Missouri Court of Appeals, Western District / Jan 14, 2020
Tracy Lynn Sherman vs. Missouri Professionals Mutual-Physicians Professional Indemnity Association (MPM)
Tracy Sherman filed an equitable garnishment action against Missouri Professionals Mutual-Physicians Professional Indemnity Association (MPM) to satisfy a $500,000 medical malpractice judgment against MPM's insured, Dr. Michael Kaplan. The judgment against Dr. Kaplan arose from a section 537.065 agreement after his initial medical malpractice claim was dismissed and then refiled. The trial court found that MPM did not violate its duty to defend and was not responsible for the consent judgment. The appellate court affirmed, holding that MPM did not breach its duty to defend and that Dr. Kaplan's failure to notify MPM of the refiled claim and agreement prejudiced the insurer, relieving it of responsibility for the consent judgment.