## Facts

- Reba Gregory, a 66-year-old nursing-home resident, lived at Beverly Manor, operated by entities affiliated with Beverly Enterprises.
- Gregory fell at the facility on January 31, 1995, sustaining a broken hip and shoulder.
- Through her conservator, Christine Sandahl, Gregory sued the facility-related corporate defendants and the nursing-home administrator for elder abuse (under the Elder Abuse and Dependent Adult Civil Protection Act), negligence, and fraud.
- Gregory alleged persistent understaffing and failures to implement physician orders and her care plan, resulting in inadequate supervision and preventable injury.
- A jury found for Gregory on all claims, found malice, oppression, or fraud as to elder abuse and fraud, and awarded $365,580.71 in compensatory damages and $94,720,450 in punitive damages.
- The trial court conditionally granted a new trial unless Gregory accepted a remittitur; Gregory accepted reductions to $124,480.57 in compensatory damages and $3,000,000 in punitive damages.
- The trial court awarded attorney’s fees under the Elder Abuse Act of $517,927.50.
- Defendants appealed the judgment and the fee award, arguing the evidence showed at most negligence, punitive damages were unsupported or excessive, and fees were improper or excessive.

## Issues

1. What distinguishes ordinary negligence in elder care from “reckless neglect” sufficient to establish statutory elder abuse and permit enhanced remedies under the Elder Abuse Act?
2. Whether substantial evidence supported the jury’s finding that defendants’ conduct constituted reckless neglect, rather than mere negligence, causing Gregory’s injuries.
3. Whether the record supported imposing elder-abuse remedies (including attorney’s fees and punitive damages) against corporate defendants based on policies or conduct attributable to managing agents.
4. Whether the post-remittitur judgment and the attorney’s-fee award under the Elder Abuse Act should be affirmed.

## Decision

- The Court of Appeal affirmed the judgment in favor of Gregory in relevant part, including the finding of elder abuse based on reckless neglect.
- The court held that the evidence supported a conclusion that defendants’ conduct exceeded ordinary negligence and fell within the Elder Abuse Act’s scope.
- The court affirmed the availability of enhanced remedies under the Act on these facts, including attorney’s fees.
- The court did not disturb the damages as reduced by remittitur and upheld the fee award, subject only to any modifications addressed in the full disposition.

## Legal Principles

- The Elder Abuse Act provides enhanced remedies (including attorney’s fees and, where statutorily shown, punitive-type recovery) for abuse or neglect involving a level of culpability greater than ordinary negligence.
- Ordinary professional negligence or isolated carelessness is insufficient; “reckless neglect” requires a deliberate disregard of a high probability of harm to an elder or dependent adult.
- Reckless neglect may be shown by repeated or continuing failures to meet basic care obligations, or by facility-wide practices (such as chronic understaffing and noncompliance with care plans and physician orders) that reflect conscious disregard for resident safety.
- Substantial evidence review applies to challenges to the sufficiency of evidence supporting elder-abuse findings; the appellate court will uphold the verdict if the record supports a reasonable inference of reckless neglect.
- Corporate entities may be subject to elder-abuse remedies when the conduct is tied to corporate-level decisions, policies, ratification, or managing-agent involvement affecting resident care.

## Conclusion

The court upheld elder-abuse liability where the nursing home’s sustained understaffing and persistent failures to implement required care supported a finding of reckless neglect, justifying enhanced remedies, including attorney’s fees and the reduced punitive-damages award.


In re Conservatorship of Gregory, 80 Cal. App. 4th 514, 95 Cal. Rptr. 2d 336 (Ct. App. 2000)