Muhammad v. Riverside Healthcare
CourtAppellate Court of Illinois
Date FiledJune 15, 2026
Docket3-24-0274
StatusPublished
📰 News Coverage: Read the LAWS.com news report on this case
Full Opinion
2026 IL App (3d) 240274
Opinion filed June 15, 2026
____________________________________________________________________________
IN THE
APPELLATE COURT OF ILLINOIS
THIRD DISTRICT
2026
KERMIT S. MUHAMMAD, M.D., ) Appeal from the Circuit Court
) of the 21st Judicial Circuit,
Plaintiff-Appellant, ) Kankakee County, Illinois.
)
v. ) Appeal No. 3-24-0274
) Circuit No. 21-CH-70
RIVERSIDE HEALTHCARE and )
PHILIP KAMBIC, ) Honorable
) Lindsay Parkhurst,
Defendants-Appellees. ) Judge, presiding.
)
____________________________________________________________________________
PRESIDING JUSTICE HETTEL delivered the judgment of the court, with opinion.
Justices Peterson and Bertani concurred in the judgment and opinion.
____________________________________________________________________________
OPINION
¶1 Plaintiff, Dr. Kermit S. Muhammad, appeals from the circuit court of Kankakee County’s
dismissal, with prejudice, of his third amended complaint. On appeal, plaintiff challenges the
circuit court’s findings, culminating in the dismissal, that defendants, Riverside Healthcare
(Riverside) and Philip Kambic, were immune from civil liability under section 10.2 of the Hospital
Licensing Act (Act) (210 ILCS 85/10.2 (West 2020)), that a portion of the controversy was moot,
and that plaintiff failed to state a claim for relief. For the following reasons, we affirm in part,
reverse in part, and remand.
¶2 I. BACKGROUND
¶3 A. Factual Allegations
¶4 Plaintiff alleged the following facts in his third amended complaint. Plaintiff is a registered
member of the Nation of Islam and holds the “sincere religious belief that vaccinations are in direct
contradiction to the Will and Commandments of God.” He is also an orthopedic surgeon employed
by Orthopedic Associates of Kankakee/Illinois Bone and Joint Institute, LLC, and has clinical
privileges at Riverside. Plaintiff alleged that, throughout the 17 years that he has been a member
of the staff at Riverside, he has conscientiously objected to and been exempted from receiving all
vaccinations, on account of his religious beliefs.
¶5 1. Riverside’s COVID-19 Vaccination Policy
¶6 Relevant to this dispute, section 12.1 of Riverside’s Medical Staff Bylaws (Bylaws) states
that “[t]he Medical Executive Committee shall review, develop and adopt policies, which shall be
binding upon the medical staff, its members, and those otherwise granted permission to practice
or holding clinical privileges” and that “[o]nly policies adopted by the Medical Executive
Committee are binding upon the medical staff.” Section 13.2 of the Bylaws separately states that
“all policies of the Medical Staff may be adopted and amended by a majority vote of the Medical
Executive Committee” and that changes to “Medical Staff policies will become effective only
when approved by the Board [of Directors].”
¶7 On August 26, 2021, Illinois Governor J.B. Pritzker issued an executive order that required
healthcare workers to be vaccinated against COVID-19, but further provided that an individual
would be exempt from the requirement if the vaccination were to require the individual to “violate
or forgo a sincerely held religious belief” (August 26 executive order). (Internal quotation
omitted.) The following day, Kambic, the president and chief executive officer of Riverside,
2
circulated a memorandum stating that all staff would need to be vaccinated against COVID-19 by
October 31, 2021 (August 27 memorandum). The August 27 memorandum explained that
Riverside was imposing the vaccination requirement because of the August 26 executive order, the
fact that the Food and Drug Administration had fully approved the Pfizer COVID-19 vaccine, the
“resurgence of infections,” and Riverside’s “commitment to provide the highest quality patient
care in the safest environment for [its] staff.”
¶8 Also in August 2021, Riverside issued a policy, effective August 27, 2021, that required its
medical staff to receive the COVID-19 vaccination by October 31, 2021, unless exempt because
of “[r]eligious [c]onviction” (vaccination policy). The vaccination policy further required any staff
member who declined to receive the vaccination on account of “sincerely held religious beliefs”
to submit a request for a religious exemption and to wear an N95 mask throughout his or her shift.
Additionally, the vaccination policy stated that “[e]ven in circumstances where a religious belief
may otherwise qualify for an exemption, Riverside reserve[d] the right to deny the request where
safety risks and legal liability created an undue hardship and increased risk for transmission of the
Covid virus among patients, staff and community members.”
¶9 Plaintiff alleged that, during a September 9, 2021, speech, former President Joe Biden had
“announced a COVID-19 plan that would include an Emergency Temporary Standard *** from
the federal Occupational Safety and Health Administration *** related to vaccine requirements.”
In a subsequent memorandum, dated September 10, 2021, Riverside stated that, until it received
and could review the contents of the Emergency Temporary Standard that former President Biden
had referenced in his September 9, 2021, speech, it would “be temporarily suspending the
decisions on pending religious *** exemption requests.” On September 12, 2021, plaintiff
submitted a religious exemption request, pursuant to the vaccination policy.
3
¶ 10 Five days after plaintiff submitted his religious exemption request, Kambic circulated a
memorandum stating that the vaccination policy was to remain in effect, with “[o]ne important
modification,” which was that, “[w]here a religious belief [might have] otherwise qualified for an
exemption, Riverside [would] deny such request for all patient-facing positions where safety risks
and legal liability create[d] an undue hardship and increase[d] risk for transmission of the COVID-
19 virus among [the] patients and staff” (September 17 memorandum). In October 2021, the Board
of Directors (Board) approved the vaccination policy as issued in August 2021.
¶ 11 On October 8, 2021, Riverside posted a video on YouTube that featured Kambic and was
directed at Riverside employees “ ‘to answer questions,’ and ‘to explain the why of why [Riverside
was] doing some things’ ” (YouTube video). Plaintiff alleged that, in the YouTube video, Kambic
had stated that, “for employees to choose to refuse to be vaccinated [was] to say, ‘I’m going to
have to leave’ Riverside.”
¶ 12 2. Notification of Adverse Action
¶ 13 In an October 27, 2021, letter authored by Kambic, Riverside notified plaintiff that the
Medical Executive Committee (Executive Committee) had recommended to the Board that the
clinical privileges of medical staff who had not yet complied with the vaccination policy be
terminated (October 27 letter). The letter stated that, because the loss of clinical privileges
constituted an adverse action under the Bylaws, plaintiff was allowed to request a hearing, the
scope of which would be limited to his compliance with the vaccination policy. The letter further
stated that if plaintiff did not request a hearing, then his membership on the medical staff would
be terminated effective 11:59 p.m. on November 30, 2021. Attached to the letter was a copy of the
vaccination policy.
4
¶ 14 3. Hearing on Adverse Action
¶ 15 Section 11.3-1 of the Bylaws provides that a “hearing is a forum for the resolution of issues
involving professional conduct and competence on an intraprofessional basis.” Section 11.3-3 of
the Bylaws also mandates that, in the event of a hearing, the president of the medical staff and
chief executive officer must appoint a hearing committee that is comprised of at least three medical
staff members “with no prior involvement in the matter” and that “[t]he affected [p]hysician has
the right to inspect pertinent information with regard to the basis on which adverse decision was
made.” Under sections 11.3-6 and 11.3-7 of the Bylaws, after a hearing concludes, the hearing
committee must issue a written report that contains its findings and recommendations to the Board
as to whether to accept, reject, or modify the prior corrective action recommendation, and the
Board must later issue a final written decision.
¶ 16 On November 23, 2021, pursuant to the Bylaws, plaintiff requested a hearing regarding the
denial of his religious exemption request and the potential termination of his clinical privileges.
Plaintiff also requested “the right to inspect any and all pertinent information with regard to the
basis on which the adverse decision was made at an agreeable time reasonably in advance of the
hearing.”
¶ 17 The hearing requested by plaintiff ultimately commenced on January 18, 2022. The hearing
committee comprised Dr. Jason Serpe, Dr. Scott Smithgall, and Dr. Ryan Meiners. Also present at
the hearing were Kambic; counsel for plaintiff, attorney Troy Lundquist; and counsel for Riverside
and advisor to the hearing committee, attorney Michael Phillips. At the outset of the proceedings,
the hearing committee clarified, in response to a request by Lundquist, that the “operative policy”
with which plaintiff was said not to have complied was the vaccination policy, as issued in August
5
2021 and approved by the Board in October 2021. Later during the hearing, the following exchange
took place:
“[PLAINTIFF]: *** So the policy that we have here, which is the policy that, you
know, I based [my application for a religious exemption] on, it doesn’t say anything about
denying exemption for front-facing activities with patients.
And so my question is, you know, why is that different? Is there a different policy,
or why is that?
***
[PLAINTIFF]: I mean, the policy here, so this policy, which was approved in
October, it allows for religious exemptions. But apparently, there’s some additional policy
someplace which says that you can’t have a religious exemption because all of them were
denied.
So I’m saying, where is that policy? Yeah, it’s not in here.
[MR. KAMBIC]: That policy doesn’t exist and that’s not the point of the hearing.
But the policy doesn’t exist. We never said that we were going to deny every religious
exemption.
[PLAINTIFF]: Okay. Well, specifically in that case, why was mine denied?
[MR. PHILLIPS]: Because you’re patient-facing, and you will endanger ***.”
¶ 18 Also during the hearing, Lundquist asked for plaintiff to be provided with any “medical
evidence, articles, guidelines, [and] things of that nature” that were relied upon in the decision to
take adverse action against plaintiff. Kambic stated that Lundquist’s request would be taken “under
advisement.” Later during the hearing, plaintiff asked whether there was “any specific medical
6
literature” that was relied upon in the development of the vaccination policy, to which Phillips
responded: “I think that’s something your attorney asked, and we’re taking that under advisement.”
¶ 19 Following the hearing, the hearing committee issued a report in which it found that plaintiff
was “sincere in his religious convictions,” but that the COVID-19 pandemic had “created a
situation that supersede[d] individual preference” (report). The hearing committee further found
that Riverside’s “decision to institute a vaccination mandate was made for the safety and protection
of patients and the staff who cared for them” and that plaintiff had not been discriminated against,
“given the provisions of the [vaccination policy] were uniformly applied to all medical staff
providers seeking religious exemptions.” The hearing committee thus recommended that the Board
uphold the Executive Committee’s recommendation to terminate plaintiff’s medical staff
membership and clinical privileges, which the Board subsequently did.
¶ 20 In a letter dated February 18, 2022, Riverside informed plaintiff that, in response to his
request at the January 18, 2022, hearing for the “ ‘specific medical literature’ ” that Riverside had
relied upon to develop the vaccination policy, said policy was “not based upon a specific piece of
medical literature but rather the medical judgment of Dr. Moss and selected members of
Riverside’s medical staff.” Riverside also stated, however, that reports published by the Centers
for Disease Control and Prevention (CDC) regarding the efficacy of COVID-19 vaccination had
informed the medical knowledge and judgment of Riverside’s staff and that those reports were
available to the public through the CDC’s Morbidity and Mortality Weekly Report.
¶ 21 B. Procedural History
¶ 22 On November 23, 2021, plaintiff filed a complaint against defendants in the circuit court
of Kankakee County that alleged, in sum, that the vaccination policy violated the Health Care
Right of Conscience Act (745 ILCS 70/1 et seq. (West 2020)) and that Riverside had violated the
7
Bylaws by denying his religious exemption request. On that same day, plaintiff also filed an
emergency motion for a temporary restraining order and preliminary injunction that would, in part,
prohibit defendants from “terminating, transferring, suspending, placing on paid or unpaid leave,
revoking or suspending any medical staff privileges or hospital credentials, or otherwise
retaliat[ing] against [plaintiff]” for filing a religious exemption request.
¶ 23 On March 29, 2022, the circuit court granted plaintiff a temporary restraining order that
enjoined defendants from taking any adverse action against plaintiff’s clinical privileges based on
his COVID-19 vaccination status. The temporary restraining order remained in effect until August
26, 2022, around which time Riverside amended the vaccination policy to allow religious
exemptions for patient-facing staff in light of the decline in COVID-19 infections and mortality
rates in the local community and nationwide. Plaintiff alleged that the temporary restraining order
prevented Riverside from “officially” terminating his clinical privileges.
¶ 24 On May 30, 2023, plaintiff filed his third amended complaint, which contained four counts.
Starting with count I, for breach of contract, plaintiff alleged that Riverside had violated the
Bylaws and the Act by taking adverse action against his clinical privileges for a “sham purpose,”
rather than to promote the quality of patient care. Plaintiff also alleged that all physicians must
participate in a managed care, government, or private insurance program (collectively, “insurance
programs”) to practice and that the insurance programs “re-credential” participating physicians
every two years. According to plaintiff, Riverside must disclose its adverse action against his
clinical privileges as part of the re-credentialing process, and the insurance programs are unlikely
to re-credential and are likely to increase rates and government scrutiny in light of the adverse
action. Plaintiff alleged that, because of Riverside’s adverse action against his clinical privileges,
8
he must now pay increased rates for the rest of his career, and his ability to practice medicine has
been “significantly curtailed.”
¶ 25 As to count II, for tortious interference with existing and prospective business relations,
plaintiff alleged that defendants knew that he had both existing and prospective relations with
patients whom he was currently treating and who would return to him for ongoing cases, as well
as with physicians unaffiliated with Riverside who would refer cases to him. Plaintiff further
alleged that Riverside had directed his patients to a physician employed by Riverside Medical
Group, an affiliate of Riverside, and had instructed the unaffiliated physicians to refer patients to
this same physician employed by Riverside Medical Group rather than to plaintiff. Plaintiff alleged
that defendants’ actions had been motivated by his “unvaccinated status” and had caused him to
lose a substantial portion of his medical practice.
¶ 26 Under count IV, 1 for intentional interference with employment contract, plaintiff alleged
that Kambic had induced Riverside to breach the provisions of the Bylaws through conduct that
included authoring, distributing, and enforcing the policy of denying religious exemptions to staff
in patient-facing positions; refusing to provide plaintiff with the literature upon which he relied in
determining that plaintiff was a danger to patients or staff; and posting YouTube videos in which
he stated that “all staff in patient-facing positions would be terminated.” Plaintiff alleged that, in
so inducing Riverside, Kambic had acted with self-interest, a desire to harm plaintiff, and a desire
to promote religious discrimination at Riverside.
¶ 27 In count V, for intentional infliction of emotional distress, plaintiff alleged that Kambic and
other Riverside representatives had engaged in a pattern of discriminatory and harassing conduct
to retaliate against him for requesting an exemption to the vaccination policy. According to
1
The third amended complaint does not contain a count “III.”
9
plaintiff, this conduct was extreme and outrageous and included “knowingly and intentionally”
violating the Bylaws during the course of revoking his clinical privileges; preventing him from
presenting a full defense during the January 18, 2022, hearing; disregarding the evidence presented
during the hearing; subjecting his work performance to stricter scrutiny compared to the work
performance of other similarly situated unvaccinated staff with medical exemptions; subjecting
him to demeaning and humiliating comments and behavior regarding his religious beliefs and
unvaccinated status; subjecting him to “repeated baseless” peer review processes so as to interfere
with his ability to practice; and influencing the peer review process to lead to the termination of
his clinical privileges. Plaintiff alleged that, because of defendants’ conduct, he suffered severe
emotional distress that resulted in guilt, shame, embarrassment, hopelessness, anguish, fury,
humiliation, loss of sleep, decrease in appetite, and “other physical manifestations of emotional
distress.”
¶ 28 On July 5, 2023, defendants filed a combined motion to dismiss the third amended
complaint under section 2-619.1 of the Code of Civil Procedure (Code) (735 ILCS 5/2-619.1 (West
2020)). In their motion, defendants requested that the circuit court dismiss all four counts of the
complaint, pursuant to section 2-619 of the Code (id. § 2-619), because they were immune from
liability under section 10.2 of the Act (210 ILCS 85/10.2 (West 2020)). Defendants also requested
that, in the alternative, the court dismiss count I of the third amended complaint, pursuant to section
2-619, because it became moot after Riverside amended its vaccination policy, and that the court
dismiss counts II, IV, and V of the third amended complaint pursuant to section 2-615 of the Code
(735 ILCS 5/2-615 (West 2020)) for failure to state a claim for relief.
¶ 29 Following a hearing on defendants’ combined motion to dismiss, the court found that
defendants were immune from liability under section 10.2 of the Act, that count I was moot, and
10
that plaintiff had failed to state a claim for relief under counts II, IV, and V, respectively. Based on
these findings, the court dismissed the entirety of the third amended complaint with prejudice.
¶ 30 II. ANALYSIS
¶ 31 On appeal, plaintiff challenges the circuit court’s grant of defendants’ combined motion to
dismiss his third amended complaint, on multiple grounds. First, plaintiff argues that defendants
were not immune from liability under section 10.2 of the Act because he had sufficiently alleged
that they took adverse action against his clinical privileges for a sham purpose, which the Act does
not protect. Second, plaintiff argues that count I of the third amended complaint was not moot
because he had sufficiently alleged that he had incurred damages as a result of defendants’ adverse
action against his clinical privileges, despite the fact that defendants later amended the vaccination
policy. Third, plaintiff argues that he stated a claim for relief under counts II, IV, and V of the third
amended complaint, respectively.
¶ 32 A. Legal Standards
¶ 33 Section 2-619.1 of the Code permits a litigant to file a combined motion to dismiss pursuant
to sections 2-615 and 2-619 of the Code. See 735 ILCS 5/2-619.1 (West 2020). “A section 2-615
motion admits all well-pleaded facts and attacks the legal sufficiency of [a] complaint.” Floyd v.
Rockford Park District, 355 Ill. App. 3d 695, 699-700 (2005). The question raised by a section 2-
615 motion is whether the allegations in the complaint, construed in the light most favorable to the
plaintiff, are sufficient to state a cause of action upon which relief can be granted. Id.; Doe v.
Chicago Board of Education, 339 Ill. App. 3d 848, 853 (2003). Dismissal pursuant to section 2-
615 is proper when it is apparent that no set of facts can be proven that would entitle the plaintiff
to relief. Ozuk v. River Grove Board of Education, 281 Ill. App. 3d 239, 244 (1996).
11
¶ 34 In contrast, a section 2-619 motion admits the legal sufficiency of a complaint and all well-
pleaded facts and reasonable inferences therefrom but raises an affirmative matter outside of the
complaint that bars or defeats the cause of action. Reynolds v. Jimmy John’s Enterprises, LLC,
2013 IL App (4th) 120139, ¶ 31. As to any affirmative matter raised in a section 2-619 motion,
there is no admission of truth or sufficiency. Buckner v. O’Brien, 287 Ill. App. 3d 173, 178 (1997).
Statutory immunity is an affirmative matter properly raised in a section 2-619 motion. Wilson v.
City of Decatur, 389 Ill. App. 3d 555, 558 (2009).
¶ 35 When considering a section 2-615 or 2-619 motion to dismiss, a court must accept all well-
pleaded facts in the complaint as true and draw all reasonable inferences from these facts in favor
of the nonmoving party. Edelman, Combs & Latturner v. Hinshaw & Culbertson, 338 Ill. App. 3d
156, 164 (2003). We apply de novo review to dismissals made pursuant to either section 2-615 or
2-619 of the Code. Id. Furthermore, we may affirm the circuit court’s dismissal of a complaint on
any basis in the record, regardless of the court’s reasoning. Kucinsky v. Pfister, 2020 IL App (3d)
170719, ¶ 34.
¶ 36 B. Section 2-619 Dismissal
¶ 37 1. Mootness
¶ 38 We start by analyzing whether count I of the third amended complaint in this case is moot.
It is well settled that the subject matter jurisdiction of the appellate court extends only to cases that
present an actual controversy. See, e.g., Lo v. Provena Covenant Medical Center, 356 Ill. App. 3d
538, 540 (2005). Accordingly, this court will not consider moot or abstract questions or render an
advisory decision. Fisch v. Loews Cineplex Theatres, Inc., 365 Ill. App. 3d 537, 540 (2005). “An
issue is moot if no actual controversy exists or events happen that make it impossible for the court
12
to grant effectual relief.” Baker v. Forest Preserve District of Cook County, 2015 IL App (1st)
141157, ¶ 35.
¶ 39 Plaintiff in this case cites Gates v. Holy Cross Hospital, 175 Ill. App. 3d 439 (1988), to
support his argument that count I is not moot. The plaintiff in Gates was a surgeon whose clinical
privileges at a hospital were summarily suspended. Id. at 441. The plaintiff later sued the hospital,
along with three other defendants, and alleged in his complaint that the hospital had violated
numerous procedural requirements that its medical staff bylaws set forth regarding the suspension
of clinical privileges. Id. at 441, 443. In his complaint, the plaintiff sought the removal of the
summary suspension from his record and compensation for damages in the amount of $250,000.
Id. at 444.
¶ 40 On appeal following the dismissal of the complaint with prejudice, the defendants argued
that the issue was moot because the plaintiff’s suspension had been terminated and his full clinical
privileges had been restored prior to the filing of his complaint. Id. at 448. The appellate court
noted, however, that there remained a question of whether the hospital had substantially complied
with its medical staff bylaws relative to the summary suspension of the plaintiff’s clinical
privileges. Id. The court further noted that, if the plaintiff were to prevail on the merits of the case,
then he would be entitled to an expungement of the summary suspension from his record. Id. The
court thus concluded that an actual controversy still existed and that the issue was not moot, despite
the fact that the plaintiff’s clinical privileges had since been restored. Id.
¶ 41 As was similarly so in Gates, plaintiff in this case alleged that a temporary restraining order
prevented Riverside from “officially” terminating his clinical privileges and that, after it had taken
adverse action against his clinical privileges, Riverside amended the vaccination policy to allow
religious exemptions to patient-facing staff. Also like the plaintiff in Gates, plaintiff in this case
13
nevertheless alleged under count I of the third amended complaint that defendants violated Illinois
law and the Bylaws in taking adverse action against his clinical privileges. Furthermore, although
plaintiff did not specifically request the removal of the adverse action from his record in his prayer
for relief, he did seek monetary relief to compensate for damages that he alleged had resulted from
the fact that Riverside was obligated to report the adverse action to insurance programs in which
he was required to participate, in turn causing him to have to pay increased rates “for the remainder
of his career” and his ability to practice medicine to be “significantly curtailed.”
¶ 42 Despite the similarities to the facts in Gates, defendants in this case argue that count I of
the third amended complaint is moot because they are immune from liability for the monetary
damages sought by plaintiff, under section 10.2 of the Act. Although defendants contend that they
are so immune, plaintiff contends the opposite, and it remains incumbent on this court to determine
which of these contentions is correct and whether defendants are in fact immune under section
10.2 of the Act. Furthermore, if we were to determine that defendants are not so immune, then
there would remain a question of whether defendants violated Illinois law and the Bylaws in taking
adverse action against plaintiff’s clinical privileges, which, if answered in the affirmative, would
in turn potentially entitle plaintiff to the monetary relief that he seeks. Accordingly, we find that
there is an actual controversy under count I of the third amended complaint and that the count is
not moot. See U-Haul Co. of Chicago Metroplex v. Town of Cicero, 87 Ill. App. 3d 915, 918-19
(1980) (concluding that a count of a complaint was not moot but nevertheless properly dismissed,
after finding that the defendants were statutorily immune from liability for damages alleged under
that count of the complaint).
14
¶ 43 2. Immunity
¶ 44 Next, we analyze whether defendants are immune from liability for the monetary damages
that plaintiff alleged under all four counts of his third amended complaint. Relevant to our analysis,
section 10.2 of the Act provides the following, in relevant part:
“[N]o hospital and no individual who is a member, agent, or employee of a hospital,
hospital medical staff, hospital administrative staff, or hospital governing board shall be
liable for civil damages as a result of the acts, omissions, decisions, or any other conduct,
except those involving willful or wanton misconduct, of a medical utilization committee,
medical review committee, patient care audit committee, medical care evaluation
committee, quality review committee, credential committee, peer review committee, or any
other committee or individual whose purpose, directly or indirectly, is internal quality
control or medical study to reduce morbidity or mortality, or for improving patient care
within a hospital, or the improving or benefiting of patient care and treatment, whether
within a hospital or not, or for the purpose of professional discipline including institution
of a summary suspension in accordance with Section 10.4 of this Act and the medical staff
bylaws.” 210 ILCS 85/10.2 (West 2020).
Illinois courts have interpreted section 10.2 to grant physicians, hospitals, and their staff immunity
from civil damages for actions taken in the course of serving on a hospital peer review committee
or other credential committee. See, e.g., Cardwell v. Rockford Memorial Hospital Ass’n, 183 Ill.
App. 3d 1072, 1077-78 (1989) (collecting cases). The supreme court has further interpreted this
section to “indicate a general legislative intention that hospitals and medical staffs be free to
exercise their professional judgment in the selection and retention of medical staff members.”
Barrows v. Northwestern Memorial Hospital, 123 Ill. 2d 49, 58 (1988).
15
¶ 45 The parties in this case do not seem to dispute that Riverside is a “hospital,” that Kambic
is an “employee of a hospital” under section 10.2, or that, consequently, defendants are of the types
of individuals whom the section protects. However, the parties do dispute the actual purpose of
defendants’ alleged conduct and whether, in light of that purpose, immunity under section 10.2
applies. Specifically, defendants assert that immunity applies because the purpose of their alleged
conduct was to protect patient and staff safety during the COVID-19 pandemic. To the contrary,
plaintiff asserts that immunity does not apply because the purpose of defendants’ alleged conduct
was not any of the grounds set forth under section 10.2 but was, instead, a “sham” and undertaken
“to continue to usurp [his] call volume and preferrable cases at [Riverside],” to discriminate against
him based on his religious beliefs, and “to retaliate against [him] for challenging [Kambic’s]
unadopted Covid policy and based on [Kambic’s] personal animus for [him].”
¶ 46 Illinois reviewing courts have discussed the concept of a sham purpose for actions taken
during a peer review process only once, in the decision of Valfer v. Evanston Northwestern
Healthcare, 2016 IL 119220. The plaintiff in Valfer was a physician who sued a hospital for breach
of contract to recover civil damages that had allegedly stemmed from the hospital’s decision not
to reappoint him. Id. ¶¶ 3, 12. The hospital filed a motion for summary judgment on the plaintiff’s
breach of contract claim, arguing, in part, that it was immune from liability for civil damages under
section 10.2. Id. ¶ 13. The circuit court ultimately awarded summary judgment in favor of the
hospital after determining that the plaintiff had provided insufficient evidence to support his
allegation that the reasons for the hospital’s decision to discharge him were that one doctor had an
economic conflict with him and another doctor morally objected to his practice. Id. ¶¶ 13-14.
¶ 47 On appeal, the supreme court in Valfer emphasized that section 10.2 confers immunity in
the context of quality review “only if the review was undertaken based on the actual purpose
16
specified by the statute—i.e., to maintain or improve the quality of health care.” (Emphasis added.)
Id. ¶ 34. Accordingly, the court warned that its decision “should not be interpreted as condoning
sham peer review.” Id. Furthermore, the court stated that a plaintiff physician’s claim pertaining to
a peer review decision may survive a motion to dismiss when the plaintiff “alleges well-pleaded
facts—which are not based on mere speculation or unsupported conclusions—to indicate that the
purpose of the discipline was not based on the grounds enunciated in the statute but was instead a
sham.” Id. ¶ 36. In applying these principles to the facts of the case before it, the court noted that
the plaintiff’s breach of contract claim had advanced beyond the pleading stages, “despite the
conclusory nature of his allegations.” Id. ¶¶ 38. The supreme court also found that the circuit court
had properly awarded summary judgment in favor of the hospital. Id. ¶¶ 39-40.
¶ 48 The Valfer court considered the decision of Levitin v. Northwestern Community Hospital,
64 F. Supp. 3d 1107 (N.D. Ill. 2014), to be instructive on the issue of whether to affirm the circuit
court’s grant of summary judgment. Valfer, 2016 IL 119220 ¶ 39. One of the plaintiffs in Levitin,
Yelena Levitin, was a female general surgeon whose clinical privileges at a hospital had been
revoked during the period that she had practiced within the General Surgery Section of the hospital,
which, in turn, oversaw the hospital’s Surgical Audit Committee. Levitin, 64 F. Supp. 3d at 1111-
12. The plaintiffs alleged that, prior to the revocation of Levitin’s clinical privileges, Daniel
Conway, the chairman of the Surgical Audit Committee and chief of the General Surgery Section,
had “engag[ed] in heightened scrutiny of [Levitin’s] surgeries” and had accessed her patients’
private medical records to find reasons to challenge her professional competence and abilities. Id.
at 1115. The plaintiffs further alleged that Conway had also provided William Soper, his partner
and the chief of the hospital’s Department of Surgery, a list of past surgical cases, which Soper in
turn used to support a request that one of the hospital’s oversight committees review Levitin’s
17
activities and take corrective action against her. Id. at 1116. The plaintiffs asserted that Conway
and Soper had falsely alleged that there were concerns and complaints regarding Levitin’s practice,
“not out of a concern for patient safety, but rather as retaliation for [her earlier] complaints against
Conway and in order to interfere with her practice, which competed with ASA’s, Soper’s, Loren’s,
and Conway’s practices.” Id. at 1116. The plaintiffs alleged that Conway and Soper’s conduct had
caused the revenue earned by Levitin’s practice to decrease by approximately 38%. Id. at 1119.
¶ 49 The plaintiffs in Levitin filed a lawsuit that pertained to the revocation of Levitin’s clinical
privileges. Id. at 1110. The defendants later filed a motion to dismiss the lawsuit and argued therein
that the Act protected them from liability for the plaintiffs’ alleged damages because “Levitin’s
peer review process ‘met all of the statutory requirements ***’ and served the purpose of internal
quality control and improving patient care within the hospital.” Id. at 1120. In addressing the
motion to dismiss, the court found that the plaintiffs’ allegations “provid