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Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
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Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
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Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
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Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
Community Health Alliance's amended lawsuit against its former employee
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Community Health Alliance in Reno sues former employee (original complaint)Community Health Alliance in Reno sues former employee (original complaint)
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Community Health Alliance's amended lawsuit against its former employee

  1. 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 CODE: 1090 Jason D. Guinasso, Esq. SBN# 8478 Alex R. Velto, Esq., SBN# 14961 Astrid A. Perez, Esq., SBN #15977 HUTCHISON & STEFFEN, PLLC 5371 Kietzke Lane Reno, Nevada 89511 Telephone: (775) 853-8746 Facsimile: (775) 201-9611 Attorneys for Plaintiff Community Health Alliance SECOND JUDICIAL DISTRICT COURT OF THE STATE OF NEVADA IN AND FOR THE COUNTY OF WASHOE COMMUNITY HEALTH ALLIANCE, a Domestic nonprofit corporation. Plaintiff, vs. JAMES FLEMING, an individual; DOES 1- 10 inclusive; and ROE CORPORATIONS 1- 10, inclusive. Defendants. Case No.: CV22-00066 Dept No.: 3 AMENDED COMPLAINT Arbitration Exempt [Declaratory Relief Sought] Plaintiff Community Health Alliance (“Plaintiff” or “CHA”), by and through its counsel of record, Hutchison & Steffen, PLLC, hereby asserts the following claims against defendant James Fleming (“Defendant” or “Jim” or “Fleming”), and represents the following to this Honorable Court: PARTIES, JURISDICTION, AND VENUE 1. At all relevant times here, Community Health Alliance has been a nonprofit corporation formed under the laws of the State of Nevada, with a license to do business in Nevada, and with a principal place of business in Washoe County, Nevada at 680 S. Rock Blvd, Reno, NV, 89502. F I L E D Electronically CV22-00066 2022-02-01 04:34:36 PM Alicia L. Lerud Clerk of the Court Transaction # 8875186 : yviloria
  2. 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 2. At all relevant times here, and upon information and belief, James Fleming (“Fleming”) has been a resident of Washoe County, Nevada. 3. The true names and capacities of DOES I through X, inclusive, whether individual, corporate, associate, or otherwise are unknown to Plaintiff who therefore sues said defendants by such fictitious names. Plaintiff is informed and believes and therefore alleges that each of the defendants designated as DOES 1 through 10 is responsible in some manner for the events and happenings referred to in this action and proximately cased damages to the Plaintiff as herein alleged. The legal responsibility of said defendant DOES 1 through 10 arises out of, but is not limited to, their status as owners, officers, directors, advisors, employees, agents, contractors, masters/servants, or joint venturers with Community Health Alliance. Plaintiff will ask leave of this Honorable Court to amend this Complaint to insert the true names and capacities of DOES 1 through 10, and when the same have been ascertained, to join such defendants to this action together with the proper charging allegations. 4. The true names and capacities of ROE CORPORATIONS I through X, inclusive, whether individual, corporate, associate, or otherwise are unknown to Plaintiff who therefore sues said defendants by such fictitious names. Plaintiff is informed and believes and therefore alleges that each of the defendants designated as ROE CORPORATIONS 1 through 10 is responsible in some manner for the events and happenings referred to in this action and proximately caused damages to the Plaintiff as herein alleged. Plaintiff will ask leave of this Honorable Court to amend this Complaint to insert the true names and capacities of ROE CORPORATIONS 1 through 10, and when the same have been ascertained, to join such defendants to this action together with the proper charging allegations. These ROE CORPORATIONS include presently unknown entities publishing and/or sharing defamatory statements in concert with people bound by confidentiality agreements with Plaintiff. 5. This Court has subject matter jurisdiction pursuant to NRS 4.370(1) because the matter in controversy exceeds $15,000.00, exclusive of attorneys’ fees, interest, and costs. 6. This Court has personal jurisdiction over the parties, and each of them, because the incidents alleged occurred in Washoe County, Nevada, and/or because each of the parties
  3. 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 availed themselves of opportunities to conduct business in the State of Nevada, establishing minimum contacts with the forum, and are therefore subject to personal jurisdiction in Nevada on claims arising out of that contact. 7. Venue is proper in this District Court because James Fleming and DOES 1-10 are a resident of Washoe County Nevada, and/or ROE CORPORATIONS is a company formed under the laws of the State of Nevada and does business within Washoe County, Nevada, and the incidents alleged occurred in Washoe County, Nevada. GENERAL ALLEGATIONS 8. Community Health Alliance (“CHA”) is a Health Center Program grantee under 42 U.S.C. 254b. 9. CHA provides an extensive range of healthcare services, including medical, dental, and behavioral health services, to approximately 22,000 patients throughout Washoe County. 10. CHA provides services regardless of a patient’s insurance status or ability to pay. 11. CHA manages a Women, Infants, and Children (WIC) Program. 12. CHA provides community education on health issues and outreach to underserved populations. 13. CHA has six (6) healthcare centers in Washoe County. 14. CHA receives funding from federal grants and private donations and also bills third-party payors for services rendered. Patients without insurance or Medicaid are billed pursuant to a sliding fee discount based on their reported income. 15. Each year, CHA is required to report on its performance to the Health Services Resources Administration (“HRSA”), using measures defined in the Uniform Data System (“UDS”). 16. The UDS is due to HRSA by February 15th of each calendar year. 17. Defendant James Fleming is a former CHA employee.
  4. 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 18. Fleming began his employment with CHA on October 17, 2017, as an Electronic Dental Record Specialist/Statistician. 19. Fleming’s role largely consisted of extracting and reporting data related to the services CHA provides and the patients CHA serves. 20. Beginning in 2019, one of Fleming’s duties included providing CHA’s Finance Department with data related to CHA’s UDS reporting. 21. Fleming’s employment with CHA was terminated on February 22, 2021, due to attendance issues, missed deadlines, and mishandling of CHA’s confidential information. Specifically, Fleming: (1) repeatedly failed to be at work at the time and location directed by his supervisor; (2) repeatedly failed to follow CHA’s procedures for calling in; (3) repeatedly failed to meet deadlines with regard to UDS reporting; and (4) emailed confidential CHA data to his personal email account. 22. Oscar Delgado (“Mr. Delgado”) has held the position of Chief Executive Officer (“CEO”) at CHA since October 2019. 23. On or about June 22, 2020, Casey Gillham (“Mr. Gillham”) was hired to be the Chief Legal Officer at CHA. 24. Mr. Gillham received his Juris Doctor from the University of Oregon and has been in good standing and an active member of the Nevada State Bar since 2010. 25. In or about August 2021, Mr. Gillham’s title and responsibilities changed, and he became CHA’s Chief Administrative Officer. 26. Phil Nowak (“Mr. Nowak”) is the Chief Financial Officer at CHA and has held that position since joining CHA on or about November 13, 2018. 27. Laura Evasovic (“Ms. Evasovic”) has been the Director of Finance at CHA since on or about June 12, 2018. 28. Michele Davenport (“Ms. Davenport”) is the Human Resources Director at CHA and she has held that position since on or about January 25, 2021. Prior to being promoted to Human Resources Director, Ms. Davenport served as CHA’s Human Resources Coordinator from on or about September 6, 2017 to January 24, 2021.
  5. 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29. Because CHA is a healthcare provider, it is committed to safeguarding and maintaining the confidentiality, integrity, and availability of its patient, employees, and proprietary information that relates to patient treatment, payment, or the health care operations of CHA. 30. As an employer in the medical field, CHA’s employment records also include information about employee salaries, benefits, performance reviews, medical information, and other sensitive human resources’ matters. 31. As an emerging leader in Nevada’s competitive healthcare field, CHA also maintains proprietary information about its operations, associates, plans, developments, financial information, strategies, purchasing, and marketing. 32. Because of all the numerous types of confidential and sensitive information CHA possesses, it requires employees to agree to a Confidentiality and Information Access Agreement (“Confidentiality Agreement”) as a condition of employment. Exhibit 1. 33. The Confidentiality Agreement prevents the disclosure of confidential information, which includes the following—whether the information is written, electronic or verbal: Patient information or protected health information (“PHI”), is any personal, or medical information that relates to a patient’s treatment, payment, or the health care operations of, Organization[ ] Employee records include information about employees’ salaries, benefits, performance reviews, medical information and other human resources’ matters. Proprietary information is private (not publicly available) information about CHA’s operations, associates, plans, development, financial information, strategies, purchasing, marketing, etc. Exhibit 1. 34. On October 17, 2017, James Fleming signed the Confidentiality Agreement. Exhibit 1. 35. The Confidentiality Agreement states, in relevant part: “I understand and agree that I must safeguard and maintain the confidentiality, integrity, and availability of all
  6. 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Confidential information I use, disclose, and/or access at all times, whether or not I am at work and regardless of how it was accessed.” Exhibit 1 (emphasis added). 36. Fleming also agreed that he “understand[s] that access to all CHA’s Information Systems including Email and Internet are intended for business usage” and that he will “only access or use the systems or devices that [he is] authorized to access and agree[s] not to demonstrate the operation or function of any of [CHA’s] information systems or devices to unauthorized individuals,” nor would he “use tools or techniques to break/exploit security measures.” Exhibit 1. 37. Most importantly, Fleming committed to “not in any way divulge, copy, release, sell, loan, alter, or destroy any Confidential Information except as properly authorized” and he would “immediately report to CHA . . . any activity that violates this agreement.” Exhibit 1. 38. Fleming agreed that his obligations under the Confidentiality Agreement continue even “after the individual is no longer employed by CHA” during which time he would “continue to maintain the confidentiality, integrity, and availability of all Confidential Information even after termination, completion, cancellation, expiration or cessation of access to CHA’s Information systems.” Exhibit 1 (emphasis added). 39. As a condition of employment, the Confidentiality Agreement was supported by consideration. 40. Even absent consideration, the Agreement is enforceable because there is a compelling public interest to protect confidential health information. 41. On December 13, 2021, nearly ten months after his employment with CHA was terminated, Fleming posted to LinkedIn that he had gained “limitless access to CHA’s offsite servers,” and reported on Mr. Gillham’s salary information and CHA’s unduplicated patient count. Exhibit 2. 42. However, since that post—and after CHA filed its initial complaint in this matter—Fleming posted on social media that he was “trolling” CHA about his claim that he had gained “limitless access” to CHA’s offsite servers. Exhibit 3.
  7. 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 43. CHA understands Fleming’s “trolling” as malicious and intending to injure CHA’s reputation.1 Exhibit 3. 44. Fleming’s admission to lying also makes it impossible to assess whether he has been honest or dishonest about any of the other claims he has made. 45. Since his termination, Fleming has engaged in a campaign of disparagement against CHA. For example, Fleming claimed that CHA has engaged in “massive fraud” for the years 2018-2020 related to its WIC program and that CHA has used WIC program funding as a “slush fund.” CHA vehemently denies Fleming’s claims related to its WIC program. In 2020, Nevada’s Department of Health and Human Services conducted a financial review of CHA’s WIC Program to “ensure that expenses charged to the WIC program during FY 2018 and 2019 were in accordance with established cost principles pursuant to 7 CFR 246 and 7 CFR 3016 and the provisions contained in the Notice of Sub-grant award in effect for the stated periods.” On August 25, 2020, the Department of Health and Human Services issued its Financial Review Notification, which determined that “[n]o findings were noted” related to CHA’s WIC program. Exhibit 4. 46. Fleming claimed that members of CHA’s management and executive teams are “sloppy thieves” and that they have knowingly submitted falsified data to HRSA. CHA vehemently denies these claims. 47. In addition to those claims, since Fleming’s termination, he has also maliciously made false and disparaging statements against CHA, and CHA’s management that qualify as business disparagement, slander, slander per se, and have damaged CHA’s reputation, specific to the following: 48. On December 4, 2021, Fleming posted on Facebook, stating that CHA does not do HIV screening. Fleming specifically stated, “[n]ever ever ever [sic] claim to do HIV screening when your own reporting to HRSA shows that you do not” and claimed CHA has lied about doing any HIV screening. Exhibit 2. 1 Fleming has since deleted the social media post wherein he admits to “trolling” CHA.
  8. 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 a. Fleming knew that his claim was false because, as part of his duties with CHA, he collected information and reported on CHA’s HIV screening efforts. On February 15, 2021, Fleming sent Ms. Evasovic an email in which he reported on the number of HIV screenings CHA had conducted in 2020. 49. On December 13, 2021, Fleming posted to Linked that Mr. Gillham fabricated patient and public health statistics for the years 2014, 2015, 2016, 2017, 2018, and 2019 “in return for millions of dollars of funding.” Exhibit 2. a. Fleming knew these claims to be false because Mr. Gillham did not begin his employment with CHA until June 22, 2020, approximately four months after the UDS data for calendar year 2019 had been submitted to HRSA. And even after Mr. Gillham began his employment with CHA, Mr. Fleming was aware that Mr. Gillham was not responsible or involved in any way in collecting or reporting statistical information to HRSA. 50. On December 13, 2021, Fleming posted on Facebook that Mr. Gillham forged his law school transcript. a. Fleming knew these claims to be false because on at least two occasions, while still employed with CHA, Mr. Fleming met with Mr. Gillham in his office, where Fleming could see Mr. Gillham’s law school diploma and law license hanging above his desk. 51. On December 13, 2021, Fleming posted to LinkedIn that Mr. Nowak “deliberately goos[ed] federal-health-grant-sensitive stats [sic]” to induce “seven figure HOMELESS POPULATION MEDICAL AND SUBSTANCE TREATMENT 330(h) grant fund amounts.” Exhibit 2. a. Fleming knew these claims to be false because: (1) Fleming was responsible for extracting collected data for UDS submissions for calendar years 2019 and 2020; (2) on February 10, 2020, Fleming sent an email to Ms. Evasovic and Mr. Nowak, stating that CHA had served 2003 patients experiencing
  9. 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 homelessness for calendar year 2019; (3) CHA reported to HRSA that it served 2003 homeless patients in 2019, as reported by Fleming; however, HRSA subsequently requested that CHA provide an explanation or amendment to the number of homeless patients served in 2019 because the number reported was less than what CHA reported serving in 2018; (4) after additional review and analysis of the number of patient visits and the location of those visits, CHA reported that it served 2,257 homeless patients in 2020, which Mr. Nowak then submitted to HRSA. b. Fleming had other reasons to know these claims were false because on February 15, 2021, approximately a year after CHA submitted its UDS data for calendar year 2019, Fleming sent an email to Mr. Nowak and Ms. Evasovic, stating that for calendar year 2020, CHA served 881 patients experiencing homelessness. CHA reported to HRSA serving 881 patients experiencing homelessness, as reported by Fleming without question, even though that number represented a decrease of 1,376 homeless patients. c. Fleming knew these claims to be false because Fleming has stated publicly that in his opinion CHA’s reporting of homeless patients prior to 2020 was inaccurate because “people were confused and accidentally self-reported inaccurately,” not that CHA acted fraudulently. Fleming also admitted that CHA accepted his recommendation to change its intake form to more accurately capture the number of homeless patients served2 . Exhibit 5. 52. On December 14, 2021, Fleming posted to LinkedIn that Mr. Gillham and Ms. Davenport “fabricated or lied about knowingly” the number of at-risk children and individuals experiencing homelessness that CHA served in 2014, 2015, 2016, 2017, 2018, 2019, and 2020. Exhibit 2. a. Fleming knew these claims to be false because Mr. Gillham did not begin his employment with CHA until June 22, 2020, approximately four 2 Fleming made these statements to This is Reno. See the article attached as Exhibit 5. https://thisisreno.com/2021/11/county-reports-875-increase-in-homelessness-since-2017/
  10. 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 months after the UDS data for calendar year 2019 had been submitted to HRSA. And even after Mr. Gillham began his employment with CHA, Mr. Gillham was not responsible or involved in any way in collecting or reporting statistical information to HRSA. Similarly, Ms. Davenport, as CHA’s Human Resources Coordinator and then its Human Resources Director, was not responsible or involved in any way in collecting or reporting statistical information related to at-risk children or homeless patients to HRSA. Fleming knew that neither Mr. Gilham nor Ms. Davenport were involved in the collection or submission of UDS data related to at-risk children or individuals experiencing homelessness because Fleming compiled data for CHA and worked closely with the team that submitted UDS data to HRSA. 53. Fleming’s statements this Complaint identifies as disparaging statements that qualify as business disparagement, slander, slander per se have exposed CHA, its employees, and officers, to hatred, contempt, ridicule, and obloquy, while reflecting poorly on CHA and its Board. 54. Fleming’s statements this Complaint identifies as disparaging statements that qualify as business disparagement, slander, slander per se this were false and fueled by Fleming’s vindictiveness. 55. Fleming admitted as much in an interview with Our Town Reno, wherein he admitted that his current pursuit to defame CHA is based on “vindictiveness.” Exhibit 6. 56. Fleming’s statements this Complaint identifies as disparaging statements that qualify as business disparagement, slander, slander per se concern the performance of the officers in their official capacity in a manner that has had a deleterious effect on CHA’s ability function effectively. 57. Aside from those effects of Fleming’s statements, the language written about CHA, its officers, and its employees this Complaint identifies as disparaging statements that qualify as business disparagement, slander, slander per se negatively implicates the way those
  11. 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 officers and/or employees perform their duties and responsibilities as officers or agents of CHA, so as to have a natural tendency to affect the corporation disadvantageously in its business, service of the public, and access to resources necessary for the fulfillment of its public service goals. FIRST CAUSE OF ACTION (Breach of Contract) (Against James Fleming) 58. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 57. As fully set forth herein. 59. Fleming entered into an agreement with CHA to which he is under the duty to maintain the confidentiality and integrity of CHA’s confidential and/or proprietary information. 60. Fleming has released confidential and/or proprietary information about CHA. 61. Fleming has committed publicly to releasing further confidential information. 62. Fleming has stated publicly that he has gained access to systems or devices he is not authorized to have access to that contain confidential health and/or employee and/or proprietary information. 63. Fleming has violated and is currently violating his agreement with CHA as detailed above, constituting, inter alia, breaches of contract. 64. The confidentiality agreement was supported by consideration. 65. There is no privilege or justification warranting Fleming’s illicit conduct. 66. Fleming’s breach and potential breach creates irreparable harm that would damage CHA’s reputation and potentially release confidential information of its patients, whom are overwhelmingly a sensitive population. 67. Plaintiff has been damaged by Fleming’s actions in an amount exceeding $15,000. 68. Plaintiff has been forced to retain an attorney to litigate this dispute and should receive their attorney fees and costs.
  12. 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECOND CAUSE OF ACTION (Breach of the Implied Covenant of Good Faith Dealing) (Against James Fleming) 69. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 68 as fully set forth herein. 70. In every contract under Nevada law, including the one between CHA and Fleming, there is a covenant of good faith and fair dealing. 71. Fleming entered into a valid agreement with CHA, to which Fleming agreed not to release confidential information. 72. Fleming breached the implied covenant of good faith and fair dealing by willfully engaging in activities in violation of the agreement in order to cause direct harm to CHA. 73. Plaintiff has been damaged by Fleming’s actions in an amount exceeding $15,000. 74. Plaintiff has been forced to retain an attorney to litigate this dispute and should receive attorney fees and costs. THIRD CAUSE OF ACTION (Business Disparagement) (Against James Fleming) 75. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 44 and 47 through 69 as fully set forth herein. 76. Upon information and belief, Defendant has made false statements to the public via LinkedIn posts, Facebook posts, publication of articles, and sharing of information asserting that: CHA does not provide HIV screening; Mr. Gillham fabricated patient and public health statistics for the years 2014, 2015, 2016, 2017, 2018, and 2019; Mr. Gillham forged his law school transcript; Mr. Gillham and Ms. Davenport “fabricated or lied about knowingly” the number of at-risk children and individuals experiencing homelessness that CHA served in 2014, 2015, 2016, 2017, 2018, 2019, and 2020; that Mr. Nowak “deliberately goos[ed]” statistics in order to induce grant funding.
  13. 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 77. Defendant made these statements knowing they were false, or with a reckless disregard for whether they were false. 78. Defendant made these statements with malice. 79. Given the egregious nature of Fleming’s statements, damages are presumed per se. 80. Plaintiff has been damaged by Defendant’s actions in an amount exceeding $15,000. 81. Plaintiff has retained an attorney to litigate this dispute and should receive an award of attorney fees and costs. 82. Plaintiff is entitled to punitive damages arising out of the willful, intentional, and/or reckless conduct of Defendant. FOURTH CAUSE OF ACTION (Slander Per Se) (Against James Fleming) 83. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 44 and 47 through 81 as fully set forth herein. 84. Upon information and belief, Defendant made false statements to the public via LinkedIn posts, Facebook posts, publication of articles, and sharing of information, asserting that: CHA has lied about providing HIV screening; Mr. Gillham fabricated patient and public health statistics for the years 2014, 2015, 2016, 2017, 2018, and 2019; Mr. Gillham forged his law school transcript; Mr. Gillham and Ms. Davenport “fabricated or lied about knowingly” the number of at-risk children and individuals experiencing homelessness that CHA served in 2014, 2015, 2016, 2017, 2018, 2019, and 2020; that Mr. Nowak “deliberately goos[ed]” statistics in order to induce grant funding. 85. Defendant made these false statements that would tend to injure Plaintiff’s trade, business, profession or office. 86. Defendant intentionally made these statements knowing they were false, or with a reckless disregard for whether they were false. 87. Defendant made these statements with malice.
  14. 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 88. Given the egregious nature of Fleming’s statements, damages are presumed per se. 89. Plaintiff has been damaged by Defendant’s actions in an amount exceeding $15,000. 90. Plaintiff has retained an attorney to litigate this dispute and should receive an award of attorney fees and costs. 91. Plaintiff is entitled to punitive damages arising out of the willful, intentional, and/or reckless conduct of Defendant. FIFTH CAUSE OF ACTION (Injunctive Relief) (Against James Fleming) 92. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 44 and 47 through 89 as fully set forth herein. 93. Fleming’s violation of the Confidentiality and Information Access Agreement will cause CHA irreparable harm. 94. Fleming has violated and is violating the agreement by failing to safeguard and maintain the confidentiality and integrity of CHA’s information by disparaging CHA and sharing information confidential information with the public, for which injunctive relief is necessary. 95. Plaintiff has been and continues to be, irreparably harmed by this Defendant’s actions. 96. Plaintiff has a likelihood of success on its claims. 97. Plaintiff is entitled to an injunction enjoining Defendant from disparaging CHA and sharing CHA’s confidential information. 98. Plaintiff has retained an attorney to litigate this dispute and is entitled to an award of attorney fees and costs. 99. Plaintiff is entitled to punitive damages arising out of the negligent, willful, intentional, and/or reckless conduct of Defendant.
  15. 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SEVENTH CAUSE OF ACTION (Breach of Confidence) 100. Plaintiff repeats and realleges the allegations contained in the above paragraphs as though fully stet forth herein. 101. Fleming entered into an agreement with CHA to which he is under the duty to maintain the confidentiality and integrity of CHA’s confidential and/or proprietary information. 102. Fleming has released confidential and/or proprietary information about CHA. 103. Fleming has committed publicly to releasing further confidential information. 104. Fleming has stated publicly that he has gained access to systems or devices he is not authorized to have access to that contain confidential health and/or employee and/or proprietary information. 105. The information Fleming is releasing and has threatened to release was intended to be kept secret. 106. Fleming uses or disclosed confidential information into the public domain. 107. There is no privilege or justification warranting Fleming’s illicit conduct. 108. Fleming’s breach and potential breach of confidentiality creates irreparable harm that would damage CHA’s reputation and potentially release confidential information of its patients, whom are overwhelmingly a sensitive population. 109. Plaintiff has been damaged by Fleming’s actions in an amount exceeding $15,000. 110. Plaintiff has been forced to retain an attorney to litigate this dispute and should receive their attorney fees and costs. SEVENTH CAUSE OF ACTION (Declaratory Relief) 111. Plaintiff repeats and realleges the allegations contained in paragraphs 1 through 44 and 47 through 108 as fully set forth herein. 112. The Confidentiality and Information Access Agreement between CHA and Fleming expressly provides that Fleming is not released from liability even though he is no longer employed with CHA.
  16. 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 113. Each of Fleming’s wrongful acts alleged in this Complaint constituted willful misconduct. 114. Therefore, CHA requests declaratory relief in the form of an order from the Court that Fleming is not released from his wrongful acts. WHEREFORE, plaintiffs pray: 1. For judgment against defendant for special, general and compensatory damages in excess of $15,000; 2. For an injunction preventing Defendant from violating his agreements with CHA; 3. For declaratory relief; 4. For punitive damages; 5. For any other relief as the Court deems just and proper. Affirmation Pursuant to NRS 239B.030. The undersigned affirms that the preceding document does not contain the social security number of any person. DATED this 1st day of February, 2022. HUTCHISON & STEFFEN, PLLC By: Jason D. Guinasso, Esq.,8478 Alex R. Velto, Esq., 14961 Astrid A. Perez, Esq., 15977 5371 Kietzke Lane Reno, NV 89511 Attorneys for Plaintiffs
  17. 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 CERTIFICATE OF SERVICE Pursuant to NRCP 5(b), I certify that I am an employee of the law firm of HUTCHISON & STEFFEN, LLC and that on the 1st day of February, 2022, I caused service of a true and correct copy of the AMENDED COMPLAINT by the following means: Via eflex to: JOHN L. MARSHALL, ESQ. (SBN 6733) 570 Marsh Avenue Reno, Nevada 89509 (775) 303-4882 johnladuemarshall@gmail.com LUKE A. BUSBY, ESQ. (SBN 10319) 316 California Ave. Reno, Nevada 89509 (775) 453-0112 luke@lukeandrewbusbyltd.com /s/ Kelli Radnothy______________ An employee of Hutchison & Steffen, PLLC
  18. 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 LIST OF EXHIBITS Exhibit No. Document Title # of Pages* Exhibit 1 Confidentiality and Information Access Agreement, dated October 17, 2017 3 Exhibit 2 James Fleming social media posts 13 Exhibit 3 James Fleming “trolling” Facebook post 2 Exhibit 4 WIC Audit Letter 2 Exhibit 5 This is Reno Article 12 Exhibit 6 Our Town Reno Article 8 * Includes exhibit cover page
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