Louisville & Nashville Railroad v. Atlantic Co.

19 S.E.2d 364, 66 Ga. App. 791
CourtCourt of Appeals of Georgia
DecidedFebruary 28, 1942
Docket29356, 29357.
StatusPublished
Cited by17 cases

This text of 19 S.E.2d 364 (Louisville & Nashville Railroad v. Atlantic Co.) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Louisville & Nashville Railroad v. Atlantic Co., 19 S.E.2d 364, 66 Ga. App. 791 (Ga. Ct. App. 1942).

Opinions

Sutton, J.

Louisville and Nashville Railroad Company and Atlantic Coast Line Railroad Company, as lessees of Georgia Railroad and Banking Company, and Georgia Railroad & Banking Company brought suit against the Atlantic Company seeking to recover on a certain indemnity contract, the petition alleging: The plaintiffs are the lessees and lessor, respectively, of the line of road known as the Georgia Railroad. The defendant, a corporation, is the successor in title of all the properties formerly held by the Atlantic Ice & Coal Company and through a corporate set-up became liable for all of the obligations of the said predecessor in title, and especially its obligation to the plaintiffs under a certain *792 lease contract between the predecessor in title and the plaintiffs, dated September 21, 1923, and relating to the installation of a certain private railroad track, under the terms of which the said Atlantic Ice & Coal Company agreed to release, indemnify, and hold harmless the lessees of the Georgia Eailroad & Banking. Company and the Georgia Eailroad & Banking Company “from and against all claims for damages on the part of any person whomsoever for fatal or personal injuries to the lessee [Atlantic Ice & Coal Company] or the lessee’s officers, agents, employees, or others, except the agents and employees of the lessor, when said enumerated persons were, at the time so injured, upon or adjacent to said new track [the private track of the Atlantic Ice & Coal Company] in connection with the transaction of or having business with the lessee, and which injuries grow out of the construction or maintenance of said new track, or the operation of locomotives or cars thereover, or over tracks adjacent thereto, when said operation is in or about the business of the lessee.” A copy of the said lease was attached to the petition and provided, among other things, in addition to the above-quoted provision, that the agreement was entered into “for the purpose of providing the lessee’s plant with better shipping facilities,” and that “the lessor shall have the right, at all times, to use said new track in connection with the lessor’s general railroad business or serve other persons and industries thereover so long as said user shall not unreasonably interfere with the use of said new track in connection with the business of the lessee, and to extend said new track or connect other tracks thereto for use in the lessor’s general railroad business or to serve other persons and industries.” On December 28, 1938, at the Decatur, Georgia, plant of the defendant, and upon the track described in the lease contract, one Jessie Gray sustained a fatal injury by being crushed beneath one of the cars situated upon said private side track, which said private side track was at the time of the injury being served by an engine of the plaintiffs herein. On April 12, 1939, Lemma Gray, as the widow of the deceased, brought suit against Georgia Eailroad & Banking Company in the city court of Decatur to recover for her husband’s death. The Atlantic Company was duly and properly vouched into court. The case came on for trial and resulted in a verdict for the plaintiff in the sum of $3041 and court costs. The defendant’s motion for new trial was *793 overruled, and afterwards a fi. fa. was issued and was paid by the plaintiffs herein. The Atlantic Company made no appearance in the case, but one of its attorneys was present during a portion of the trial. The present suit is brought to recover from the defendant the full amount of principal, interest, and costs by reason of said suit in the city court of Decatur, a copy of which was attached to the petition in the present ease.

The defendant filed a general demurrer to the petition and also filed an answer admitting substantially all of the allegations of the petition, but denying liability, and denying that any right to indemnity existed, and setting up that the verdict and judgment obtained in the Gray case were by reason of the negligence of the plaintiffs’ herein, and that the indemnity contract here relied upon was against public policy and void, because it sought to avoid liability for the plaintiffs’ own negligence.

The plaintiffs demurred generally to the defendant’s answer and specially demurred to that portion alleging that the indemnity contract was against public policy and void, the ground of objection being that the allegations were only conclusions of the pleader.

The defendant amended its answer by alleging that it was compelled to sign the indemnity agreement in order to get cars of coal to its plant at a cost that would enable it to conduct its business, and that the construction and maintenance of the spur track was a public service which was owed the defendant by the plaintifEs, and that in operating its train and delivering a car on the defendant’s premises at the time of the fatal injury of Jessie Gray the railroad was acting as a common carrier. The plaintifEs renewed their demurrers to the defendant’s answer as amended and further specially demurred to the allegations of the amendment last above mentioned as being irrelevant and immaterial and conclusions of the pleader without showing sufficient facts to support the conclusions, the agreement, on the contrary, showing that the operation of trains on the spur track was done as an added convenience to the defendant and not as part of the duty of the plaintiffs as a common carrier. The defendant then amended its answer by alleging that at- the time the indemnity contract was entered into the Public Service Commission of Georgia had not promulgated any rule, order, or other direction requiring persons or corporations served by spur tracks or side tracks to enter into any indemnity *794 agreement like that sued on by the plaintiffs herein, and that there was no legal obligation upon the defendant to make such a contract, but that being a shipper needing the services of the plaintiffs as a common carrier, and in order to have the track available and use the services of the plaintiffs as a common carrier, as it was entitled to, the defendant was compelled to sign a contract containing the indemnity agreement, and if the agreement provides indemnity in favor of the plaintiffs against their own negligence it is contrary to public policy and is void. All demurrers to the answer as amended were renewed.

The court by an order in writing, reciting that the pleadings of the parties made an issue of fact as to whether or not the side track constructed for the defendant was such as was required to be furnished as a service to the public, overruled all of the demurrers, and exceptions pendente lite were filed by both sides. A motion by the plaintiffs to reconsider the order overruling its demurrers was overruled, and the plaintiffs filed exceptions pendente lite.

The plaintiffs then amended their petition by alleging that the lease hereinbefore mentioned, dated September 21, 1923, was by mutual agreement renewed by a written agreement dated May 1, 1934, a copy of which was attached to the amendment and made a part thereof, and that on June 9, 1925, the plaintiffs and the Atlantic Ice &

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Cite This Page — Counsel Stack

Bluebook (online)
19 S.E.2d 364, 66 Ga. App. 791, Counsel Stack Legal Research, https://law.counselstack.com/opinion/louisville-nashville-railroad-v-atlantic-co-gactapp-1942.