California Home Brands, Inc. And Pan Pacific Fisheries v. Danny Ferreira

871 F.2d 830, 1989 A.M.C. 2099, 1989 U.S. App. LEXIS 3970, 1989 WL 27588
CourtCourt of Appeals for the Ninth Circuit
DecidedMarch 28, 1989
Docket87-6124
StatusPublished
Cited by37 cases

This text of 871 F.2d 830 (California Home Brands, Inc. And Pan Pacific Fisheries v. Danny Ferreira) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
California Home Brands, Inc. And Pan Pacific Fisheries v. Danny Ferreira, 871 F.2d 830, 1989 A.M.C. 2099, 1989 U.S. App. LEXIS 3970, 1989 WL 27588 (9th Cir. 1989).

Opinion

POOLE, Circuit Judge:

California Home Brands, Inc. and 'Pan Pacific Fisheries (hereafter collectively CHB), shipowners, appeal dismissal of their suit for indemnity and contribution from their seaman-employee, Danny Ferreira, whose negligence allegedly caused the injury of another crewmember. The district court granted Ferreira’s motion to dismiss the complaint pursuant to Federal Rule of Civil Procedure 12(b)(6) on the grounds that neither traditional maritime law nor any federal statute authorizes an action by an employer against a seaman-employee for indemnity and contribution for injury to another crewmember, and that public policy does not support recognizing such a claim. We affirm.

FACTS

Manuel Rebelo, a crewmember of the M/V Pan Pacific, allegedly sustained injuries in January 1985 while working on board the vessel. In response to his claim for maintenance and cure, CHB, the owner of the vessel, sued for declaratory relief, denying that it owed any maintenance or payment of cure. Rebelo and his wife counterclaimed for negligence under the Jones Act, 46 U.S.C.App. § 688, and unseaworthiness and maintenance and cure under general maritime law.'

Danny Ferreira, also an employee of CHB, was “deck boss” of the vessel on which Rebelo’s injury allegedly occurred. Manuel Rebelo is the father-in-law of Fer-reira and was hired at Ferreira’s request. More than a year after CHB initiated the action against Rebelo, it moved for leave to file a third party complaint for indemnification and contribution against Ferreira, alleging that his negligence had caused Re-belo’s injury. The motion was denied as untimely.

This action arose when CHB filed a separate suit against Ferreira seeking indemnity and contribution for any liability it might have to Rebelo. By stipulation of the parties, this suit was consolidated with CHB’s initial action for declaratory relief and Rebelo’s counterclaim. Ferreira moved to dismiss CHB’s complaint against him under Federal Rule of Civil Procedure 12(b)(6) for failure to state a claim on which relief could be granted. After a hearing, the district court granted the motion, holding that CHB’s suit against its own employee for indemnity and contribution for the injury of a coemployee was barred as a matter of law. C.H.B. Foods, Inc. v. Rebelo, 662 F.Supp. 1359 (S.D.Cal.1987).

We have jurisdiction over this appeal from a final order and judgment of the district court dismissing CHB’s action for indemnity and contribution. 28 U.S.C. § 1291.

*832 DISCUSSION

The sole issue presented in this appeal is whether a shipowner-employer who may be liable to an injured seaman-employee under the Jones Act is entitled to seek indemnity and contribution from another of its employees whose negligence allegedly caused the injury. We review de novo the district court’s dismissal for failure to state a claim. Guillory v. County of Orange, 731 F.2d 1379, 1381 (9th Cir.1984).

A. Traditional Maritime Law

The district court heard this case pursuant to 28 U.S.C. § 1333(1), which grants district courts original jurisdiction over admiralty and maritime suits. In determining the rights and duties of parties to a maritime action, the court must look to the general rules of maritime law or specific enactments of Congress.

It has long been recognized that principles of maritime law are distinct from the common law, particularly in the area of employment relations. E.g., Cortes v. Baltimore Insular Line Inc., 287 U.S. 367, 377, 53 S.Ct. 173, 176, 77 L.Ed. 368 (1932); The City of Alexandria, 17 F. 390, 395-96 (S.D.N.Y.1883). As Justice Story wrote:

the maritime law furnishes entirely different doctrines upon [the rights and duties of seamen,] as well as many other subjects, from the common law ... [Seamen] are liable to different rules of discipline and sufferings from landsmen. The policy of the maritime law, for great and wise and benevolent purposes, has built up peculiar rights, privileges, duties, and liabilities in the sea service which do not belong to home pursuits.

Reed v. Canfield, 20 F. 426, 428 (Cir.Ct., D.Mass.1832). Thus, in deciding whether CHB may seek indemnity or contribution from Ferreira, common law doctrines governing land-based employment are not controlling. Instead, we are guided by those peculiar rules specifically evolved in the context of maritime employment.

Traditional maritime law recognized only two claims by a seaman injured in the course of his employment. The Supreme Court summarized these rights of the seaman in The Osceola, 189 U.S. 158, 23 S.Ct. 483, 47 L.Ed. 760 (1903), after an exhaustive review of English, American and Continental authorities on maritime law. First, a seaman injured while on board a vessel was entitled to “maintenance and cure,” and to his wages, at least until the end of the voyage. Id. at 175, 23 S.Ct. at 487. And secondly, a seaman could recover damages for injuries sustained due to the unseaworthiness of the ship. Id. at 175, 23 S.Ct. at 487.

A vessel owner’s duty to provide maintenance and cure was implied from the employment contract between the shipowner and the seaman. Although contractual in nature, this duty could not be abrogated by agreement of the parties. See, e.g., Cortes, 287 U.S. at 371, 53 S.Ct. at 174. Similarly, the owner’s duty to provide a seaworthy ship was absolute. Once a seaman proved that his injuries were caused by the unsea-worthy condition of the vessel or its equipment, the shipowner was liable regardless of fault. Carlisle Packing Co. v. Sandanger, 259 U.S. 255, 42 S.Ct. 475, 66 L.Ed. 927 (1922).

Beyond these two rights of action, however, the seaman could assert no claim against the shipowner for injuries sustained on board. The common law concept of negligence as a basis for tort liability was not extended to employment related injuries at sea. In The City of Alexandria the court stated that

the maritime law makes no account of mere ordinary negligence ... More or less negligence is in fact to be expected, and the rules long established, as regards the relief to be afforded, are irrespective of such negligence, whether by the seaman or others.

The City of Alexandria, 17 F. at 396. In another maritime injury case, Chelentis v. Luckenbach S.S. Co., 247 U.S. 372

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871 F.2d 830, 1989 A.M.C. 2099, 1989 U.S. App. LEXIS 3970, 1989 WL 27588, Counsel Stack Legal Research, https://law.counselstack.com/opinion/california-home-brands-inc-and-pan-pacific-fisheries-v-danny-ferreira-ca9-1989.