Herbert

Petitioners Patsy Herbert et al., are the widow and eight children of Clarence Herbert and the plaintiffs in a wrongful death action against Kaiser Foundation Hospitals, Southern California Permanente Medical Group, and Doctors Neil Barber and Robert Nejdl (real parties in interest and cross-petitioners). Clarence Herbert was a member of the Kaiser Foundation Health Plan as were his wife and five minor children. Three adult heirs (petitioners Carolyn Herbert, Marilyn Herbert and Paula Eck) were not members of the plan. In this case we are called upon to decide whether any or all of petitioners are bound to submit their claim to arbitration as required by the Kaiser plan agreement.

Facts

In January 1980, Clarence Herbert enrolled his wife and five minor children in a Kaiser group health plan negotiated by the Teamsters. The plan agreement included a provision requiring arbitration of any claim asserted by a member or a member’s heir or personal representative arising from the rendition or failure to render services under the agreement, irrespective of the legal theory upon which the claim is asserted.

On August 24, 1981, Mr. Herbert entered the Kaiser Hospital in Harbor…