This case arises out of a medical malpractice lawsuit alleged to have been prompted by the negligence of a radiologist. Courtney Webster had a CT scan performed at CDI Indiana LLC‘s diagnostic imaging facility. The radiologist, an independent contractor hired by Medical Scanning Consultants, missed identifying and diagnosing the cancer, which then remained untreated for over a year before being diagnosed.
Webster and her husband, Brian Webster, sued CDI, which in turn insisted that the Websters could not hold it liable because CDI did not directly employ the radiologist who was at fault for not recognizing the cancer.
The district court rejected that argument and applied the law of apparent agency, which instructs that a medical provider is liable if a patient reasonably relied on its apparent authority over the wrongdoer.