Wilson v. Blue Cross of So. California

In Wilson v. Blue Cross of So. California (1990) 222 Cal.App.3d 660, the court held there were triable issues of fact as to the liability of a third party (Western Medical), hired by the insurer to perform concurrent utilization reviews of the medical necessity of hospitalizations for its insureds, for tortious interference with the contract of insurance (and as to Western Medical's role in causing the wrongful death of the decedent). (Id. at p. 674.) In Wilson, Western Medical decided, contrary to the terms of the insurance contract, not to approve further hospitalization, and there was evidence its decision was a substantial factor in bringing about the insured's subsequent suicide. (Id. at p. 672.) Wilson is inapplicable for at least two reasons. First, cases are not authority for issues not raised or decided, and the issue whether an agent can be held liable, as a matter of law, for interfering with its principal's contract was apparently not raised by Western Medical. Second, and more importantly, Wilson predates the Supreme Court's decisions in Shoemaker v. Myers (1990) 52 Cal.3d 1, 24, holding that a corporate agent cannot be held liable for inducing a breach of the corporation's contract (Shoemaker, supra, 52 Cal.3d at p. 24)