R. AND R.C. v. THE UNITED STATES OF AMERICA
Minor Disabled in Exploratory Surgery.

Case Name: L. C. a minor child, by and through her parents and next friends,
R. and R. C. v. THE UNITED STATES OF AMERICA
Counsel for Plaintiffs: Chalat & Koupal PC

FACTS
On July 20, 1993, L.C., then 16 years old, underwent an exploratory laparoscopy at Fitzsimons Army Medical Center, Aurora, Colorado. The OB/GYN resident performing the procedure caused a "through and through" laceration of L.C.'s right common iliac artery. The right common iliac artery is the primary source of arterial blood to the right lower body.

L.C. underwent seven major operations, and several minor operations, to repair the damage done to the severed artery in an attempt to save her right lower leg, which was deprived of blood for nearly 10 hours before arterial blood flow was restored. L.C. has suffered severe emotional trauma, and permanent scarring. Her treating physicians recommended that she undergo a right below the knee amputation ("BKA"). She has been rated with a 40% "whole person" disability. Her "whole person" disability will be reduced to 32% if she chooses to undergo the BKA. L.C.'s medical expenses have been about $70,000.00.

Plaintiff's claim alleged negligent insertion of the laparoscopic trocar. The United States denied liability for the parent's derivative claims. The United States also disputed the extent of L.C.'s future lost earnings capacity.

The claim was filed against the United States, pursuant to the Federal Torts Claims Act ("FTCA"), 28 U.S.C. 2671, et seq. During negotiations, the United States took the position that the "one million dollar cap" on liability found in Colorado's Health Care Availability Act ("HCAA"), C.R.S. § 13-64-302, was an "absolute" limit on liability in medical malpractice cases, and, stated a willingness to litigate the issue, if necessary. Practitioners should note that an FTCA case is not necessarily closed simply because a settlement agreement has been reached with the appropriate government agency. Because the value of this settlement was in excess of $100,000.00, the settlement had to be approved, in writing, by a designee of the U.S. Attorney General. In this case, 91 days elapsed between the date that the claimants accepted the government's offer and the date that the settlement was approved by the Attorney General's designee.

The parties reached a settlement agreement involving a structured settlement cost of $987,786.00. The structure has an estimated total payout of $4,969,556.88 over the course of L.C.'s life expectancy. It provides her with $282,557.00 in "up front cash;" monthly income payments of $750.00 for six years; monthly income payments of $1,350.00, compounded at 3% per year, starting in the year 2001, for life; an education fund, providing for six years of post high-school education, with a guaranteed value of $142,500.00; and, a Reversionary Medical Trust, started with a $303,000.00 cash seed.