.D., individually 13 and as the Vice Chair of the Orthopedics 14 Department at ORMC, LOU HEIMBACH aka 15 Lou Heimbach, M.D., 16 17 Defendants-Appellees. 18 ------------------------------------------------------------------ 19 20 FOR APPELLANTS: Seth Marcus, Leffler Marcus & McCaffrey LLC, 21 New York, NY. 22 23 FOR APPELLEES: Douglas P. Catalano, Neil G. Sparber, and 24 Samantha E. Beltre, Fulbright & Jaworski LLP, 25 New York, NY, for Orange Regional Medical 26 Center, Board of Directors of the Orange Regional 27 Medical Center, Lou Heimbach, Scott Batulis, 28 Gerard J. Galarneau, M.D., and James E. Oxley, 29 D.O. 30 31 Michelle E. Phillips and Michael L. Abitabilo, 32 Jackson Lewis P.C., White Plains, NY, for Crystal 33 Run Healthcare LLP, Hal D. Teitelbaum, M.D., 34 Christopher Inzerillo, M.D., Gregory Spencer, 35 M.D., and Kevin Trapp, M.D. 36  The Clerk of the Court is directed to amend the caption of this case as set forth above. 2 1 FOR AMICI CURIAE Andrew J. Schlafly, Esq., Far Hills, NJ. 2 ASSOCIATION OF 3 AMERICAN 4 PHYSICIANS AND 5 AMERICAN 6 ASSOCIATION OF 7 PHYSICIANS OF 8 INDIAN ORIGIN: 9 Appeal from a judgment of the United States District Court for the 10 Southern District of New York (Cathy Seibel, Judge). 11 UPON DUE CONSIDERATION, IT IS HEREBY ORDERED, ADJUDGED, 12 AND DECREED that the judgment of the District Court is AFFIRMED in part 13 and VACATED and REMANDED in part. 14 Plaintiffs-appellants Govindlal K. Bhanusali, an Asian Indian-American 15 orthopedic surgeon, and Govindlal K. Bhanusali, M.D., P.C. (collectively, 16 “Bhanusali”) allege that Orange Regional Medical Center, Crystal Run Health 17 Care LLP, and various individual doctors affiliated with those entities 18 (collectively, “defendants”) conspired in a “sham peer review” to deny Bhanusali 19 promotion, advancement opportunities, medical privileges, and clinical 20 contracts. On appeal Bhanusali argues that the District Court erred in granting 21 defendants’ motion to dismiss his antitrust and employment discrimination 22 claims. We assume the parties’ familiarity with the facts and record of the prior 23 proceedings, to which we refer only as necessary to explain our decision to 24 affirm in part and vacate and remand in part. 25 Bhanusali first argues that he adequately pled an “antitrust injury” as 26 required to establish antitrust standing. Assuming arguendo without deciding 27 that Bhanusali has antitrust standing under § 1 of the Sherman Act, we agree 28 with the District Court’s determination that his allegations of harm to the 29 marketplace and the existence of defendants’ conspiracy to engage in an 3 1 “unlawful group boycott” are conclusory and implausible. 2 However, the District Court did err in dismissing Bhanusali’s claims of 3 discrimination at the motion to dismiss stage. Bhanusali alleged that he received 4 peer reviews or was disciplined for surgeries that resulted in neither patient 5 complaints nor negative patient outcomes. In comparison, he alleged that 6 younger, white physicians at the same medical facility who engaged in conduct 7 that caused significantly worse outcomes for patients, including death, avoided 8 any peer review or discipline. On a motion to dismiss, drawing all reasonable 9 inferences in Bhanusali’s favor, we conclude that these allegations suffice to 10 plausibly support an inference of discrimination. 11 We have considered Bhanusali’s remaining arguments and conclude that 12 they are without merit. For the foregoing reasons, the judgment of the District 13 Court is AFFIRMED in part and VACATED and REMANDED in part. 14 15 FOR THE COURT: 16 Catherine O=Hagan Wolfe, Clerk of Court 17 18 19 4