Miller v. Cousins Properties, Incorporated

378 F. Supp. 711, 19 Fed. R. Serv. 2d 229
CourtDistrict Court, D. Vermont
DecidedMarch 22, 1974
DocketCiv. A. 73-6
StatusPublished
Cited by14 cases

This text of 378 F. Supp. 711 (Miller v. Cousins Properties, Incorporated) is published on Counsel Stack Legal Research, covering District Court, D. Vermont primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miller v. Cousins Properties, Incorporated, 378 F. Supp. 711, 19 Fed. R. Serv. 2d 229 (D. Vt. 1974).

Opinion

MEMORANDUM AND ORDER

HOLDEN, Chief Judge.

This action was instituted by Richard E. Miller of Jacksonville, Florida, the administrator of the estate of Frank Wilder, deceased, to recover in his representative capacity for the wrongful death of the decedent. The complaint against Cousins Properties, Incorporated, a Georgia corporation, alleges that the decedent was a passenger for hire on a jet aircraft, designated as an Aero Commander. According to the complaint, the airplane was owned and operated by Cousins, under the exclusive control and management of this defendant’s agents and employees on January 27, 1971, when the aircraft crashed over or upon the waters of Lake Champlain, shortly after takeoff from the Burlington airport. It is alleged that the plane was sold to Cousins by the defendant North American Rockwell Corporation, an Arkansas corporation. Maintenance of the aircraft was performed by the defendants, Cary S. Brown and Larry Mc-Eachern, who operated the business, Atlanta Air Maintenance in Atlanta, Georgia, as partners. The complaint is stated in eight counts; the first four are based on diversity jurisdiction and the remaining counts invoke federal admiralty jurisdiction under 28 U.S.C. § 1333 and Rule 9, Fed.R.Civ.P.

North American was served in Little Rock as an Arkansas corporation. The plaintiff has now moved to amend the complaint to allege that “Defendant North American Rockwell Corporation is a multi-state corporation incorporated in Arkansas and Delaware . . . .” Recovery against the several defendants is sought under various theories of negligence, strict liability in tort and breach of warranty.

By way of separate motions to dismiss and for summary judgment, all of the *713 defendants challenge the court’s in personam and subject matter jurisdiction of the action. The defendants, Cousins, Brown and McEachern also seek dismissal of the action for improper venue. 1

Affidavits relating to the motions to dismiss and for summary judgment supply additional facts. Cousins was formerly a Delaware corporation, but is now a corporate citizen of Georgia and maintains its principal office in Atlanta. Its primary business is real estate development and investment. On February 27, 1968, CPI Burlington, Inc., a Georgia corporate subsidiary, entered a joint venture agreement with FM Burlington Company, a Delaware corporation, with the purpose of acquiring, owning and developing thirteen acres of land in which they held title in Burlington, Vermont. An Atlanta architectural firm of Tombs, Amisano & Wells was retained to design and develop plans for two office buildings on the Vermont real estate.

The architects for the Burlington venture engaged the consultant services of the decedent’s engineering firm, Frank Wilder Associates of Atlanta, Georgia and Jacksonville, Florida. The developers of the Burlington project discovered and reported deficiencies in the air conditioning and heating systems to their architects. The architects requested the Wilder engineering firm to inspect these systems.

In pursuit of this undertaking, Frank Wilder and an associate engineer boarded the jet aircraft, owned by the defendant Cousins, at Fulton County Airport in Georgia on January 27, 1971. The pilot, co-pilot and four other passengers were employees of CPI. The destination of the flight was Harrisburg, Pennsylvania, Newark, New Jersey, Providence, Rhode Island and Burlington, Vermont; at each stop one of Cousins’s passenger-employees deboarded. The decedent, his associate Windsor and a Cousins’ employee, named Williams, continued on to Burlington.

After the inspection was performed, the decedent, Williams and Windsor, along with the pilot Nikita and co-pilot Myers, boarded the aircraft on the same evening, January 27, 1971, for the return flight to Providence, Harrisburg and Atlanta. The airplane took off at Burlington at 7:50 P.M. and disappeared from the tower’s radar scope a few minutes later. The aircraft, passengers and crew have not been found. Search of the waters and eastern shoreline of Lake Champlain in May, 1971, located miscellaneous debris, including an antenna, a panel from the cabin structure and documents, relating to mechanical parts and inspection .numbers, which have been identified as part of the contents and assembly of the Aero Commander, CP 400, owned and flown by Cousins and its personnel.

The defendant North American Rockwell Corporation, of Arkansas, is a holding company. One of its subsidiaries, North American Rockwell Corporation, the Delaware company, is now known as Rockwell International Corporation, and was the original vendor of the plane. The first owner of the plane, Southern Ohio Aviation Company, purchased the plane on December 10, 1965. The aircraft was later purchased by Cousins Properties, Inc., after it had been used by at least one prior owner.

The defendants Cary S. Brown and Larry McEachern, d/b/a Atlanta Air Maintenance, are engaged in the business of repairing and maintaining general and business aviation aircraft. Their company performed services of this nature on the plane involved in the crash. The only contact Atlanta Air Maintenance had with Cousins was through the plane’s pilots. In order to schedule repair and maintenance service the maintenance firm would know usually when the plane would be away on a *714 trip. However, these defendants did not know the plane’s destination nor did they know of the flight to Burlington, Vermont, on January 27,1971.

PLAINTIFF’S MOTION TO AMEND

The problem presented by the plaintiff’s motion to amend its complaint is whether it meets the criteria set forth in Fed.R.Civ.P. 15(c). It should be noted at the outset that the applicable statute of limitations, 14 V.S.A. § 1492(a), is two years. After the plaintiff caused service to be made on North American Rockwell Corporation, the Arkansas corporation, subsequent discovery revealed the Arkansas corporation is merely a holding company. Its subsidiary, North American Rockwell as a “corporation ware corporation, was the actual vendor of the plane which was manufactured by this corporation, or another subsidiary. The original complaint identifies North American Rockwell as a “Corporation with its principal place of business in Little Rock, Arkansas.” The amended complaint alleges that the North American Rockwell Corporation is a multistate corporation incorporated in Arkansas and Delaware, with principal places of business in Pittsburgh, Pennsylvania and El Segundo, California. Of course the plaintiff seeks to substitute, as a party defendent, the subsidiary corporation (s) that manufactured and sold the plane in place of the corporation it actually served, North American Rockwell, the Arkansas holding corporation.

Rule 15(c) allows amendments to pleadings to relate back to the date of the original pleading if certain criteria are satisfied. The party sought to be brought in must have received sufficient notice of the institution of the action so that it will not be prejudiced in its defense.

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Bluebook (online)
378 F. Supp. 711, 19 Fed. R. Serv. 2d 229, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-cousins-properties-incorporated-vtd-1974.