Holden v. Bundek

317 A.2d 29, 1972 Del. Super. LEXIS 163
CourtSuperior Court of Delaware
DecidedDecember 28, 1972
StatusPublished
Cited by4 cases

This text of 317 A.2d 29 (Holden v. Bundek) is published on Counsel Stack Legal Research, covering Superior Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holden v. Bundek, 317 A.2d 29, 1972 Del. Super. LEXIS 163 (Del. Ct. App. 1972).

Opinion

QUILLEN, Judge:

On January 25, 1972, Nancy Holden slipped and fell upon the scale which is a part of the State Police Station on Route 113 near Georgetown, Delaware. As a result of her fall, Mrs. Holden fractured her left leg. The fall has allegedly resulted in a permanent injury to her.

11 Del.C. § 8305 grants the State Highway Department the duty and obligation to maintain a State Police Station at or near Georgetown, Delaware. 29 Del.C. § 8206(1) and 29 Del.C. § 8203(2) (A) place this responsibility upon the defendant — the Secretary of the Department of Public Safety of the State of Delaware.

*30 Mrs. Holden and her husband sued the defendant in tort for injuries Mrs. Holden sustained in the fall of January 25, 1972. The defendant has moved to dismiss this suit on the ground that it is barred by the doctrine of sovereign immunity. It is conceded that the Secretary is being sued in his official capacity and therefore is entitled to the sovereign immunity defense if the defense is available to the government.

The trend of the law is clear. Fifteen years ago this Court within a limited context cited with approval the following language: “The entire doctrine of governmental immunity rests upon a rotten foundation, and professors, writers and liberal minded judges are of the view that it should be placed in the judicial garbage can where it belongs.” See dissenting opinion of Justice Carter in Talley v. Northern San Diego County Hospital Dist., 41 Cal.2d 33, 257 P.2d 22, 28 (1953) cited in Dorsey v. Coastal Tank Lines, 11 Terry 437, 133 A.2d 914, 917 (Super.Ct.1957).

There are, however, peculiar problems when dealing with the tort liability of governmental agencies. See, for example, the factual situation in Raughley v. Department of Health and Social Services, Del.Super., 274 A.2d 702, 703-704 (1971). In the tradition of Delaware court decisions and in the tradition of the separation of powers, sovereign immunity, as an established common law concept, is an absolute bar to all suits against the State unless by legislative act the General Assembly has waived the immunity. Shellhorn & Hill, Inc. v. State, 5 Storey 298, 187 A.2d 71 (Sup.Ct.1962). There is no dispute in this case about Delaware law. The doctrine of sovereign immunity is part of the law of this State.

The issue in this case is whether or not sovereign immunity has been waived.

As part of a comprehensive insurance code revision approved July 3, 1968, Chapter 65 of Title 18 was enacted. It mandated in part that the Governor, the State Auditor and the Insurance Commissioner “shall * * * [pjrotect the public from wrongful actions of State officials and employees and failure or malfunction of state owned property.” 56 Del. Laws, Ch. 380, p. 1687. The law provided that coverage could be by “no insurance on small losses, commercial insurance, self-insurance, or a combination of methods.” This Court in the Raughley case, supra, construing the original 1968 statute and relying in part on 18 Del.C. § 6508 as it existed in the original act, held that the General Assembly did not intend for the State immediately upon the passage of the Act to be totally exposed on all claims on a no insurance basis. Section 6508, entitled “Defense of sovereignty prohibited”, provided that insurance contracts “shall contain a provision agreeing on behalf of the insurer that the defense of sovereignty is waived and cannot and will not be asserted.” The Court held that, to the extent the program relied on no insurance or self-insurance, funding and claims processing procedures would have to be developed before it can be effective.

By a statute approved June 30, 1969, Chapter 65 of Title 18 was revised and expanded. 57 Del.Laws, Ch. 187. The three officers were designated the Insurance Coverage Determination Commission and a State Insurance Coverage Office was created. The provisions of revised Chapter 65 retained the mandate to protect the public from wrongful actions of State officials and employees and failure or malfunction of State owned property and a provision authorizing “no insurance on small losses, coverage by commercial insurance, coverage by self-insurance, or a combination of such methods”.

The section entitled “Defense of sovereignty prohibited” was renumbered § 6509 and now reads as follows :

“§ 6509. Defense of sovereignity prohibited
“The defense of sovereignty is waived and cannot and will not be asserted as to *31 any risk or loss covered by the State insurance coverage program, whether same be covered by commercially procured insurance or by self-insurance, and every commercially procured insurance contract shall contain a provision to this effect, where appropriate.”

The 1969 statute also added, as part of Subchapter III dealing with self-insurance, 18 Del.C. § 6537 which reads as follows:

“§ 6537. Arbitration of disputes and litigation of claims
“(a) Any dispute between the Coverage Office and a State Agency claimant, which cannot be amicably resolved, shall be referred to arbitration before an arbitrator selected by the Secretary of State. The expense of such arbitration will be borne by the disputants equally. The decision of the arbitrator will be final and binding upon the disputants.
“(b) Any dispute between the Coverage Office and a claimant under the Workmen’s Compensation coverage, should same be covered by the Fund, which cannot be amicably resolved, shall be handled in the manner of a claim against a commercial insurer before the Industrial Accident Board with all normal rights of appeal.
“(c) Any dispute between the Coverage Office and a claimant not otherwise covered in subsection (a) and (b) of this section which cannot be amicably resolved, may be made the subject of litigation in any Court of competent jurisdiction in this State.”

In addition, it should be noted that, under 29 Del.C. § 8203(5), the Secretary of Public Safety “may make and enter into any and all contracts, agreements or stipulations * * *.”

■The plaintiffs resist the defense of sovereign immunity on three bases, all of which the plaintiffs say, constitute a legislative waiver of the defense.

The plaintiffs, relying on Wilmington Housing Authority v. Williamson, Del.Supr., 228 A.2d 782 (1967), claim the power to enter contracts is a waiver of sovereign immunity in tort as well as contracts. This reliance is misplaced since the Williamson opinion dealt with the power “to sue and be sued” and not with the power to enter contracts. The argument is without merit. See also 18 Del.C.

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Cite This Page — Counsel Stack

Bluebook (online)
317 A.2d 29, 1972 Del. Super. LEXIS 163, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holden-v-bundek-delsuperct-1972.