Hains v. Glaser Construction Co.

209 F. Supp. 355, 1962 U.S. Dist. LEXIS 4655
CourtDistrict Court, W.D. Louisiana
DecidedSeptember 14, 1962
DocketNo. 7959
StatusPublished
Cited by2 cases

This text of 209 F. Supp. 355 (Hains v. Glaser Construction 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
Hains v. Glaser Construction Co., 209 F. Supp. 355, 1962 U.S. Dist. LEXIS 4655 (W.D. La. 1962).

Opinion

PUTNAM, District Judge.

George Frank Hains came to his death by drowning while in the employ of Bay Contractors, Inc., aboard a dragline barge owned by this defendant, on or about July 8, 1960, leaving surviving him his widow, Veda M. -Foreman Hains, and three minor children, George Frank Hains, Jr., Evelyn Marie Hains and Jacqueline Kay Hains. This action is brought by the widow for herself individually, and as the duly confirmed natural tutrix of the three children in their behalf.

At the time of his death, Hains was being transported from his work aboard the Rowe 14 to the Texas Company landing near Henderson, Louisiana, on board the tug Mary G. This vessel is owned by W. L. Daly, Inc. and was under bareboat charter to Glaser Construction Company, Inc. on the date of the accident, being [356]*356manned and operated by a crew employed by the charterer.

Complainant joins Bay Contractors, Inc., Glaser Construction Company, Inc. and W. L. Daly, Inc., as defendants. For convenience, they will be referred to hereinafter simply as Bay, Glaser and Daly. Also made defendants are various insurance companies under several liability policies issued to these three defendants.

Plaintiff’s suit is brought under the Jones Act, and the general maritime law, and alternatively under Article 2315 of the LSA-Civil Code, the basic law in this State for wrongful death. Her claim under the general maritime law is pitched upon several alleged acts of negligence and unseaworthiness, which she attributes to all three defendants, notwithstanding the fact that the tug Mary G was chartered by its owner to the defendant Glaser.

It is well to note at this point that the three local corporate defendants are almost entirely owned and are controlled by Mr. D. M. Glaser, so that the close relationship between them as shown by the pleadings in the conduct of this work is not as strange as might appear at first blush.

At this stage of the proceedings the defendant insurance carriers, writhing in anticipation of the lash of liability and seeking to .escape the blow or lessen its sting, have filed several motions for summary judgment in which able counsel urge upon the Court various grounds upon which their respective clients should be discharged from the arena. As some of the questions thus presented are of considerable weight, we have attempted to strip them of the redundancy resulting from the zeal of advocacy, and will here discuss those features of each motion that seems to us to merit attention.

I

DALY, STEAMSHIP MUTUAL AND U. S. FIRE INSURANCE CO.

Defendant Daly contends that since the tug “Mary G” was under bareboat charter to Glaser, he has no liability in the premises. He is joined in this position by Steamship Mutual, which company urges additionally that its policy does not cover the operations of Bay and Glaser as named insureds, and further that its coverage is excess liability only (from $25,000 to $200,000 on the “Mary G”, and from $30,000 to $200,000 on the “Rowe 14”), and the primary insurance was changed on or about April 30, 1960 from a policy issued by Springfield to one issued by U. S. Fire in violation of the terms of their policy, increasing the hazard.

U. S. Fire, primary insurer for Daly, takes the same position as its insured as to liability under the bareboat charter to Glaser, and further urges that its policy does not cover Glaser and Bay as insured parties.

These motions must be . denied, as there are definite issues of fact to be resolved for their determination. As to Daly and U. S. Fire, since unseaworthiness is alleged for recovery, it is a matter of proof as to when the condition of unseaworthiness arose. . See Edelman, Maritime Injury and Death, Vol. 1, pp. 164, 165.

The same applies to the motion urged by Steamship Mutual, and, in addition, a factual question must be resolved to determine whether or not coverage should have been afforded to Glaser and Bay, since the agents of the company seem to have been instructed to afford the same coverage to the same parties as was contained in the original primary insurance policy written by Springfield.

Accordingly, the motions for summary judgment filed by Daly and U. S. Fire are denied, and it is so adjudged. The motion of Steamship Mutual raises additional questions of coverage common to the motions hereinafter discussed, consequently ruling on its motion at this time is pretermitted to preserve the continuity of this opinion.

II

LIBERTY MUTUAL AND GREAT AMERICAN

These motions present the most serious question for determination. Liberty Mu[357]*357tual had outstanding at the time of this accident a liability policy issued to Glaser and to Bay, with limits of $100,000.00; Great American had a policy of Protection and Indemnity insurance on the barge “Rowe 14” issued to the same defendants, with limits of $30,000. Both policies contain the so-called “escape” or “other insurance” and “no contribution” clauses.

The pertinent clause of the Great American policy reads as follows:

“Provided that where the assured is, irrespective of this insurance, covered or protected against any loss or claim which would otherwise have been paid by this company, under this policy, there shall be no contribution by this company, on the basis of double insurance or otherwise.”

The Liberty Mutual policy provides in pertinent part as follows:

“Such insurance shall not attach with respect to any liability of the insured if there is in force for the insured or his benefit a protection and indemnity or similar policy which would cover any part of such liability except for an “other insurance clause, deductible or limitation of liability clause or similar clauses.”
“If the insured has other insurance against a loss covered by this policy, the company shall not be liable to the insured hereunder for a greater proportion of such loss than the amount which would have been payable under each policy applicable to such loss, had each such policy been the only policy so applicable.”

'Such clauses written into insurance contracts must be given effect wherever possible, they must be recognized unless the words used leave some doubt as to meaning requiring construction. Canal Insurance Company v. Dougherty, 247 F.2d 508 (5 Cir. 1957). Maryland Casualty Company v. Southern Farm Bureau, 235 F.2d 679 (5 Cir. 1956).

Liberty Mutual argues strenuously that its clauses preclude liability, by reason of the protection and indemnity coverage carried by Great American, and it relies upon the decision of United States Fire Insurance Co. v. Gulf States Marine & Mining Company, 262 F.2d 565 (5 Cir. 1959).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Guidry v. CSI Blasters/Painters, Inc.
724 F. Supp. 435 (W.D. Louisiana, 1989)
Viger v. Geophysical Services, Inc.
338 F. Supp. 808 (W.D. Louisiana, 1972)

Cite This Page — Counsel Stack

Bluebook (online)
209 F. Supp. 355, 1962 U.S. Dist. LEXIS 4655, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hains-v-glaser-construction-co-lawd-1962.