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2013

TOP VERDICTS NY

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DATE
January 14, 2013
Shannon’s mother and father, Danni Ann Reilly and Frank Reilly, acting individually

and as Shannon’s parents and natural guardians, sued St. Charles Hospital; Ninia; Ninia’s TRIAL
practice, Dr. Jerry Ninia OB-GYN, PLLC; and Erhart. The plaintiffs alleged that Erhart, LENGTH
8 days
Ninia and the hospital’s staff failed to properly manage Shannon’s delivery, that the
failures constituted malpractice, that Ninia’s practice was vicariously liable for Ninia’s TRIAL
actions, and that St. Charles Hospital was vicariously liable for the actions of Erhart and DELIBERATION
1 day
the remainder of its staff.
Erhart was dismissed via summary judgment, and the matter proceeded to a trial JURY VOTE
6-0

against the remaining defendants. On June 12, 2009, a jury rendered a defense verdict.
Plaintiffs’ counsel appealed, and the appellate division, Second Department, reversed the JURY
jury’s finding that the hospital’s staff did not depart from an accepted standard of medical COMPOSITION
6 Female
care. The matter was remanded for a new trial that would address the hospital’s liability.
(The first trial’s report can be found at ALM No. 176057.)
PLAINTIFF
Plaintiffs’ counsel contended that Shannon’s hypoxia could have been prevented. EXPERT(S)
Robert Baier ; Handwriting Analysis; Warwick, NY
The plaintiffs’ expert obstetrician opined that a monitor had revealed seven prolonged
decelerations of the functioning of Shannon’s heart, and he contended that any deceleration
DEFENSE
could have been caused by the rupture of Danni Ann Reilly’s uterus. Plaintiffs’ counsel ATTORNEY(S)
Steven Cooper & Harry H. Rimm; Reed Smith LLP; New York, NY
contended that a nurse noted the decelerations, but that the first six were not reported to
Ninia, who was absent during that portion of the proceedings. Plaintiffs’ counsel claimed DEFENDANT
that a prompt reaction could have prevented Shannon’s hypoxia.
EXPERT(S)
Peter Tytell Handwriting Analysis; New York, NY
Plaintiffs’ counsel also claimed that the nurse failed to perform several other standard
responses to the non-reassuring readings that the monitor produced. He contended that FACTS & ALLEGATIONS On July 27, 2007, plaintiff Abraham Leser, 62, was named
Shannon’s mother should have received fluids and supplemental oxygen, that Pitocin guarantor of a loan that was issued by U.S. Bank National Association. The loan was

should have been discontinued when the non-reassuring readings began, and that issued to VTE Philadelphia LP, which was developing condominiums. The borrowed
Shannon’s mother’s position should have been adjusted.
amount approximated $17.5 million.
Defense counsel contended that Danni Ann Reilly’s uterus ruptured at 8:44 a.m., and he On Nov. 27, 2007, Leser was named guarantor of another loan that was issued by U.S.
claimed that the monitor’s prior readings were non-troubling readings that typically occur Bank National Association. The loan was issued to four companies that were purchasing
during the second stage of labor. He claimed that Ninia was promptly summoned, and he property that was located in Seattle, and the borrowed amount approximated $21 million.
contended that the doctor immediately determined that a Caesarean delivery was necessary.
The loans’ borrowers ultimately defaulted, and U.S. Bank National Association
pursued recovery from Leser. Leser claimed that he did not guarantee the unfulfilled

INJURIES/DAMAGES Shannon suffered a hypoxic event that damaged her brain. The loans. His signature appeared on documents that memorialized the loans, but he claimed
damage caused cerebral palsy. Shannon possesses a near-normal level of intelligence, but that the signatures were forgeries.
she cannot talk or walk. She also suffers seizures, and she requires constant assistance. Leser sued U.S. Bank National Association. He alleged that U.S. Bank National
Her disabilities will not permit her performance of any type of work.
Association’s agents forged his signature. He sought a declaratory judgment that prevented
Shannon’s parents sought recovery of $84 million, which included future medical enforcement of the loans that he was said to have guaranteed.
expenses, the cost of future custodial care, Shannon’s lost earnings, and a total of $11 U.S. Bank National Association counterclaimed. It alleged that Leser breached the
million for Shannon’s past and future pain and suffering. Shannon’s parents presented guarantee that he had provided. It sought enforcement of the loans that Leser was said to

derivative claims, but their claims were discontinued during the trial.
have guaranteed.
Defense counsel contended that plaintiffs’ counsel exaggerated the extent of Shannon’s Leser’s handwriting-analysis expert examined the documents that Leser was said to
economic damages.
have signed, and he opined that Leser’s signatures were forgeries. However, the defense’s
handwriting-analysis expert opined that the signatures were authentic. Defense counsel
RESULT After one trial produced a hung jury, a second jury found that St. Charles contended that Leser failed to overcome the presumption of authenticity. He noted that
Hospital was liable for Shannon’s injury. It determined that Shannon’s damages totaled Leser’s objections began after the borrowers had defaulted.
$130 million.

INJURIES/DAMAGES Leser sought a declaratory judgment that prevented enforcement of
SHANNON the loans that he was said to have guaranteed.
REILLY
$32,000,000 Personal Injury: Future Medical Cost U.S. Bank National Association sought enforcement of the loans that Leser was said to
$5,500,000 Personal Injury: FutureLostEarningsCapability have guaranteed. It also sought recovery of the cost of defending Leser’s lawsuit.
$10,000,000 Personal Injury: Past Pain And Suffering
$82,500,000 Personal Injury: Future Pain And Suffering
RESULT The jury found that Leser did not prove that he had not signed the documents
that memorialized the loans that he was said to have guaranteed. It further found that
Leser had breached the guarantees. It determined that U.S. Bank National Association’s This report is based on court documents, information that was
EDITOR’S COMMENT
damages totaled $38,289,575.66. It also found that U.S. Bank National Association was provided by plaintiffs’ counsel and information that was provided by St. Charles
entitled to reimbursement of its cost of defending the lawsuit.
Hospital’s counsel.
Post-trial, Judge Kiyo Matsumoto awarded $14,656,843.49, which included interest,
the cost of U.S. Bank National Association’s defense of the lawsuit and other charges. NUMBER FOUR
Thus, U.S. Bank National Association’s recovery was increased to $52,946,419.15.
Interest will toll until the judgment is satisfied.

CONTRACTS

Breach of Contract
Verdict Resources
Bank denied having forged signature of loans’

guarantor, verdict against plaintiff

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verdict and settlement database.
AMOUNT
$38,289,575

ACTUAL
$52,946,419

TYPE Verdict-Defendant
www.verdictsearch.com
CASE Leser v. U.S. Bank National Association

VENUE U.S. District Court, EDNY
JUDGE
Kiyo A. Matsumoto

14 VerdictSearch’s Top New York Verdicts of 2013