Daniels v. Swofford

286 S.E.2d 582, 55 N.C. App. 555, 1982 N.C. App. LEXIS 2260
CourtCourt of Appeals of North Carolina
DecidedFebruary 2, 1982
Docket8122SC476
StatusPublished
Cited by20 cases

This text of 286 S.E.2d 582 (Daniels v. Swofford) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Daniels v. Swofford, 286 S.E.2d 582, 55 N.C. App. 555, 1982 N.C. App. LEXIS 2260 (N.C. Ct. App. 1982).

Opinion

VAUGHN, Judge.

At issue is whether the trial court has subject matter jurisdiction over plaintiff’s claim or whether the Industrial Commission has exclusive jurisdiction. We conclude that the Workers’ Compensation Act precludes plaintiff from seeking recovery from the corporate employer. Plaintiff, however, does have the right to bring a tort action against the assaultive coemployee. Summary judgment in favor of that defendant was improperly granted.

We must first determine whether plaintiff has the right to proceed under the Workers’ Compensation Act. It is well settled that to maintain an action for compensation, the claimant must be an employee of the party from whom compensation is sought. Askew v. Tire Co., 264 N.C. 168, 141 S.E. 2d 280 (1965); Hart v. Motors, 244 N.C. 84, 92 S.E. 2d 673 (1956).

Plaintiff argues she cannot proceed under the Act because she was not an employee of Dermox, Inc. at the time of the alleged assault. Under similar facts, however, North Carolina and Tennessee courts found that the employer/employee relationship did continue to exist. McCune v. Manufacturing Co., 217 N.C. 351, 8 S.E. 2d 219 (1940); Williams v. Smith, 222 Tenn. 284, 435 S.W. 2d 808 (1968).

In both McCune and Williams, the plaintiff sought damages for injuries intentionally inflicted by his supervisor immediately after the supervisor had fired him. In both cases the corporate defendant sought dismissal based on its state’s Workers’ Compensation Act. By applying the Act’s exclusivity provisions to the issues on appeal, the courts by necessity had to find that an employer/employee relationship existed. We, therefore, hold as a matter of law that at the time of the alleged incident, plaintiff was still an employee of Dermox, Inc.

*558 Plaintiff argues the Act is nevertheless unavailable to her because the alleged assault was not a risk incident to employment. We disagree.

In order to be compensable, an injury must result from an accident arising out of and in the course of employment. G.S. 97-2(6); Gallimore v. Marilyn’s Shoes, 292 N.C. 399, 233 S.E. 2d 529 (1977). Under North Carolina’s Workers’ Compensation Act, the term “accident” includes “an unlooked for and untoward event which is not expected or designed by the injured employee.” Harding v. Thomas & Howard Co., 256 N.C. 427, 428, 124 S.E. 2d 109, 110-11 (1962). An unexpected assault, therefore, may be considered an accident despite its characterization as an intentional act. We conclude that the alleged assault in the present action was an accident as defined by the Workers’ Compensation Act. The pleadings do not indicate that the assault was personally motivated so as to remove the necessary connection with employment. See Gallimore v. Marilyn’s Shoes, 292 N.C. at 404-05, 233 S.E. 2d at 532. In fact, defendants admit in their answer that at the time of the incident Mr. Swofford was discussing business and plaintiff’s job with the plaintiff. We, therefore, further conclude that the alleged assault arose out of and in the course of plaintiff’s employment.

We must next determine whether North Carolina Workers’ Compensation Act is plaintiff’s exclusive remedy.

Worker compensation laws were enacted to treat the cost of industrial accidents as a cost of production. W. Prosser, Handbook of the Law of Torts § 80 (4th ed. 1971). Under these acts, employers assure employees compensation for accidental injuries “arising out of and in the course of employment.” The economic loss is then passed on to consumers. Id.

In return for guaranteed compensation, employees give up their right to common law verdicts. 2A A. Larson, The Law of Workmen’s Compensation § 72.20 (1976) [hereinafter cited as Larson]. G.S. 97-10.1 is similar to provisions of other states’ worker compensation acts:

“If the employee and the employer are subject to and have complied with the provisions of this Article, then the rights and remedies herein granted to the employee . . . shall ex- *559 elude all other rights and remedies of the employee ... as against the employer at common law or otherwise on account of such injury or death.”

See 2A Larson § 65.10 (Supp. 1981). Citing this statute, our courts have barred injured employees covered by the Act from bringing negligence actions against their employers. Johnson v. United States, 133 F. Supp. 613 (E.D.N.C. 1955); Bryant v. Dougherty, 267 N.C. 545, 148 S.E. 2d 548 (1966); Lovette v. Lloyd, 236 N.C. 663, 73 S.E. 2d 886 (1953). The employees’ remedy lies exclusively under the statute.

Contrary to most jurisdictions, North Carolina has extended the employer’s immunity to coemployees. See Annot., 21 A.L.R. 3d 845 (1968). G.S. 97-9 states “Every employer subject to the compensation provisions of this Article shall secure the payment of compensation to his employees . . . and while such security remains in force, he or those conducting his business shall only be liable to any employee for personal injury or death ... in the manner herein specified.” In Altman v. Sanders, 267 N.C. 158, 148 S.E. 2d 21 (1966), the Supreme Court interpreted the phrase “those conducting his business” to include fellow employees. By reading G.S. 97-9 in conjunction with the exclusivity provisions of G.S. 97-10.1, Smith v. Liberty Mut. Ins. Co., 409 F. Supp. 1211 (M.D.N.C. 1976), excluded fellow employees from common law liability.

One can understand the extension of an employer’s immunity to employees when one considers the industrial setting. By accepting employment, a worker increases not only the risk of injuring himself but also the risk of negligently injuring others. Andrews v. Peters, — N.C. App. —, 284 S.E. 2d 748 (1981). Rather than forcing a worker to shoulder the cost of any such injury, our courts have determined that industry, and ultimately the consumer, should bear the economic loss. The Industrial Commission, therefore, has exclusive jurisdiction over all accidents “arising out of employment” negligently caused by an employer or employee.

Where injury is caused by intentional or malicious acts, however, North Carolina’s Workers’ Compensation Act is not necessarily the exclusive remedy. Our courts early held that in *560 tentional assault by an employer removed him from his common law immunity:

“ ‘Where the employer is guilty of a felonious or willful assault on an employee he cannot relegate him to the compensation act for recovery. It would be against sound reason to allow the employer deliberately to batter his helper, and then compel the worker to accept moderate workmen’s compensation benefits. . . .’ ”

S. Horovitz, Injury and Death Under Workmen’s Compensation Laws 336 (1944), as quoted in Warner v. Leder, 234 N.C. 727, 733-34, 69 S.E. 2d 6, 10 (1952); Essick v. Lexington, 232 N.C. 200, 210, 60 S.E. 2d 106, 113-14 (1950).

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Bluebook (online)
286 S.E.2d 582, 55 N.C. App. 555, 1982 N.C. App. LEXIS 2260, Counsel Stack Legal Research, https://law.counselstack.com/opinion/daniels-v-swofford-ncctapp-1982.