Background Facts
The plaintiffs settled their Rhode Island medical malpractice claims with all defendants except for Dr. Sambandam; stipulations dismissing plaintiffs’ claims against the settling codefendants entered on March 26, 2020. Doctor Sambandam, the sole remaining defendant, filed a supplemental request for production of documents in which he
sought a “complete copy of any and all documents and related materials regarding plaintiffs’ settlement of claims with any and all co-defendants. This includes a complete copy of any release and dismissal stipulation.” The defendant did not reference Rule 26 in his production request. The plaintiffs objected to the extent that the request sought “the settlement amount,” asserting that the amount was “not reasonably calculated to lead to the discovery of admissible evidence * * *.” Notwithstanding this objection, plaintiffs attached a redacted copy of the settlement agreement, excluding only the settlement amount.
The defendant filed a motion to compel the disclosure of the settlement amount. The trial justice concluded that the settlement amount was discoverable and explained that “there’s no basis whatsoever for refusing to give the settlement agreement.” The defendant subsequently moved for a conditional order of dismissal due to plaintiffs’ failure to comply with the order. A conditional order of dismissal was entered, and the plaintiffs then filed a writ of certiorari with the Rhode Island Supreme Court.
The Rhode Island Supreme Court stated in its June 27, 2023 Opinion that the sole issue in this case is whether a nonsettling defendant may compel the disclosure of the amount of a settlement agreement reached between plaintiffs and the settling codefendants. The Rhode Island Supreme Court stated, “In the case at hand, the settlement agreement and amount therein is flatly inadmissible at trial to prove plaintiffs’ claims, pursuant to Rule 408 of the Rhode Island Rules of Evidence [“Evidence of (1) furnishing or offering or promising to furnish, or (2) accepting or offering or promising to accept, a valuable consideration in compromising or attempting to compromise a claim which was disputed as to either validity or amount, is not admissible to prove liability for or invalidity of the claim or its amount. Evidence of conduct or statements made in compromise negotiations is likewise not admissible”].”
“The defendant does not contend that the settlement amount would be admissible at trial. Accordingly, it must be “reasonably calculated to lead to the discovery of admissible evidence” … The defendant argues that he “must be apprised of the amount which may be set off from any potential recovery” by plaintiffs against him. We are not persuaded … in order to offset any award for plaintiffs by the amount of the settlement agreement, the settlement amount need not be disclosed unless and until there is a verdict in plaintiffs’ favor. Only after a judgment in plaintiffs’ favor is rendered does the amount of the settlement agreement become relevant to the apportionment of damages—a calculation completed by the court, not the jury.”
“The defendant has failed to set forth any argument as to how production of the settlement amount is “reasonably calculated to lead to the discovery of admissible evidence” … in the case before us all of the terms and conditions of the settlement agreement were provided to defendant, with the sole exclusion of the amount of the settlement.”
Source Noonan v. Sambandam, M.D., No. 2022-22-M.P.
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