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This opinion sets forth the Court’s
findings on claims against a psychologist, Robert Sayre,
relating to fees he charged to Hilda Anderson, whom
Sayre treated over a long period of time for a number of
mental illnesses. Sayre also was employed at various
times by the Ayer-Anderson Foundation, a non-profit
organization at which Ms. Anderson worked. From 1994
through early 2003, Sayre billed Ms. Anderson in excess
of $600,000. All of the bills were sent to and paid by
Ms. Anderson’s attorney (Conant) and contained no
explanation whatsoever as to what treatment was being
provided. Plaintiff’s claims against Conant were settled
before trial. The invoices simply listed dates, names
and number of hours. There were nearly 600 entries of
four hour sessions designated “Hilda, Paul and Frank.”
Paul was Hilda’s husband and Frank was an astronomer who
came to the Foundation twice a week and ran courses in
astronomy. The Court found that none of these sessions
related to services provided to Ms. Anderson. Despite
this inappropriate billing, the jury found, and the
Court agreed, that Sayre inflicted no physical or
emotional harm on his patient.
There were four claims tried to the
Court: unjust enrichment, declaratory judgment, breach
of fiduciary duty and violation of Chapter 93A. The
Court held that Sayre breached his fiduciary duty as a
psychotherapist by billing Ms. Anderson for services he
did not render. The Court held that the claim of unjust
enrichment was in effect an equitable remedy to which
Plaintiff was entitled as a result of Sayre’s breach of
fiduciary duty. As for the 93A claim, the Court found
that the demand letter was satisfactory in its
explication of the claims presented. The Court also held
that but for the billing of fictitious sessions, Sayre
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liable under 93A because his treatment
did not harm Ms. Anderson. To the contrary, the Court
found that Ms. Anderson clearly benefited from Sayre’s
treatment. The Court, however, held that Sayre violated
93A by misrepresenting or exploiting his fees. The Court
acknowledged that there is no case law involving whether
the fee practices of a psychologist are subject to 93A.
Relying on a 1984 SJC decision in which the Court held
that a 93A claim could be maintained against an attorney
for pursuing an unlawful contingent fee agreement, the
Court concluded that there is “little substantive
difference between an attorney pursuing an illegal fee
agreement . . . and a psychologist misrepresenting the
amount of his fees or exploiting his position with his
patient regarding his fees, which is made illegal by the
incorporation of the Ethical Principles of Psychologists
and Code of Conduct.”
The Court also refused to dismiss the 93A
claim on the basis of the statute of limitations,
notwithstanding that some of the services were rendered
well in excess of four years prior to commencement of
the action. The Court noted that the discovery rule
applies to 93A claims and that Ms. Anderson did not
discover her monetary loss until uncovering her
attorney’s own fiduciary breaches in paying the bills
without question. The Court reasoned: “In a battle
between a psychologist with significant fiduciary duties
to his patient, who violated [ethical rules] . . ., and
a patient with the kind of psychological impairments of
Mrs. Anderson, this Court sides with the patient.” The
Court, however, declined to award multiple damages, on
the bases that Ms. Anderson did not suffer any physical
or emotional harm and that her economic harm was
compounded by her attorney (Conant).
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