Breaking News
August 27, 2008
CAMC to pay Hamrick $11.5 million
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CHARLESTON, W.Va. -- Charleston Area Medical Center trustees today agreed to pay Dr. R.E. Hamrick Jr. $11.5 million to put an end to a contentious four-year dispute with the surgeon.

Lawyers from both sides hammered out the settlement earlier this week. CAMC must pay Hamrick the entire $11.5 million by Sept. 5.

"It's over," said Karen Miller, Hamrick's lawyer and sister. "Hopefully, this will be the beginning of better treatment for the doctors, nurses and medical staff at CAMC."

CAMC's Board of Trustees voted unanimously on the settlement this morning after a 30-minute executive session behind closed doors.

Hamrick has agreed to end the case after he receives the payment, CAMC said in a release. CAMC abandoned plans to appeal to the state Supreme Court.

CAMC is negotiating with its insurance carriers to determine whether they'll pay a portion of the settlement. Two insurance companies already have sued the hospital, alleging CAMC's insurance policy doesn't cover the jury award.

CAMC plans to pay at least $2 million of the $11.5 million out of its cash reserves.

In February, a jury awarded Hamrick $25 million, deciding that CAMC executives smeared his reputation when they abruptly revoked his privileges to operate on patients at the hospital in 2004. The jury found that hospital administrators took part in "fraudulent, malicious, oppressive and reckless conduct."

CAMC appealed the verdict, and a judge reduced it to $10 million -- plus interest -- earlier this summer.

In the release, CAMC said interest on the $10 million was mounting at a rate of 8.5 percent, and the hospital also faced having to pay Hamrick's legal fees, which exceed more than $1 million.

Hamrick sued the hospital in 2004, alleging CAMC improperly yanked his privileges to practice. The surgeon wanted to used $1 million of his own money to insure himself against medical malpractice claims instead of going through a commercial insurance company.

CAMC executives balked at the plan.

CAMC trustees and executives declined to comment this morning.

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Posted By: get informed (6:46pm 08-28-2008)
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To Durrrr, apparently some people believe what they read in our great papers.

Posted By: Durrrrrr (9:48am 08-28-2008)
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you mean we can't take the word of the newspaper??? Well, gooollllyyyyyy.

Posted By: get informed (9:41am 08-28-2008)
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Dr. Hamrick did indeed show proof of his insurance from the beginning. Before you judge this honorable physician, you should read the court transcripts. They are available for anyone who has the time to review them. Then and only then can you make an informed comment.

Posted By: missing the point (6:23am 08-28-2008)
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Many of you are missing the point. Is not a function of the care provided by the employees of CAMC. A jury and later a judge ruled that the CAMC administration acted in a malicious, belligerent, destructive manner. That should be the issue. Eleven million bucks is a high price to pay for arrogance and belligerence. Is a black eye on those who do provide care at CAMC. They and the community deserve better. CAMC is a community owned hospital - it is an asset of the region. The residents own the organization, not the blue bloods sipping tea in the board room. Liquidating the asset in the name of malicious, arrogant, disengaged administration is unacceptable. The residents are the only ones who can change this.

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