Duhon v. Koch Exploration Co.

628 F. Supp. 925, 4 Fed. R. Serv. 3d 661, 1987 A.M.C. 487, 1986 U.S. Dist. LEXIS 28967
CourtDistrict Court, W.D. Louisiana
DecidedFebruary 24, 1986
DocketCiv. A. 83-2379, 83-3275 and 85-2070
StatusPublished
Cited by6 cases

This text of 628 F. Supp. 925 (Duhon v. Koch Exploration Co.) is published on Counsel Stack Legal Research, covering District Court, W.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Duhon v. Koch Exploration Co., 628 F. Supp. 925, 4 Fed. R. Serv. 3d 661, 1987 A.M.C. 487, 1986 U.S. Dist. LEXIS 28967 (W.D. La. 1986).

Opinion

RULING

VERON, District Judge.

This matter comes before the Court upon the motion of defendants, Koch Exploration Company and Koch Industries, Inc., to strike the jury demand of plaintiffs, Curtis J. Price and Timothy Fruge in this consolidated action. The motion gives rise to several considerations due to the hybrid nature of this consolidated action under the Federal Rules of Civil Procedure, which embody the 1966 merger of the civil and admiralty rules. See generally, G. Gilmore & C. Black, The Law of Admiralty 2, 19 (2d ed. 1975). While there is no novelty in conducting a joint trial of claims in admiralty and claims at law, such a consolidation presents procedural issues which profoundly affect the rights and remedies available to the parties. As the determination of these issues depends upon whether the causes of action alleged are characterized as arising under this Court’s jurisdiction “in admiralty” or “at law,” it is necessary to examine the manner in which each plaintiff has framed his action.

Each of these actions arise from the alleged allision between the M/V CAPTAIN JUDE, a shrimpboat owned by plaintiff Wayne Duhon and being delivered for sale to plaintiff George Duhon, and some sort of submerged structure owned by defendants in the Gulf of Mexico on or about July 14, 1983. On or about September 22, 1983, plaintiffs Wayne Duhon and George Duhon commenced suit against defendants in the Thirty-Eighth Judicial District Court for the Parish of Cameron, State of Louisiana, alleging damages sustained in the loss of the M/V CAPTAIN JUDE, which sank as a result of the allision. After the Duhons amended their state court petition to demand a trial by jury, defendants Koch Exploration and Koch Industries, Inc. [hereinafter collectively referred to as “Koch”] removed the action to this Court on the basis of diversity of citizenship, 28 U.S.C. § 1332.

On December 30, 1983, plaintiff Curtis J. Price, Captain of the M/V CAPTAIN JUDE, commenced suit before this Court alleging damages as a result of the personal injuries he sustained as a result of the aforesaid allision. Paragraph 3 of Price’s complaint states: “This is a case of admiralty in maritime jurisdiction, as hereinafter more fully appears.” In the closing paragraph of the complaint, however, Price “prays that this cause be tried by a jury.”

On July 11, 1984, this Court ordered that the Duhons’ cause of action be consolidated with that of Price pursuant to Rule 42. Subsequent to that consolidation, Koch filed a third-party complaint for indemnity and/or contribution against Wayne Duhon, George Duhon and Curtis J. Price on October 15, 1984. The Court takes note that despite the consolidation of the two actions, *927 they are still treated as being separate and distinct so that it is not improper to name the plaintiff in one action as a third-party defendant in the other action with which it has been consolidated. 1 In paragraph 8 of the third-party complaint, Koch invokes the application of Rule 14(c), 2 thereby tendering third-party defendant Price as a direct defendant to the Duhons in CV No. 83-2379. 3 In paragraph 13 of the third-party complaint, Koch similarly invokes Rule 14(c) to pose the third-party defendants George Duhon and Wayne Duhon as direct defendants to Curtis J. Price in CV No. 83-3275.

On April 18, 1985, Price was allowed to amend his complaint, adding his spouse as a plaintiff, adding Weaver Exploration Company as a defendant, alleging diversity jurisdiction and demanding a trial by jury. Koch opposed such amendment principally on the ground that its invocation of Rule 14(c) made it impossible for this Court to obtain diversity jurisdiction because non-diverse parties, i.e., George Duhon and Wayne Duhon, were posed as direct defendants to the plaintiff Price. 4

On July 15, 1985, plaintiff Timothy J. Fruge filed a complaint against Koch Exploration Company, Koch Industries, Inc. and Wayne Duhon, alleging jurisdiction pursuant to the Jones Act and the General Maritime Law and seeking a trial by jury. As alleged, Fruge was employed by Wayne Duhon as a seaman aboard the M/V CAPTAIN JUDE at the time of the vessel’s allision with the submerged structure of Koch. On September 27, 1985, Fruge’s cause of action, CV No. 85-2070, was consolidated with those of Wayne Duhon, George Duhon, and Curtis J. Price. Koch amended its third-party complaint in the Price action, CV No. 83-3275, to include Fruge as a third-party defendant and tender Fruge as a direct defendant to Price pursuant to Rule 14(c). Additionally, Koch filed a third-party complaint against Curtis J. Price and Weaver Exploration Company, tendering said third-party defendants as direct defendants to Fruge, in CV No. 85-2070, under Rule 14(c). Koch has now moved to strike the jury demands of Price and Fruge, contending that their complaints state admiralty and maritime claims within the meaning of Rule 9(h), Fed.R.Civ. Pro., and that a jury trial of such claims is inappropriate under the present circumstances. The Court finds Koch’s contentions to be without merit, and will address the issues relative to each plaintiff. 5

*928 Curtis J. Pnce (CV No. 83-3275)

Koch urges Price’s demand for a jury trial should be stricken because there is no complete diversity of citizenship between the parties and the only jurisdictional basis of this suit (CV No. 83-3275) lies in admiralty, 28 U.S.C. § 1333. Koch furthermore contends that it will be unduly prejudiced if Price is permitted to shift from the “admiralty side” of the court to the “law side” because it will lose the valuable benefits of Rule 14(c) and because the filing of the amended complaint came some sixteen months after the institution of this proceeding.

In his second amended complaint, Price again prays for a jury trial but also states: “This is a maritime tort case with diversity jurisdiction with the minimum jurisdictional amount being met.” Koch argues, however, that there is not complete diversity because its Rule 14(c) third-party complaint against George Duhon and Wayne Duhon poses two Louisiana residents as direct defendants to Price, also a Louisiana resident. 6 Thus, Koch argues that its Rule 14(c) third-party complaint precludes Price’s subsequent invocation of diversity jurisdiction. The Court finds this line of reasoning to be without merit. In essence, Koch desires to characterize the amended complaint as a new proceeding, which it is not. Koch’s position furthermore fails to recognize the inherent power of the plaintiff, as pleader, to determine procedural consequences under Federal Rule of Civil Procedure 9(h).

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Bluebook (online)
628 F. Supp. 925, 4 Fed. R. Serv. 3d 661, 1987 A.M.C. 487, 1986 U.S. Dist. LEXIS 28967, Counsel Stack Legal Research, https://law.counselstack.com/opinion/duhon-v-koch-exploration-co-lawd-1986.