Supreme Court
hears ex-isle
man's case
The court will decide if bankruptcy
By Pete Pichaske
wipes out a doctor's malpractice debt
Star-BulletinWASHINGTON -- Solomon Kawaauhau went to the Supreme Court this morning to try to close a sad chapter in his life. Kawaauhau, 62, was here involving a 15-year-old medical malpractice case. But the point of law involves bankruptcy - specifically, what sort of debts can be wiped out by declaring bankruptcy.
The case involves a $355,040 damage award Dr. Paul Geiger was ordered to pay to Solomon Kawaauhau and his wife, Margaret, after his treat-ment of Mrs. Kawaauhau's leg infection in 1983 led to amputation of the leg. Margaret Kawaauhau has since died.
Geiger, who has since moved to St. Louis, later filed for bankruptcy and asked to be freed from paying his debt to the Big Island couple.
A bankruptcy judge ruled Geiger had to pay the debt anyway, and an appeals court agreed.
But the 8th U.S. Circuit Court of Appeals reversed those decisions, ruling that the debt should be wiped out by the filing.
After another appeal and 15 years, the question reached the Supreme Court this morning.
Some justices appeared reluctant to broaden the instances in which people who seek to have their debts forgiven in bankruptcy court can still be forced to pay damages for harming someone else. Kawaauhau's lawyer, Norman W. Pressman, acknowledged there was no evidence that Geiger intended to harm Margaret Kawaauhau.
But Pressman told the justices Geiger still "knew what he was doing" when he treated her and, therefore, should not be allowed to avoid paying damages by filing for bankruptcy.
Justice Antonin Scalia suggested that logic could lead to many people being denied the chance to wipe out their debts through bankruptcy filings.
"Can you explain how consumers would not be hurt by your position?" he asked.
Scalia suggested credit card companies could try to force payment by people who piled up additional bills while knowing they were in financial trouble. "That's a lot of cases," he added.
Justice Sandra Day O'Connor said that under Pressman's argument, a motorist who backed over someone without looking would be viewed as acting intentionally.
"I just find it hard to believe that that's what Congress had in mind," she said.
The federal bankruptcy law allowing some debts to be forgiven makes an exception for debts "for willful and malicious injury" to another person or property.
Pressman argued that bankruptcy law is not meant to protect carelessness and that Geiger's treatment was clearly inappropriate to Margaret Kawaauhau's condition.
But Geiger's lawyer, Laura K. Grandy, argued that Geiger was simply trying to cure his patient.
Geiger thought the woman was improving when he stopped antibiotic treatment, Grandy said.
After the hearing Pressman said: "I feel very good about this. I'm very hopeful we'll get a good result."
