Atchison, Topeka & Santa Fe Railway Co. v. Superior Oil Co.

243 Cal. App. 2d 289
California Court of Appeal·Decided June 29, 1966·No. Civ. No. 603·Published

Opinion

CONLEY, P. J.

Early in the morning on a foggy winter day, a Plymouth sedan automobile driven by Charles C. Nourse, one of the petroleum engineers of the Standard Oil Company, collided with a moving freight train at the Rosedale crossing approximately five miles west of Bakersfield, thereby derailing 11 ears, and destroying their cargo as well as damaging the track of The Atchison, Topeka and Santa Fe Railway Company. Mr. Nourse was on his way home to Taft after working in a unitized oilfield near Bakersfield, known as the Greeley Field, of which the Standard Oil Company of California was, by contract, the operating agent. The latter company paid plaintiff the sum of $40,000 as its share of the alleged total damage of $62,147.75, and other defendants similarly paid $2,000 to the plaintiff, receiving in return covenants not to sue.

Other signatories of the Greeley Field contract, the respondents herein, are the Superior Oil Company, Socony-Mobil Oil Company, Inc., and Signal Oil and Gas Company. The complaint alleges that Mr. Nourse was an agent of the named defendants, that his negligence proximately caused the collision with the freight train, that he was acting within the course and scope of his employment at the time, and that damages resulted in the total sum of $62,147.75.

In their answers, the defendants denied the basic allegations of the complaint, including the statement that Mr. Nourse was their agent acting in the course of his employment at the time of the collision, and that he was guilty of negligence; and they all alleged, as a special defense, that the plaintiff was guilty of contributory negligence, and that if defendants should be found liable, they should receive credit for the payments made for the covenants not to sue. The defendants also filed a cross-complaint against Mr. Nourse, asserting that if there should be a verdict against them in any amount, they should in turn have a judgment against him in the same sum, inasmuch as judgment for the plaintiff could only be granted if Mr. Nourse were acting as agent for the defendants. The trial resulted in a verdict in favor of the answering defendants and also for Mr. Nourse, the cross-defendant. A motion for a new trial made by the railway company was denied.

[292] No appeal was taken by any party from the judgment in favor of the cross-defendant. So, at the outset, it must be noted that Charles C. Nourse is not a proper party respondent and that the judgment below in his favor is final. The appeal which was filed by the plaintiff was directed to the judgment for the defendants as against the plaintiff. The prayer for relief on the cross-complaint was wholly contingent; it was expressly restricted to a situation in which there had been a verdict in favor of the plaintiff, and it is obvious that when the jury reached the conclusion that plaintiff was not entitled to a judgment, there was no longer an active request for a verdict against the cross-defendant. Nevertheless, if the defendants wished to preserve their right to a possible recoupment from their alleged agent in the event of a reversal of the present judgment against plaintiff and a new trial, it was incumbent upon them to file an appeal phrased in contingent fashion, to the effect that their appeal should be effective only in the event that the judgment in favor of defendants were reversed. This conclusion is reinforced by the stipulation in open court between the appellant and the Superior Oil Company and Signal Oil and Gas Company that cross-defendant Nourse is not a party to the appeal.

The jury was required to pass on three issues:

(A) Was Mr. Nourse guilty of negligence which proximately caused the collision?
(B) If so, was he then acting in the course and within the scope of his employment as an agent for the defendants ?
(C) Was the railway company guilty of contributory negligence ?

These issues were fully covered by instructions proposed by the several parties. It does not appear upon what view of the facts the jury based its verdict.

For the most part, the underlying facts are not in dispute.

Unquestionably, Standard Oil Company of California was the operator in the Greeley Field, as the common agent for all of the parties to the unitized agreement. By contract, it had an exclusive right as such operator to the conduct and management of the unit. No representative of any of the defendants was present at the Greeley Field except through the Standard Oil Company. Mr. Nourse received all of his orders and directives from that company; it maintained offices within the boundaries of the unit; and these offices also served the entire eastern portion of Kern County from Arvin north to the [293] county boundary for the Standard Oil Company in matters wholly unconnected with the Greeley Field. It maintained a staff of six engineers of which Mr. Nourse was one, besides two lead engineers and a senior engineer for that entire territory, including all of its separate interests as well as the Greeley Field. About ten percent of Mr. Nourse’s total professional time was devoted to work at the Greeley Field, and 90 percent of his activities concerned other Standard Oil Company holdings in the eastern part of Kern County, as to which the defendants had nothing to do.

The engineers’ work schedule was so arranged that once in every six weeks each of the professional workers on the Standard Oil Company staff received a weekend duty assignment, which meant that he was on call by Standard Oil Company for any duty which might arise at any time during the weekend, from Friday night to early Monday morning. This roster is referred to by the plaintiff as a 24-hour duty schedule; in fact, the applicable time scale constituted more than 48 hours during which period the assigned engineer was on call.

Free access — add to your briefcase to read the full text and ask questions with AI

Atchison, Topeka & Santa Fe Railway Co. v. Superior Oil Co., 243 Cal. App. 2d 289 (Cal. Ct. App. 1966).

243 Cal. App. 2d 289 (Atchison, Topeka & Santa Fe Railway Co. v. Superior Oil Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Robinson v. George
105 P.2d 914 (California Supreme Court, 1940)
Continental Casualty Co. v. Phoenix Construction Co.
296 P.2d 801 (California Supreme Court, 1956)
Vogel v. Thrifty Drug Co.
272 P.2d 1 (California Supreme Court, 1954)
Knox v. Atchison Topeka & Santa Fe Railway Co.
214 P.2d 589 (California Court of Appeal, 1950)
Brokaw v. Black-Foxe Military Institute
231 P.2d 816 (California Supreme Court, 1951)
Richter v. Adams
110 P.2d 486 (California Court of Appeal, 1941)
Posz v. Burchell
209 Cal. App. 2d 324 (California Court of Appeal, 1962)
Nicholas v. Harger-Haldeman
196 Cal. App. 2d 77 (California Court of Appeal, 1961)
Herrero v. Atkinson
227 Cal. App. 2d 69 (California Court of Appeal, 1964)
Martindale v. City of Mountain View
208 Cal. App. 2d 109 (California Court of Appeal, 1962)
Walsh v. Hooker & Fay
212 Cal. App. 2d 450 (California Court of Appeal, 1963)
Loper v. Morrison
145 P.2d 1 (California Supreme Court, 1944)
Neher v. Kauffman
242 P. 713 (California Supreme Court, 1925)
Tidal Pipe Line Co. v. Black
1932 OK 817 (Supreme Court of Oklahoma, 1932)