Rutter v. Oakwood Living Centers

Barabara Rutter filed a wrongful death action in June 2000 against Oakwood, a living center, Prism Rehab, a company providing physical therapy services, and the president and employee of Prism Rehab. Dixon and Prism Rehab filed a notice of bankruptcy stay, and in October 2000 the circuit court entered a bankruptcy stay order. At issue was whether the order dismissed the action or only removed the action from the circuit court's docket. Oakwood argued the order served to discontinue Rutter's action in October 2003 pursuant to Va. Code Ann. 8.01-335(B) because, as of that date, the action had been inactive for three years. The circuit court entered an order in 2009 stating that because Rutter had not re-filed her action before 2003, the case was dismissed. The Supreme Court disagreed, holding that the statute does not allow the prospective discontinuance of an action and that the 2000 order merely removed Rutter's action from the docket. However, because the 2009 order only adjudicated Rutter's claim against Oakwood, that order was not final for purposes of the appeal. The Court held it had no jurisdiction over the appeal, and dismissed the case without prejudice. View "Rutter v. Oakwood Living Centers" on Justia Law