Corum v. Roswell Senior Living, LLC

149 N.M. 287, 248 P.3d 329 (2010)

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Corum v. Roswell Senior Living, LLC

New Mexico Court of Appeals
149 N.M. 287, 248 P.3d 329 (2010)

  • Written by Liz Nakamura, JD

Facts

Mary Jo Hebert, decedent, appointed her daughter, Sherri Lynn Corum (plaintiff), as her agent pursuant to a durable financial and medical power of attorney. Three years later, Mary’s husband, Edward Hebert, had Mary admitted to the La Villa nursing home (defendant). As part of Mary’s admission to La Villa, Edward signed an arbitration agreement with La Villa on Mary’s behalf. Before Edward signed the agreement, La Villa made one attempt to contact Corum but gave up when the phone number provided by Edward for Corum turned out to be invalid. Mary’s mental capacity was not medically evaluated prior to Edward signing the agreement. After Mary’s death, Corum filed a wrongful-death lawsuit against La Villa. La Villa moved to compel arbitration, arguing that Edward, as Mary’s surrogate, was authorized to enter a binding arbitration agreement even though Corum was Mary’s agent. Corum challenged, arguing that the arbitration agreement was invalid because Edward, as Mary’s surrogate, only had authority to make healthcare decisions. Corum and La Villa stipulated that (1) Mary lacked capacity when she was admitted to La Villa; and (2) Edward, as Mary’s spouse, was qualified to act as her surrogate. The trial court denied La Villa’s motion to compel arbitration, finding that Edward did not have the power to enter an arbitration agreement.

Rule of Law

Issue

Holding and Reasoning (Robles, J.)

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