Texas Case Summaries
Federal Enforcement »

Allen v. Covenant Health — Magistrate judge recommends dismissing hospital claims for lack of jurisdiction

Reported / Citable

Case
Eugene Allen v. Covenant Health, et al.
Court
U.S. District Court for the Northern District of Texas
Judge
Amano “Amy” R. Burch
Date Decided
July 24, 2026
Docket No.
5:25-cv-00284-H-BV
Topics
Federal Jurisdiction; State Action; Civil Rights; Supplemental Jurisdiction

Background

Eugene Allen, proceeding pro se, alleged that he visited Covenant Health Hospital’s emergency room in Plainview, Texas, with elevated blood pressure, chest discomfort, anxiety, and shortness of breath. According to Allen, a staff member made a derogatory comment after he said he had three phones. His discharge summary later reported acute hypokalemia and a positive toxicology result for cannabinoid edibles, which Allen disputed.

Allen returned to the emergency room, where another physician ordered testing that produced a negative result. He later complained to hospital personnel, and the hospital allegedly acknowledged both the derogatory remark and his distress. Allen sued the private hospital and members of its staff under 42 U.S.C. §§ 1981 and 1983 and asserted Texas claims for negligence, gross negligence, fraud, spoliation of evidence, and intentional infliction of emotional distress.

The Court’s Holding

Magistrate Judge Amano “Amy” R. Burch recommended dismissing Allen’s federal claims without prejudice for lack of subject-matter jurisdiction. Allen did not plead facts showing that the private hospital or its employees were state actors, acted jointly with state officials, or engaged in conduct fairly attributable to the state. His conclusory assertion that the defendants acted under color of law or in concert with state actors was insufficient to support his Section 1983 claims.

The magistrate judge also concluded that Allen’s Section 1981 theory was so insubstantial that it did not establish federal-question jurisdiction because he alleged neither intentional racial discrimination nor a relevant contractual relationship. With no viable federal claim remaining, the magistrate judge recommended declining supplemental jurisdiction over the Texas claims and dismissing them without prejudice. The recommendation also called for denying Allen’s deficient application to proceed in forma pauperis as moot.

Key Takeaways

  • A private hospital does not become a state actor merely because it is regulated or receives Medicare or Medicaid funds.
  • A Section 1981 claim requires factual allegations supporting intentional race discrimination involving an activity protected by the statute, such as making or enforcing a contract.
  • Because the case was at an early stage and no federal claims would remain, the magistrate judge recommended leaving Allen’s state-law claims to a Texas court.

Why It Matters

The recommendation illustrates the jurisdictional obstacle plaintiffs face when attempting to recast disputes with private medical providers as federal constitutional claims. A complaint must allege concrete facts connecting the private defendants’ challenged conduct to the state; a bare assertion of joint action is not enough.

This document is a magistrate judge’s findings, conclusions, and recommendation rather than a final dismissal order. Allen had fourteen days to file specific objections and could seek leave to amend with a proposed amended complaint addressing the identified deficiencies.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top