Facts

Priscilla O'Malley checked into the Diamond Resorts hotel in Capistrano Beach on March 29, 2014. Priscilla spoke with her husband and sister shortly before 6 p.m. and told them she was going to stay in the room that night and watch the sunset. The O'Malleys had a habit of talking on the phone regularly when they were apart, as they together ran a dog business and there was always some issue with the dogs that they needed to confer on. After calling Priscilla's cellphone repeatedly starting at about 7 p.m. without receiving an answer, Michael phoned the front desk shortly after 10 p.m.and said that his wife was uncharacteristically not answering the phone and that he was worried. He requested that the clerk, Kora Mann, send someone to see if Priscilla was in the room and okay. Mann sent a maintenance person, Saul Ramos, to check to see if she was in the room. Ramos knocked on the door and called out "Maintenance." He then opened the door, knocked, and called out again. Ramos admitted that the room was dark and he could not see beyond the threshold, but never went into the room to see if Mrs. O'Malley was actually there or not. He reported to Mann that Priscilla was not in the room and that the lights in the room were off. Mann called Mr. O'Malley back and reported that his wife was not in the room.

Several hours later, after many more unanswered calls, Michael drove to the hotel and found Priscilla lying incapacitated on the floor of the hotel living room. Priscilla had suffered a ruptured brain aneurism. As a result, Priscilla suffered permanent irreversible brain damage causing profound short-term memory loss in the form of anterograde amnesia; she cannot hold new memories for even seconds. Mrs. O'Malley requires 24/7 care as she cannot be left alone at all. Mr. O'Malley has spent the last 8 years helping to care for his wife and has gone from husband to full-time caretaker. He has also suffered as a result and the couple has no longer has a real marital life together.

PLAINTIFFS' CONTENTIONS: Plaintiffs alleged that the defendants were negligent because they failed to complete the undertaking to see if Priscilla was in the room and okay and because they violated their own Policy and Procedure for room entry in situations where a person's health or safety may be at risk. With respect to damages, Plaintiffs claimed that if Mrs. O;'Malley had been found 4 hours after the aneurysm ruptured (it was assumed that the rupture occurred sometime between 6 and 7 p.m.) Priscilla would have received neurocritical care that would have prevented or arrested the development of hydrocephalus and hypoxia that ultimately led to the decimation of her hippocampi, which are the hub of short-term memory. Had this occurred, Mrs. O'Malley may have had some relatively minor residual problems as a result of the ruptured aneurysm, but she would not have suffered the profound and unique anterograde amnesia which disables her and requires 24/7 care.

DEFENDANTS' CONTENTIONS: Diamond Resorts claimed that Ramos' conduct was reasonable and that privacy considerations excused him from actually going into the room to see if Mrs. O'Malley was there or not. Diamond Resorts further claimed that the ruptured aneurysm caused a massive bleed that destroyed parts of the limbic system within seconds and that Mrs. O'Malley would have had the same devastating injury even if she had received emergent medical care minutes later

Settlement Discussions

Plaintiffs made a CCP 998 offer to settle for just under $10 million in 2017. The most defendant ever offered prior to the start of trial was $250,000. As a result of exceeding the statutory offer to settle, Plaintiffs claim that they are entitled to $30 million pre-judgment interest.

Specials in Evidence

$9,445,361

Result

Verdict for $60,445,361

Deliberation

5.5 hours