Blow v. OneBeacon America Insurance Co.

193 So. 3d 244, 2016 La.App. 4 Cir. 0301, 2016 La. App. LEXIS 754, 2016 WL 3353859
CourtLouisiana Court of Appeal
DecidedApril 20, 2016
DocketNo. 2016-C-0301
StatusPublished
Cited by11 cases

This text of 193 So. 3d 244 (Blow v. OneBeacon America Insurance Co.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Blow v. OneBeacon America Insurance Co., 193 So. 3d 244, 2016 La.App. 4 Cir. 0301, 2016 La. App. LEXIS 754, 2016 WL 3353859 (La. Ct. App. 2016).

Opinions

PAUL A. BONIN, Judge.

h OneBeacon America Insurance Company is sued under the Direct Action Statute in its multiple capacities as the liability insurer of Avondale Industries, Inc. and eleven of its executive officers. OneBea-con concedes that Orleans Parish is proper venue against it for the plaintiffs’ survival action claims against it in its capacities as insurer of Avondale Industries and of five of the executive officers. But OneBeacon in its capacities as insurer of the remaining six executive officers raised' the objection of improper venue.

The trial judge sustained OneBeacon’s declinatory exception and dismissed the suit without prejudice against OneBeacon in its specified capacities. The suit against OneBeacon in its other capacities remains pending in Orleans Parish. The plaintiffs, who have been substituted for the now-deceased original plaintiff, Roy Blow Jr., applied for supervisory review.1

We granted a writ of certiorari, ordered the district court record to be filed, and scheduled oral argument on an expedited basis to resolve the issue without | ^interfering with the impending trial date. On our de novo review of the judgment, we conclude that the trial judge correctly sustained the exception of improper venue. But, because we find that dismissal without prejudice, was not the only remedy available under La. C.C.P', art. 932 B, we amend the judgment'to delete the dismissal with prejudice and remand the matter to the district court with instructions.

We explain our decision in considerably more detail below.

I

Before' we treat the substantive issue presented in this matter, we address our decision to grant the writ of certiorari. There are two aspects to our decision in this case.

[247]*247A

First, as the Supreme Court-has made clear, under current procedural law an adverse ruling on venue is interlocutory in nature. See Land v. Vidrine, 10-1342, p. 5 (La.3/15/11), 62 So.3d 36, 39; Savoie v. Rubin, 01-3275, 01-3276, p. 3 (La.6/21/02), 820 So.2d 486, 488. Thus, in order to obtain review of the ruling, the party adversely affected thereby must immediately apply for supervisory relief.2 |aSee Land, 10-1342, p. 7, 62 So.3d at 40-41. The party may not await the rendition of a,final judgment which adjudicates all issues as to all parties and, then request appellate review as is otherwise available with respect to other interlocutory rulings. See La. C.C.P. art. 1915 B(2); Favrot v. Favrot, 10-0986, p. 2 (La.App. 4 Cir. 2/9/11), 68 So.3d 1099,1102 n. 1; People of the Living God v. Chantilly Corp., 251 La. 943, 207 So.2d 752 (La.1968).

In exercising our discretion whether to grant supervisory review in civil cases, we are .especially influenced- by a relator’s showing that the interlocutory ruling complained of should be immediately corrected either because the ruling likely would cause “irreparable harm” or the well-known Herlitz factors are present. See Herlitz Const. Co., Inc.v. Hotel Investors of New Iberia, Inc., 396 So.2d 878 (La.1981) (“When the overruling of the exception is arguably incorrect, when a reversal will terminate the' litigation;, and when there is no dispute of fact to be resolved, judicial efficiency and fundamental fairness to the litigants dictates- that the merits of the application for supervisory writs should be decided in an attempt to avoid the waste of time and expense of a possibly useless future trial on the merits.”); Whitney Nat. Bank v. Rockwell, 94-3049, p. 6 (La.10/16/95), 661 So.2d 1325, 1329. n, 3; Gerrets v. Gerrets, 06-0087, p. 4 (La.App. 4 Cir. 1/10/07), 948 So.2d 343, 346. See also Tsegaye v. City of New Orleans, 15-0676, p. 7 (La.App, 4 Cir. 12/18/15), 183 So.3d 705, 711 n. 4 .(“We" have previously suggested that an intermediate appellate court, when confronted with the confluence of \ ¿Herlitz factors in an application for the exercise of its discretionary supervisory jurisdiction, may abuse its discretion when it fails to exercise its supervisory jurisdiction to review the application.”).

Traditionally, we have viewed an interlocutory ruling on venue as one which may cause irreparable harm. Indeed, before the amendment to La. C.C.P. art.2083 in 2005, such a ruling was entitled to an appeal of right.' See Crawford v. Blue Cross and Blue Shield of Louisiana, 00-2026, p. 12 (La.App. 4 Cir. 12/5/01), 814 So.2d 574, 581. Although a litigant’s right [248]*248to appeal an adverse ruling on venue was removed by the amendment, we still carefully review such applications for irreparable harm. See Gerrets, 06-0087, p. 4, 948 So.2d at 346. The notion of “irreparable harm” in the venue context should not be overstated. We are confident that the parties can receive fair treatment in any court; venue is primarily a device for the allocation of cases. See Land, 10-1342, p. 7, 62 So.3d at 40-41. Our procedural scheme, however, strongly (but not inflexibly) favors the plaintiffs selection of a forum of proper venue. See Osborn v. Ergon Marine & Industrial Supply, Inc., 12-0183, p. 1 (La.4/13/12), 85 So.3d 687. Thus, when a ruling dislodges a plaintiffs suit from the forum selected by him, as this ruling does, we are careful to examine the support for such a ruling.

Here, too, the Herlitz factors counseled granting the application. The parties agree that the facts are undisputed. The issue to be decided is a question of law. See Gerrets, 06-0087, p. 4, 948 So.2d at 346 (“Venue is a question of law— Accordingly, we will review the trial court’s granting of Defendant’s Exception of |¡¡Improper Venue de novo.”). And the relators set out in their application their not insubstantial arguments that the ruling is incorrect.

Thus, we found it appropriate to grant the writ of certiorari and fully consider the merits of the application.

B

Second, the relators have pointed out to us in their application that the same legal issue has re-occurred in previous or pending applications for supervisory writs and that there has been some inconsistency in result.

In two of the cases, we declined to exercise our supervisory jurisdiction.3 In the earlier one, the district court sustained the exception of improper venue. See Walker v. Avondale Industries, Inc., unpub., 11-0991 (La.App. 4 Cir. 9/14/11) (McKay, C.J., dissenting). In the later one, the district court denied the exception of improper venue. See Landry v. Northrop Grumman Industries, Inc., unpub., 15-1188 (La.App. 4 Cir. 2/2/16) (Landrieu, J., dissenting).

In one of the cases, we peremptorily exercised our supervisory jurisdiction, reversed the ruling denying the exception of improper venue, and remanded the matter to the district court to transfer the case as to OneBeacon as insurer of Avondale Industries and its executive officers. See Hebert v. Avondale Industries, Inc., un-pub., 13-0225 (La.App. 4 Cir. 4/25/13) (McKay, C.J., and Belsome, J., dissenting).4

Notably, all three previous dispositions, whether exercising our jurisdiction or declining to exercise it, are the product of split panels. And, more importantly for present purposes, because of the varying outcomes, we, the panel members, referred [249]*249the opinion to the judges en banc,

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193 So. 3d 244, 2016 La.App. 4 Cir. 0301, 2016 La. App. LEXIS 754, 2016 WL 3353859, Counsel Stack Legal Research, https://law.counselstack.com/opinion/blow-v-onebeacon-america-insurance-co-lactapp-2016.