Carreras-Morales v. Silgan Containers Manufacturing Puerto Rico LLC

CourtDistrict Court, D. Puerto Rico
DecidedFebruary 4, 2022
Docket3:19-cv-01828
StatusUnknown

This text of Carreras-Morales v. Silgan Containers Manufacturing Puerto Rico LLC (Carreras-Morales v. Silgan Containers Manufacturing Puerto Rico LLC) is published on Counsel Stack Legal Research, covering District Court, D. Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Carreras-Morales v. Silgan Containers Manufacturing Puerto Rico LLC, (prd 2022).

Opinion

IN THE UNITED STATES COURT FOR THE DISTRICT OF PUERTO RICO

SANDY CARRERAS-MORALES,

Plaintiff,

v. CIV. NO. 19-1828 (SCC)

SILGAN CONTAINERS

MANUFACTURING PUERTO RICO, LLC,

OKAYA, INC., AND TALENT PARTNERS,

INC.,

Defendants.

OPINION AND ORDER Sandy Carreras-Morales filed this lawsuit against Silgan Containers Manufacturing Puerto Rico, LLC (“Silgan”), Okaya, Inc. (“Okaya”), and Talent Partners, Inc. (“TPI”), claiming that they have violated the Age Discrimination in Employment Act (“ADEA”) and Puerto Rico Law 100 by discriminating against him based on his age. Silgan and Okaya have moved for summary judgment. But before we reach those motions, we must first address how Carreras and TPI’s settlement and stipulation of partial dismissal impact Silgan’s and Okaya’s third-party complaints. CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 2

I. PROCEDURAL HISTORY Carreras claims that Silgan, Okaya, and TPI have violated the ADEA and Puerto Rico law by discriminating against him based on his age. Docket No. 58. He alleges that Silgan hired TPI, which had a cooperative placement agreement with Okaya, to help it find candidates for a plant-manager position. Id. at 3. Communications from TPI and Okaya prove that he was passed over for the job because of his age, he says, because TPI told Okaya, and Okaya told him, that Silgan was only considering candidates less than fifty-eight years old. Id. at 8–9. Silgan and Okaya each filed a third-party complaint against TPI, asserting indemnity, contribution, and negligence claims. Docket Nos. 10, 28. They also asserted these claims against each other. Docket Nos. 7, 27. Moreover, TPI asserted these claims against them. Docket Nos. 42, 43. Each defendant, therefore, has asserted three claims against the other two: indemnity, contribution, and negligence. Carreras and TPI entered into a settlement agreement. TPI paid a sum to Carreras in exchange for his promise to release CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 3

it from his claims and Silgan’s and Okaya’s claims. Docket No. 92-1, pg. 2. Carreras agreed to hold TPI harmless and not collect—from any defendant—damages stemming from TPI’s liability. Id. at 5. As part of the agreement, Carreras and TPI agreed to file a stipulation of partial dismissal, asking the Court to dismiss TPI from Carreras’s amended complaint and dismiss Silgan’s and Okaya’s third-party complaints. Id. at 6. Both Silgan and Okaya have objected on the ground that, because they were not parties to it, the agreement cannot strip them of their claims against TPI. Docket Nos. 98, 100. Silgan and Okaya have moved for summary judgment. Docket Nos. 106, 107. But because the settlement and stipulation of partial dismissal affect the claims that remain for summary judgment, we address them first. II. SETTLEMENT & STIPULATION OF PARTIAL DISMISSAL The point of contention is whether Carreras and TPI may unilaterally agree to release TPI from Silgan’s and Okaya’s claims against it. They may agree to release TPI from Silgan’s and Okaya’s indemnity and contribution claims but not from CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 4

their negligence claims. We will explain why. Under Puerto Rico law, a victim may release a joint tortfeasor from all liability that arises from a tortious event. Sagardía de Jesús v. Hosp. Auxilio Mutuo, 177 D.P.R. 484, 499 (P.R. 2009). The victim, in other words, may agree to release a joint tortfeasor from liability as to her and from liability as to the other tortfeasors in an action for indemnity or contribution. Id. When this happens, the victim assumes the released joint tortfeasor’s liability and, thus, any liability on the part of the released tortfeasor is subtracted from the victim’s recovery. Id. at 499–500; see also Szendrey v. Hospicare, Inc., 158 D.P.R. 648, 658–59 (P.R. 2003) (stating that where the plaintiff has released a co-defendant from all liability, a court calculates the plaintiff’s recovery by subtracting the released co-defendant’s liability from the total amount of liability). The settlement agreement releases TPI from all liability. See Docket No. 92-1. That is, Carreras agreed to release TPI from all liability arising from its amended complaint and Silgan’s and Okaya’s third-party complaints, id. at 2–3, and to CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 5

waive its right to recover from any defendant “the portion of responsibility attributable to” TPI, id. at 8; see also id. at 9 (stating that the other defendants “will not be liable to [Carreras] for any damages attributable” to TPI). This agreement is valid insofar as it releases TPI from all liability arising from Carreras’s amended complaint and from Silgan’s and Okaya’s indemnity and contribution claims. See Sagardía de Jesús, 177 D.P.R. at 499–500; Szendrey, 158 D.P.R. at 658–59. But the agreement cannot release TPI from Silgan’s and Okaya’s negligence claims. Silgan and Okaya allege that TPI has committed a separate and distinct harm against them. They allege that TPI negligently told Okaya, which then told Carreras, that Silgan would only consider candidates less than fifty-eight years old. Docket No. 10, pg. 4; Docket No. 28, pg. 5. And, they say, as a result of TPI’s negligence, they have incurred legal fees defending themselves from Carreras’s claims and prosecuting third-party claims against TPI. Docket No. 10, pg. 4; Docket No. 28, pg. 5. In short, they are seeking to recover CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 6

from TPI for a harm that it allegedly caused them (i.e., their legal fees resulting from its allegedly false statement that Silgan has an age requirement) that is separate and distinct from the harm it allegedly caused Carreras. Though Carreras may contract away its own right to recover from TPI for harm it caused him, it may not contract away Silgan’s and Okaya’s rights to recover from TPI for a separate and distinct harm it caused them. See Rio Mar Assocs., LP v. UHS of P.R., Inc., 522 F.3d 159, 164 (1st Cir. 2008) (“The plaintiff and [one co- defendant] cannot by contracting between themselves deny a third-party rights that the third party (here, the [other co- defendant]) enjoys under the law.”). The settlement agreement, therefore, did not affect Silgan’s and Okaya’s negligence claims against TPI. We turn now to Carreras and TPI’s stipulation, which asks the Court to dismiss TPI from Carreras’s amended complaint and dismiss Silgan’s and Okaya’s third-party complaints. A plaintiff may voluntarily dismiss an action under Federal Rule of Civil Procedure 41. But, at this phase in the lawsuit CARRERAS-MORALES V. SILGAN CONTAINERS MFG. Page 7

and without the consent of all appearing parties, the dismissal must be “on terms that the court considers proper.” FED. R. CIV. P. 41(a)(2); see also Donahue v. Fannie Mae, 971 F.3d 1, 3 (1st Cir. 2020) (“We do not doubt that ‘an action’ under Rule 41(a)(1)(A)(i) can refer to all claims a plaintiff has brought against a single defendant in a multi-defendant suit rather than only all claims against all defendants in such a suit.”). Carreras, however, is not the plaintiff in Silgan’s and Okaya’s third-party complaints—they are. We, therefore, limit our Rule 41 inquiry to Carreras’s request to dismiss TPI from his amended complaint. The Court “should grant a motion for voluntary dismissal” as long as “no other party will be prejudiced.” Cason v. P.R. Elec. Power Auth., 770 F.3d 971, 976 (1st Cir. 2014) (first citing Doe v. Urohealth Sys., Inc., 216 F.3d 157, 161 (1st Cir. 2000); and then quoting P.R. Mar. Shipping Auth. v.

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Carreras-Morales v. Silgan Containers Manufacturing Puerto Rico LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/carreras-morales-v-silgan-containers-manufacturing-puerto-rico-llc-prd-2022.