Hamm v. Thompson

353 P.2d 73, 143 Colo. 298, 1960 Colo. LEXIS 568
CourtSupreme Court of Colorado
DecidedJune 6, 1960
Docket18537
StatusPublished
Cited by32 cases

This text of 353 P.2d 73 (Hamm v. Thompson) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hamm v. Thompson, 353 P.2d 73, 143 Colo. 298, 1960 Colo. LEXIS 568 (Colo. 1960).

Opinion

Mr. Justice Knauss

delivered the opinion of the Court.

Defendants in error, plaintiffs below, filed a complaint in the district court seeking damages allegedly sustained by plaintiffs when an automobile driven by defendant Hamm collided with a motor vehicle owned by plaintiff Florence Turner and driven by plaintiff Jamie Thompson. The complaint named as defendants, Hamm, and Universal Mutual Casualty Company (hereinafter referred to as Universal Mutual or Company). It was alleged that the negligence of defendant Hamm caused said collision and that he “was an agent, employee or servant of defendant Universal Mutual Casualty Company and (was acting) in the course and scope of his agency or employment,” when the accident occurred.

Defendant Hamm answered with a denial of said negligence and set forth certain affirmative defenses, and admitted that he was acting in the scope of his employment as agent of Universal Mutual when the collision occurred. The Company, by answer, denied such agency.

On July 29, 1957, the court ordered that the action be *300 dismissed without prejudice as to Universal Mutual pursuant to a “Stipulation for Dismissal” filed by plaintiffs and the Company. On that same day plaintiffs admittedly executed and delivered to Universal Mutual for and in consideration of $750.00, a document entitled “Covenant not to sue.”

Thereafter defendant Hamm moved to dismiss the complaint and for a directed verdict on the ground that the “Covenant Not to Sue” was a release of Universal Mutual; that defendant and Universal Mutual are joint tort-feasors, and that a release of one joint tort-feasor is a release of all. Therefore, the defendant should be released and the complaint dismissed as a matter of law.

The motions were denied by the trial court and trial had to a jury upon the issues thus joined. A verdict was subsequently returned for the plaintiffs in the sum of $10,600.00 and judgment was entered on the verdict. Defendant Hamm is here by writ of error seeking reversal of the judgment on the ground that the trial court erred in denying defendant’s motion for a directed verdict.

The instrument titled “Covenant Not to Sue” provides for consideration of $750.00 to be paid by Universal Mutual and sets forth, in customary terms, plaintiff’s agreement not to sue Universal Mutual for any of the matters set forth in the complaint, substantially the same as the instrument considered in Price v. Baker, decided December 7, 1959. Defendant Hamm argues that the so-called “Covenant Not to Sue” involved here is a release; that Universal Mutual and defendant are joint tort-feasors, and that a release of one joint tort-feasor releases all.

To support the conclusion that Universal Mutual and defendant are joint tort-feasors, defendant argues that Universal Mutual is vicariously liable for defendant’s negligence on the theory of respondeat superior for the reason that defendant was a servant or agent of said company acting in the scope of his employment when *301 the accident occurred. Therefore, the two are joint tortfeasors.

Whether or not Universal Mutual and defendant are joint tort-feasors in the sense that a release of the former acts to release the latter, poses a question which has never been decided in this jurisdiction and consequently cases from other states must be resorted to in arriving at a solution.

A case in point is Losito v. Kruse, 136 Ohio St. 183, 24 N.E. (2d) 705, where it was held that a master, who is liable under the doctrine of respondeat superior for injuries caused by his servant’s negligence, is a tort-feasor with the servant, and a release of the master is not a release of the servant. The court reasoned:

“Here the question is, what effect will a partial settlement have upon the plaintiff’s right to pursue the servant for the remainder of his claim? The servant’s liability as such is in no way affected by a settlement with the master. The master’s settlement does not establish liability against the defendant servant in favor of the plaintiff. If the servant is liable to the plaintiff, he is liable for the full amount of the claim if the master has paid any part of it, the servant is under obligation to reimburse the master and pay the plaintiff the balance of his claim.”

The law of this jurisdiction, by way of analogy, supports the reasoning of Losito v. Kruse, supra. It is well settled that a master who pays for injuries or damage to another resulting from his servant’s tort has a right of indemnification from his servant for the amount so paid. Parrish v. DeRemer, 117 Colo. 256, 187 P. (2d) 597; Otis Elevator Co. v. Maryland Casualty Co., 95 Colo. 99, 33 P. (2d) 974; See, Spillane v. Wright, 127 Colo. 580, 259 P. (2d) 1078. It is equally well settled that there is no contribution among conventional tort-feasors in this jurisdiction. Otis Elevator Co. v. Maryland Casualty Co., supra.

The reasoning of Losito v. Kruse, supra, that the *302 “servant’s liability as such is in no way affected by a settlement with the master” because of the common law rule pertaining to indemnification and contribution between master and servant is equally applicable in this jurisdiction where common law principles are the rule of decision. The rule is stated in convincing language in Harper & James, Volume 1, §10.1, page 700 wherein it is stated in Note 50:

“Another manner in which the joint and several liability imposed on master and servant differs from that of the other categories is that at common law the master has a right of indemnification * * * from his servant for the amount the former pays a third person to satisfy any judgment rendered against both of them for the servant’s tort. (Citing cases.) True joint-tortfeasors, on the other hand, could not even seek contribution * * * at common law * * * and, while there are exceptions, still cannot do so today unless allowed by statute. (Citing cases.)”

Defendant would have this court apply the concept of “joint tort-feasors” to the master-servant relationship in cases where the master is liable for the servant’s torts only under the doctrine of respondeat superior — to the extent that a release of the master is a release of the servant. To do so would enable the sole wrongdoer, the servant, to escape liability altogether, for the master, after compensating the injured party, could not thereafter seek contribution by way of indemnification from the servant, since there is no contribution among conventional tortfeasors in this jurisdiction.

Foreseeing this consequence, many courts have refused to apply the concept of joint tort-feasors to the master-servant relationship in related areas. Thus some courts have held that a master and servant can be joined as defendants in one action, but they are not joint tortfeasors. Pacific Emp. Ins. Co. v. Hartford Accident & Indem. Co., 228 F. (2d) 365, certiorari denied, 352 U.S. *303 826. Cases collected in 98 A.L.R. 1057.

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

Related

Jamerson v. Quintero
313 P.3d 532 (Court of Appeals of Arizona, 2013)
Reid v. Berkowitz
2013 COA 110 (Colorado Court of Appeals, 2013)
Touchtone Group, LLC v. Rink
913 F. Supp. 2d 1063 (D. Colorado, 2012)
Henisse v. First Transit, Inc.
247 P.3d 577 (Supreme Court of Colorado, 2011)
Unigard Mutual Insurance Co. v. Mission Insurance Co.
907 P.2d 94 (Colorado Court of Appeals, 1994)
Yates v. New South Pizza, Ltd.
412 S.E.2d 666 (Supreme Court of North Carolina, 1992)
Cobbin Ex Rel. Cobbin v. City & County of Denver
735 P.2d 214 (Colorado Court of Appeals, 1987)
Patten v. Knutzen
646 F. Supp. 427 (D. Colorado, 1986)
Brochner v. Western Insurance Co.
724 P.2d 1293 (Supreme Court of Colorado, 1986)
Aherron v. St. John's Mercy Medical Center
713 S.W.2d 498 (Supreme Court of Missouri, 1986)
McCall v. Roper
685 P.2d 230 (Colorado Court of Appeals, 1984)
Western Insurance Co. v. Brochner
682 P.2d 1213 (Colorado Court of Appeals, 1984)
National Farmers Union Property & Casualty Co. v. Frackelton
662 P.2d 1056 (Supreme Court of Colorado, 1983)
Mountain Mobile Mix, Inc. v. Gifford
660 P.2d 883 (Supreme Court of Colorado, 1983)
Greer v. Intercole Automation, Inc.
553 F. Supp. 275 (D. Colorado, 1982)
Hill Ex Rel. Greer v. McDonald
442 A.2d 133 (District of Columbia Court of Appeals, 1982)
Stefanich v. Martinez
570 P.2d 554 (Colorado Court of Appeals, 1977)

Cite This Page — Counsel Stack

Bluebook (online)
353 P.2d 73, 143 Colo. 298, 1960 Colo. LEXIS 568, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hamm-v-thompson-colo-1960.