Boudreaux v. Leblanc Welding & Construction, Inc.

515 So. 2d 809, 1987 La. App. LEXIS 10407
CourtLouisiana Court of Appeal
DecidedOctober 14, 1987
DocketNo. CA 86 1274
StatusPublished
Cited by7 cases

This text of 515 So. 2d 809 (Boudreaux v. Leblanc Welding & Construction, Inc.) 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
Boudreaux v. Leblanc Welding & Construction, Inc., 515 So. 2d 809, 1987 La. App. LEXIS 10407 (La. Ct. App. 1987).

Opinion

LOTTINGER, Judge.

This action concerns the liability of the Louisiana Insurance Guaranty Association (L.I.G.A.) for claims made by an injured employee, Brent Stevens Boudreaux (Bou-dreaux), whose employer’s insurance carrier became insolvent. On a motion for sum[810]*810mary judgment by third party plaintiff and employer, LeBlanc Welding and Construction, Inc. (LeBlanc), the trial court found L.I.G.A. liable for all sums plaintiffs employer, LeBlanc, would become legally obligated to pay Boudreaux. From this decision, L.I.G.A. appeals.

FACTS

Boudreaux, as an employee of LeBlanc, was injured during the scope of his employment in October, 1984. Plaintiff sued Le-Blanc, Mobil Oil Corporation, and Elevating Boats, Inc., for damages that were inflicted when a gas line ruptured on a Mobil Oil platform in the Gulf of Mexico. LeBlanc, as employer, was insured for worker’s compensation and held excess liability insurance through its carrier, Transit Casualty Company (Transit). Transit was later determined to be insolvent by the Louisiana Commissioner of Insurance in December, 1985.

Plaintiffs employer, LeBlanc, filed a third party action against L.I.G.A. to recognize the liability of the association for Transit’s obligations.1 L.I.G.A. denied coverage under Transit’s policy as to Boudreaux’s injuries. A motion for summary judgment was filed by LeBlanc to have LJ.G.A.’s obligations judicially recognized and enforced under La.R.S. 22:1375, et seq. L.I. G.A. opposed the motion by contending that plaintiff’s claim was precluded from recovery because it fell under the statutory exclusion of “ocean marine insurance,” La. R.S. 22:1377.2

TRIAL COURT

The trial court granted LeBlanc’s motion for summary judgment. According to the written judgment, L.I.G.A. was recognized as the insurer of LeBlanc “to the full extent of the obligations of Transit Casualty Company under the Workmen’s Compensation and Employers Liability policy issued by Transit Casualty Company.” Also, L.I. G.A. was held to be liable, on behalf of LeBlanc, for all sums which LeBlanc “shall be legally obligated to pay to the plaintiff in connection with these proceedings within the coverage afforded by said policies.”

ASSIGNMENT OF ERRORS

In appealing, third party defendant, L.I. G.A., has assigned the following specifications of error:

(1) That the trial court erred in granting the motion for summary judgment due to the existence of a genuine issue of material fact.
(2) That the trial court erred in concluding that L.I.G.A. be liable for all sums within the insolvent insurance carrier’s coverage, contrary to the statutory limitation of payments of L.I.G.A., La.R.S. 22:1382.3

ASSIGNMENT OF ERROR NO. 1

L.I.G.A. contends the trial court improperly granted the motion for summary judgment, contrary to La.Code Civ.P. art. 966. Article 966 mandates that summary judgment be granted if there is no genuine [811]*811issue as to material fact and if the mover is entitled to judgment as a matter of law.

L.I.G.A. argues that material fact does exist. The material fact is whether the scope of La.R.S. 22:1377 excludes the claim asserted by the plaintiff. La.R.S. 22:1377 provides that “all kinds of direct insurance, except ... ocean marine insurance,” are included by the statutory scheme. According to L.I.G.A., it is a question for evidentiary assertion and proof that the “ocean marine insurance” exclusion is applicable. L.I.G.A. contends it should be permitted to offer testimony of both the drafters of the original legislation and insurance industry experts on the question of the exclusion’s applicability.

The testimony of both drafters of the uniform legislation as well as industry experts has no bearing on and cannot be utilized by the courts in determining legislative intent unless that testimony reflects on evidence presented to the appropriate legislative committees. Authement v. Davidson, 366 So.2d 986 (La.App. 1st Cir. 1978); Ethyl Corporation v. Collector of Revenue, 351 So.2d 1290 (La.App. 1st Cir. 1977), writ denied, 353 So.2d 1035 (La. 1978). After a review of the affidavits of the drafters filed in opposition to the motion for summary judgment this court concludes that the drafters did not appear before any Louisiana legislative committees. Thus, this evidence would be irrelevant as to the determination of legislative intent. L.I.G.A. submits that the courts can review an affidavit of an industry expert submitted in opposition to the motion for summary judgment for the purpose of understanding the term “ocean marine,” as that term is used by the insurance industry. The submission of this type of evidence as an aid to the court in attempting to determine legislative intent is appropriate. However, this evidence is merely one element utilized by the court in its search of legislative intent.

It is an unsettled matter of law whether or not the exclusions of Louisiana’s Insurance Guaranty Association statute are applicable to the maritime endorsement of a worker’s compensation insurance policy. La.R.S. 22:1377 states that all direct insurance is included “except ... ocean marine insurance.” Louisiana statutes omit any form of discernable definition of “ocean marine insurance.”

As this court stated in Colwell v. State, Office of Attorney General of Louisiana, Department of Justice, 506 So.2d 941 (La. App. 1st Cir.1987), writ denied, 508 So.2d 89 (La.1987):

In cases involving statutory interpretation ... the paramount consideration is the ascertainment of the legislative intent; that the legislature is presumed to have enacted the statute with deliberation and with full knowledge of all existing constitutional provisions and laws on the same subject; and that if it is possible to do so, every part of a statute must be given effect, for the legislature is not presumed to insert superfluous, useless and meaningless words, sentences, phrases, or clauses in its enactments. 506 So.2d at 943-44.

One of the expressed purposes of the Insurance Guaranty Association statute is “to avoid financial loss to claimants or policyholders because of the insolvency of the insurer.” La.R.S. 22:1376. The Louisiana Legislature further extended this by stating that “[t]his part shall be liberally construed to effect the purpose ... which shall constitute an aid and guide to interpretation.” La.R.S. 22:1378. As recent as 1982, the Louisiana Supreme Court succinctly stated, “[t]he provisions of the Insurance Guaranty Association Act must be interpreted to protect claimants and policyholders and to advance their interests rather than the interests of the association.” Senac v. Sandefer, 418 So.2d 543, 546 (La. 1982).

L.I.G.A. contends that the maritime portion of LeBlanc’s policy that provided for employer liability coverage is included under the ocean marine insurance exclusion. L.I.G.A. also asserts that existing trial court decisions have found such marine insurance exempt from the statutory scheme. In Sifers v. General Marine Catering, Inc., et al, 85-2374, United States District Court, Eastern District of Louisi[812]*812ana, appeal docketed, 86-3494, the trial court held that the exclusion of ocean marine insurance under La.R.S. 22:1377 was applicable to a Jones Act, 46 U.S.C.

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Boudreaux v. Leblanc Welding & Construction, Inc.
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519 So. 2d 771 (Supreme Court of Louisiana, 1988)

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Bluebook (online)
515 So. 2d 809, 1987 La. App. LEXIS 10407, Counsel Stack Legal Research, https://law.counselstack.com/opinion/boudreaux-v-leblanc-welding-construction-inc-lactapp-1987.