MAIN, Justice.
Alabama Psychiatric Services, P.C. ("APS"), and Managed Health Care Administration, Inc. ("MHCA"), the defendants in this action, appeal from the trial court's order denying their motions for a judgment as a matter of law ("JML") made at the close of all the evidence. Although the jury entered a verdict for APS and MHCA, they nonetheless argue that the two claims that were ultimately tried should not have been submitted to a jury. APS and MHCA also appeal from the order entered by the trial court granting a motion for a new trial filed by A Center for Eating Disorders, L.L.C. ("ACED"), the plaintiff in this action. The trial court's order overturned the judgment entered on a jury verdict for APS and MHCA. We reverse and remand.
In its order granting in part the motions for a summary judgment filed by APS and MHCA, the trial court stated the facts as follows:
ACED opened its doors under the name Alabama Center for Eating Disorders and using the acronym ACED. Shortly thereafter, as the trial court noted, APS filed a trademark-infringement lawsuit against ACED, arguing that ACED's name infringed on the name of APS's eating-disorder
APS, MHCA, and Blue Cross initially filed motions to dismiss ACED's complaint. The trial court denied those motions as to all counts except count III, which alleged fraud, misrepresentation, and deceit. As to count III, the trial court ordered ACED to file a more definite statement. When ACED filed nothing further, the trial court entered an order on January 6, 2010, dismissing count III as to all defendants with prejudice.
APS, MHCA, and Blue Cross then filed motions for a summary judgment; ACED opposed those motions. All parties filed evidence supporting their respective positions. The trial court heard what it described as "extensive oral arguments" on the summary-judgment motions on April 13, 2011. On April 19, 2011, the trial court entered a summary judgment for APS and MHCA as to count II (defamation). On June 29, 2011, the trial court entered detailed orders on the summary-judgment motions. As to Blue Cross, the trial court entered a summary judgment in its favor on all counts except count VII (seeking declaratory relief). As to APS and MHCA, the trial court entered a summary judgment in their favor as to counts IV (breach of contract) and V (interference with the health-care-provider/patient relationship). The trial court denied the summary-judgment motions as to count I (intentional interference with contractual/business relations) and count VI (conspiracy). The trial court made no ruling on count VII, the count seeking declaratory relief, in its June 29 order.
On October 13, 2011, the trial court entered an order finding that the evidence before it indicated that there was no justiciable controversy requiring declaratory relief in this case because, the court said, "a judgment of this Court would not affect [ACED's] legal position and would not provide. [ACED] with any relief. Additionally, [ACED] lacks standing to obtain the requested relief." The trial court then entered a summary judgment in favor of APS and MHCA as to count VII. It also entered a summary judgment in favor of Blue Cross as to count VII and, because no other claims remained pending against Blue Cross, dismissed Blue Cross as a defendant with prejudice.
The case then proceeded to trial against APS and MHCA on counts I and VI of ACED's complaint. Before trial, APS and MHCA filed an extensive motion in limine as to numerous items; ACED also filed a motion in limine. On November 9, 2011, the trial court entered an order responding
ACED then filed a motion for a new trial. ACED argued that the trial court erred in excluding certain evidence pursuant to its pretrial order on the parties' motions in limine. ACED concluded by arguing that the trial court's exclusion of the evidence discussed in its motion prevented ACED "from showing the true manipulation of this sham network by no written agreement and the actual false statements made in later contracts." After APS and MHCA responded to the motion for a new trial, the trial court heard argument on the motion. On January 26, 2012, the trial court entered an order granting ACED's motion for a new trial and reinstating count IV (breach of contract) as to which the court had entered a summary judgment in favor of APS and MHCA. APS and MHCA appealed.
Waddell & Reed, Inc. v. United Investors Life Ins. Co., 875 So.2d 1143, 1152 (Ala. 2003).
The elements of a claim of intentional interference with business relations are (1) the existence of a protectable business relationship; (2) of which APS and MHCA were aware; (3) to which APS and MHCA were strangers; and (4) with which APS and MHCA intentionally interfered; and (5) damage to ACED. White Sands Grp., LLC v. PRS II, LLC, 32 So.3d 5, 14 (Ala.2009). APS and MHCA first argue that the trial court erred when it denied their motions for a JML at the close of all the evidence. Because ACED failed to support each of the elements of intentional interference with a business relationship with substantial evidence, they argue, they were entitled to a JML as to that claim. They further argue that because they are entitled to a JML as to ACED's claim of intentional interference with a business relationship, ACED's conspiracy claim also fails.
The dispositive question presented by this appeal is whether ACED presented substantial evidence at trial of any act of intentional interference by APS or MHCA with ACED's business relationships. APS and MHCA argue that they did not attempt to manipulate the market so that APS is MHCA's only in-network provider for eating-disorder partial-hospitalization ("PHP") services or to ensure that APS "gets all the business." APS and MHCA's brief, at 27. Instead, they say, "MHCA has simply made the business decision that, in order to provide the appropriate and required treatment to Blue Cross insureds with [expanded psychiatric services] benefits, it only needs one eating disorder PHP facility in its network of providers." APS and MHCA's brief, at 27-28.
APS and MHCA correctly state that this Court has consistently held that a mere refusal to deal is not an intentional interference with a business relationship, citing Axelroth v. Health Partners of Alabama, Inc., 720 So.2d 880, 886 (Ala.1998). APS and MHCA also rely on Denton v. Alabama Cotton Coop. Ass'n, 30 Ala.App. 429, 432-33, 7 So.2d 504, 507 (1942), in which the Court of Appeals held that "[e]very person has the right to deal or refuse to deal with whom he chooses." Moreover, they say, Alabama courts cannot force a company to do business with another company because, they argue, Alabama law recognizes that a citizen of this state "is free to contract in any way he sees fit," citing Kinmon v. J.P. King Auction Co., 290 Ala. 323, 325, 276 So.2d 569, 570 (1973). Because the business arrangement between APS and MHCA is within their rights, they argue, ACED's claims fail as a matter of law. We agree.
APS and MHCA maintain that ACED failed to offer any evidence indicating that MHCA was obligated to include ACED in its approved-provider network for expanded-psychiatric-services policy coverage. They argue that ACED's claim amounts to an argument that it is "not fair" that MHCA did not approve ACED as an in-network provider, and such a claim, they argue, does not create a valid cause of action. APS and MHCA contend that Renee Miller, ACED's clinical director and one of the two members of the limited liability corporation, admitted that MHCA had no obligation to do business with ACED and that she knew what ACED's status with Blue Cross would be before she formed ACED. Furthermore, they argue, Alabama is not an "any willing provider" state in which health insurers are obligated to include all providers in their networks, but, instead, Alabama law permits health insurers to maintain exclusive-provider
After reviewing the record in this case, we are unable to find any evidence to suggest that APS or MHCA intentionally interfered with ACED's business relationships. During Miller's cross-examination by one of the attorneys for APS and MHCA, she testified that she had no evidence to confirm that APS and MHCA had interfered with ACED's business and had instructed patients to leave ACED's program and to attend APS's program. Miller further testified that MHCA had no obligation to do business with ACED.
Likewise, because APS and MHCA were entitled to a JML as to ACED's intentional-interference-with-business-relations claim, ACED's conspiracy claim should not have been submitted to the jury. Alabama law is clear that a conspiracy "is not an independent cause of action; therefore, when alleging conspiracy, a plaintiff must have a viable underlying cause of action." Drill Parts & Serv. Co. v. Joy Mfg. Co., 619 So.2d 1280, 1290 (Ala.1993) (citing Allied Supply Co. v. Brown, 585 So.2d 33, 36 (Ala.1991)). Because ACED did not prove its underlying cause of action (intentional interference with business relations), APS and MHCA also were entitled to a JML as to ACED's conspiracy claim.
We conclude that ACED failed to present substantial evidence showing that APS or MHCA intentionally interfered with ACED's business relations. Because, as a matter of law, the evidence does not support a finding of intentional interference, the trial court erred in denying the motion for a JML filed by APS and MHCA at the close of all the evidence as to ACED's intentional-interference-with-business-relations claim and its conspiracy claim. Therefore, those claims should not have been submitted to the jury, and the trial court's order denying APS's and MHCA's motions for a JML is due to be reversed.
We next address whether the trial court should have granted ACED's motion for a new trial. Because we hold that the trial court erred when it submitted ACED's two remaining claims to the jury, we further hold that the trial court erred when it granted ACED's motion for a new trial and reinstated ACED's breach-of-contract claim.
We reverse the trial court's order denying APS's and MHCA's motions for a JML
REVERSED AND REMANDED.
STUART, BOLIN, PARKER, MURDOCK, SHAW, and BRYAN, JJ., concur.
MOORE, C.J., dissents.
WISE, J., recuses herself.