LEFOLDT v. RENTFRO (2018)

United States Court of Appeals, Fifth Circuit.

H. Kenneth LEFOLDT, Jr., in his capacity as Trustee for the Natchez Regional Medical Center Liquidation Trust, Plaintiff-Appellant v. Donald RENTFRO; Charles Mock; William Heburn; Leroy White; John Serafin; Linda Godley; Lionel Stepter; Lee Martin; William Ernst; Jennifer Russ, Defendants-Appellees

No. 16-60491

Decided: January 16, 2018

Before JONES and OWEN, Circuit Judges, and ENGELHARDT,* District Judge.

Brent Bennett Barriere, Alysson Leigh Mills, Esq., Degan Skylar Rosenbloom, Esq., Rebecca Sha, Fishman Haygood, L.L.P., New Orleans, LA, Douglas Scott Draper, Esq., Heller, Draper, Patrick, Horn & Dabney, L.L.C., New Orleans, LA, for Plaintiff-Appellant Michael Franklin Myers, Esq., Currie, Johnson & Myers, P.A., Jackson, MS, for Defendants-Appellees Donald Rentfro, Charles Mock, William Heburn Roy Allen Smith, Jr., Esq., Steven James Griffin, Esq., Daniel, Coker, Horton & Bell, P.A., Jackson, MS, for Defendants-Appellees Leroy White, John Serafin, Linda Godley, Lionel Stepter, Lee Martin, William Ernst, Jennifer Russ

Natchez Regional Medical Center (“NRMC”) filed for bankruptcy and H. Kenneth Lefoldt was appointed Trustee for the liquidation trust. As Trustee, Lefoldt brought claims against the former directors and officers of NRMC, alleging breaches of their fiduciary duties of care, loyalty, and good faith. The district court held that the defendants were immune from suit under the Mississippi Tort Claims Act (“MTCA”). We certified this legal issue to the Mississippi Supreme Court, which held that the MTCA does not “provide[ ] the exclusive remedy for a public hospital's bankruptcy trustee who, on behalf of the public hospital, sued former officers and directors of that public hospital.” In light of this controlling decision, we vacate the district court's order dismissing the case and remand for further proceedings.

VACATED and REMANDED.

FOOTNOTES

FOOTNOTE.

PER CURIAM: ** FN** Pursuant to 5th Cir. R. 47.5, the court has determined that this opinion should not be published and is not precedent except under the limited circumstances set forth in 5th Cir. R. 47.5.4.

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