Following briefing and oral argument, the Pennsylvania Supreme Court reversed trial court and Superior Court Orders and enforced the clear language of settlement agreement in favor of Elliott Greenleaf’s client.
In Lesko v. Frankford Hospital, a dispute arose over the terms of a medical malpractice settlement agreement, in which the defendants agreed to pay a lump sum payment in additional to periodic monthly payments for the remainder of the plaintiff’s life. The plaintiff then died after the initial lump sum was paid but before the first periodic monthly payment became due.
The Defendant retained Elliott Greenleaf when the plaintiff’s estate began demanding monthly payments. After the trial court and Superior Court ordered the client to pay an additional $1.6 million in monthly payments, Elliott Greenleaf successfully persuaded the Pennsylvania Supreme Court that monthly payment were not required under the settlement agreement. In reversing the trial court’s and Superior Court’s Orders, the Supreme Court agreed with Elliott Greenleaf’s arguments that the settlement agreement called for payment of a single lump sum and payments only during the life of the plaintiff, and not to the estate.
Elliott Greenleaf shareholders John M. Elliott, Bruce W. Kauffman, Robert C. Daniels, and Frederick P. Santarelli, and associate Stewart J. Greenleaf, Jr., successfully represented this client in obtaining the reversal.