D'Amico, J. v. Covanta Holding Corp.

Superior Court of Pennsylvania·Decided February 28, 2024·No. 692 EDA 2023·Unpublished

Opinion

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT O.P. 65.37

JUSTIN D'AMICO : IN THE SUPERIOR COURT OF : PENNSYLVANIA

:

v. :

:

:

COVANTA HOLDING CORPORATION :

AND COVANTA ENERGY AND :

COVANTA 4RECOVERY : No. 692 EDA 2023 PHILADELPHIA, LLC :

:

Appellants :

Appeal from the Judgment Entered June 5, 2023 In the Court of Common Pleas of Philadelphia County Civil Division at No(s): 191101334

BEFORE: LAZARUS, P.J., PANELLA, P.J.E, and COLINS, J.* MEMORANDUM BY COLINS, J.: FILED FEBRUARY 28, 2024 Appellants, Covanta Holding Corp., Covanta Energy, LLC, and Covanta 4Recovery Philadelphia, LLC (collectively, Covanta), appeal from a $6,359,697.81 judgment entered against them by the Philadelphia County Court of Common Pleas on a jury verdict in favor of an employee of a contractor who was injured while performing work at a Covanta facility. For the reasons set forth below, we affirm the trial court’s denial of Covanta’s motion for judgment notwithstanding the verdict (JNOV) but reverse the trial court’s denial of its motion for a new trial and remand the case for a new trial.

* Retired Senior Judge assigned to the Superior Court.

This case arose out of an accident that occurred on December 19, 2017 during work performed by Sirk Mechanical Services, Inc. (Sirk) for Covanta. In 2012, Covanta entered into a multi-year Facilities Goods and Services Agreement with Sirk (the Covanta-Sirk Agreement) under which Sirk was to perform work at Covanta facilities. N.T. Trial, 9/27/22 p.m., at 25-26; Covanta-Sirk Agreement. Under this contract, Covanta, which is in the business of conversion of waste to energy, hired Sirk on December 15, 2017 to dismantle tarping stations at a closed Covanta transfer facility at 3600 S. 26th Street, Philadelphia (the Facility). Trial Court Opinion at 1-2; N.T. Trial, 9/27/22 p.m., at 26-27, 35, 61-64; Sirk 12/14/17 Proposal; Covanta 12/15/17 Purchase Order. The tarping stations consisted of stairs and catwalks that were used to install tarps over trucks that hauled material in and out of the Facility. Trial Court Opinion at 2; N.T. Trial, 9/27/22 p.m., at 62-63.

On December 19, 2017, Justin D’Amico (Plaintiff), a welder employed by Sirk who had experience operating a forklift, was injured on this job when a tarping station catwalk fell off a forklift and landed on him, crushing his pelvis and hips, while he was on the ground cutting off a lower leg of the catwalk. Trial Court Opinion at 1-3; N.T. Trial, 9/27/22 a.m., at 70-71, 73, 75-77, 80-82; N.T. Trial, 9/30/22, at 179. The accident occurred because another Sirk employee, who was not a trained forklift operator, lifted the catwalk with a forklift at Plaintiff’s request without properly securing it on the

forklift. N.T. Trial, 9/27/22 a.m., at 70, 84-85; N.T. Trial, 9/27/22 p.m., at 81-83; N.T. Trial, 9/28/22 a.m., at 87; N.T. Trial, 9/28/22 p.m., at 40-41; N.T. Trial, 9/30/22, at 105. Plaintiff suffered severe pain from the injury, was bedridden for months, and has some continuing pain, but following rehabilitation is able to walk. N.T. Trial, 9/27/22 a.m., at 81, 89-99, 108-09. Plaintiff, who was 25 years old at the time of the accident, can no longer work as a welder as result of his injury, but is able to work part-time in some light duty jobs or work a sedentary job. N.T. Trial, 9/27/22 a.m., at 99-105, 107- 08, 116-17; N.T. Trial, 9/29/22, at 79-80; Young Video Dep. at 41-42, 45-46.

On November 12, 2019, Plaintiff filed this action against Covanta.

Plaintiff alleged in his complaint that Covanta was liable for his injuries because it was negligent in failing to provide a safe job site, failing to adequately supervise Sirk, and failing to require Sirk to follow adequate safety procedures. Plaintiff’s Amended Complaint ¶¶25-30. The case was tried to a jury from September 27, 2022 to October 3, 2022. At trial, the parties introduced testimony from Plaintiff, Sirk’s owner, another Sirk employee, and a Covanta operations manager concerning the accident and Covanta’s control over the work that Sirk was performing at the Facility. In addition, both parties called expert witnesses on liability and multiple expert witnesses testified on Plaintiff’s damages, including Plaintiff’s physician and an expert for Plaintiff on economic damages. Plaintiff’s economic damages expert opined that Plaintiff’s damages for lost earning capacity were $814,000 to

$1,660,000 and that Plaintiff’s future medical costs were $1,445,000. N.T. Trial, 9/29/22, at 104-07. This expert included in his calculation of Plaintiff’s future medical costs a lifetime supply of medical marijuana and estimated its cost to be $10,200 per year. Id. at 115-16; Plaintiff’s Ex. 12.

On October 3, 2022, the jury returned a verdict in favor of Plaintiff finding that Plaintiff was 27% negligent and Covanta was 73% negligent. N.T. Trial, 10/3/22, at 108-09, 111-14; Verdict Sheet at 1-2. The jury found that Plaintiffs’ future medical damages were $1,450,000, that Plaintiff’s lost earning capacity was $2,012,000, and that Plaintiffs’ total damages, including those damages, past economic damages, and noneconomic damages of $4,277,840.41, were $8,219,175.08. N.T. Trial, 10/3/22, at 110-14; Verdict Sheet at 3. Covanta timely filed post-trial motions seeking JNOV on the ground, inter alia, that Covanta as a matter of law was not liable for injuries caused by its independent contractor, and, in the alternative, a new trial based on the jury instructions on liability for injuries caused by an independent contractor and various evidentiary rulings, or a remittitur. On January 31, 2023, the trial court denied Covanta’s post-trial motions. On February 7, 2023, the trial court entered an order molding the jury’s damage award to $5,999,997.81 based on Plaintiff’s 27% negligence and awarding Plaintiff $359,700 in delay damages. Judgment against Covanta was entered thereafter in the amount of $6,359,697.81, and Covanta timely appealed that judgment.

In this appeal, Covanta raises two primary issues: 1) whether it was entitled to JNOV on the ground that the evidence was insufficient to show the type of control over Sirk’s work that could support liability for injuries caused by an independent contractor and 2) whether it was entitled to a new trial based on the trial court’s instructions to the jury on the type of control over Sirk’s work that Plaintiff was required to prove. We conclude that the trial court properly denied Covanta’s motion for JNOV, but that the trial court erred in denying a requested jury instruction on liability for injuries caused by an independent contractor that was necessary to prevent the charge as a whole from being inaccurate and misleading and that Covanta is entitled to a new trial on this ground.

Both of Covanta’s primary issues turn on the same legal question of what evidence is sufficient to permit it to be held liable for the injuries in this case. The injuries to Plaintiff were caused by acts and omissions of employees of Sirk, an independent contractor hired by Covanta. Generally, a property owner who hires an independent contractor to work on its property is not liable for acts or omissions of the contractor or its employees. Beil v. Telesis Construction, Inc., 11 A.3d 456, 466 (Pa. 2011); Nertavich v. PPL Electric Utilities, 100 A.3d 221, 227 (Pa. Super. 2014), aff'd without opinion, 124 A.3d 734 (Pa. 2015). An exception to this rule of nonliability exists under Section 414 of the Restatement (Second) of Torts, which provides:

One who entrusts work to an independent contractor, but who retains the control of any part of the work, is subject to liability

for physical harm to others for whose safety the employer owes a duty to exercise reasonable care, which is caused by his failure to exercise his control with reasonable care.

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D'Amico, J. v. Covanta Holding Corp., (Pa. Ct. App. 2024).

D'Amico, J. v. Covanta Holding Corp. (D'Amico, J. v. Covanta Holding Corp.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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