Carter v. SSC Odin Operating Co.
Annotate this CaseGott was a resident of Odin Healthcare where she died, on January 31, 2006. Her estate brought a survival action under the Nursing Home Care Act and the Wrongful Death Act, claiming that as a result of violations of the Nursing Home Care Act, Gott sustained gastrointestinal bleeding, anemia, and respiratory failure. The wrongful-death claim sought damages for injuries sustained by her heirs. Odin sought to compel arbitration based on agreements signed by Gott and by her “legal representative.” The trial court refused to compel arbitration, viewing the agreement as unenforceable for lack of mutuality and as contrary to public policy. The court held that the wrongful-death claim was not arbitrable and that the Federal Arbitration Act was inapplicable. On remand, the appellate court accepted applicability of the Federal Arbitration Act but still affirmed. The Supreme Court reversed in part. Arbitration can be compelled on Survival Act claims, alleging Nursing Home Care Act violations and seeking damages for injuries sustained by Gott while alive. However, the wrongful-death claim did not accrue until Gott died, and benefits obtained under it are payable to the next of kin rather than to her estate. No previously signed arbitration agreement is applicable to this claim.
Court Description:
Joyce Gott was a resident of defendant Odin Healthcare Center for two months in 2005 and again in early 2006. She died there on January 31, 2006. The special administrator of her estate, the plaintiff here, filed a complaint in the circuit court of Marion County, stating a survival action under the Nursing Home Care Act and seeking damages under the Wrongful Death Act. It was alleged that as a result of the defendant’s violations of the Nursing Home Care Act, personal injuries had been sustained in the form of gastrointestinal bleeding, anemia, and respiratory failure. The wrongful- death claim sought damages for injuries sustained by the decedent’s heirs. Defendant nursing home sought to compel arbitration based on agreements signed by the decedent and by the plaintiff as her “legal representative.” The trial court, however, refused to compel arbitration. It viewed the agreement as unenforceable for lack of mutuality and as contrary to Illinois public policy. It also said that the wrongful-death claim was not arbitrable and did not view the Federal Arbitration Act as applicable.
In defendant nursing home’s first appeal, the Illinois Supreme Court held in 2010 that the federal statute was preemptive and remanded for the appellate court to resolve the other issues. On remand, the appellate court accepted the applicability of the Federal Arbitration Act but still affirmed the circuit court. Defendant again appealed.
In this decision, the Illinois Supreme Court held that the Survival Act claim, which alleged Nursing Home Care Act violations and which sought damages for injuries sustained by the decedent while she lived, was one as to which arbitration could be compelled pursuant to the agreement.
However, the wrongful-death claim did not accrue until Joyce Gott died, and benefits obtained under it are payable to the decedent’s next of kin rather than to her estate. No previously signed arbitration agreement is applicable to this claim.
The appellate court was affirmed in part and reversed in part.
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