Nye v. Erie Insurance Exchange

503 A.2d 954, 349 Pa. Super. 490, 1986 Pa. Super. LEXIS 9260
CourtSuperior Court of Pennsylvania
DecidedJanuary 24, 1986
DocketNos. 43 and 184
StatusPublished
Cited by6 cases

This text of 503 A.2d 954 (Nye v. Erie Insurance Exchange) is published on Counsel Stack Legal Research, covering Superior Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Nye v. Erie Insurance Exchange, 503 A.2d 954, 349 Pa. Super. 490, 1986 Pa. Super. LEXIS 9260 (Pa. Ct. App. 1986).

Opinion

JOHNSON, Judge:

Appellant, C. William Nye, is the administrator of the estate of Karen L. Nye, who was killed in an automobile accident in Swatara Township on December 21, 1978. Nye filed a class action suit in the Court of Common Pleas of Dauphin County against Appellee, Erie Insurance Exchange, and several other insurance carriers seeking postmortem no-fault benefits for lost wages as provided for under the Pennsylvania No-fault Motor Vehicle Insurance [493]*493Act.1 At the time of her fatal accident Karen Nye was covered by a no-fault motor vehicle insurance policy issued by Appellee.

Preliminary objections were filed by the defendant insurance carriers, which contended that Appellant did not state a cause of action. Additionally, all carriers except Erie Insurance Exchange challenged Appellants’ standing to bring the action. The trial court dismissed the complaint against all defendants except Erie and also dismissed the class action complaint filed as against Erie because the complaint did not reflect the existence of dependent survivors.

On appeal, this Court reversed the determination of the trial court in Nye v. Erie Insurance Exchange, 307 Pa.Super. 464, 453 A.2d 677 (1982), deciding that a class action suit could be maintained against all the defendants and that there was no requirement to plead the existence of dependent survivors. Upon further review, however, our supreme court, in Nye v. Erie Insurance Exchange, 504 Pa. 3, 470 A.2d 98 (1983), concluded that Appellants’ complaint stated a cause of action, but that Appellants only had standing to sue Erie Insurance Exchange. The trial court’s dismissal of the complaint against insurance carriers other than Erie was affirmed by the supreme court.

Following remand, Appellee Erie Insurance Exchange filed an Answer and New Matter which alleged that the case should be stayed because Erie was a defendant in Saunders v. Erie Insurance Group, GD80-9011, a case pending in the Court of Common Pleas of Allegheny County. The Saunders complaint, which involved a class action claim seeking no-fault benefits for lost wages, was filed subsequent to the filing of the complaint in the instant case. In Saunders, however, the class had already been certified when Erie filed its request for a stay.

[494]*494On May 4, 1984 Appellants filed a motion for class certification, partial summary judgment and consolidation with several other cases pending in Dauphin County. The trial court also had under consideration three petitions to intervene from representatives of decedents insured by Erie and six other petitions from representatives of decedents covered by insurance companies which had already been dismissed from this action.

A certification hearing was held on August 15, 1984. Two days prior to the hearing Appellants filed a Petition to Amend Complaint seeking to enlarge the putative class to include all survivors and estates denied work loss benefits as early as November 15, 1975. In an order and opinion dated September 11, 1984, the trial court denied Appellants’ motions for class certification, partial summary judgment and consolidation. The trial court took no action on the Petition to Amend Complaint. This appeal followed.2

Appellants initially contend that the trial court erred in refusing to certify the instant class action. The trial court’s refusal to certify the class was based on its belief that the Saunders class action encompassed the instant case and that it would be duplicative and wasteful of judicial resources to certify another class of Erie insureds. Appellants assert that substantial differences exist between the instant case and Saunders.

Appellants also argue alternatively that the trial court should have granted intervention and then transferred the instant action to Allegheny County for consolidation with the Saunders case. The trial court concluded that the potential intervenors represented by Erie had unduly delayed in making application for intervention while those represented by insurance carriers other than Erie could not intervene because their carriers had already been dismissed as defendants.

[495]*495Before addressing the merits of this case we must first consider what standard of review should apply to a trial court’s order granting or denying class certification. This question was recently addressed in D'Amelio v. Blue Cross of Lehigh Valley, 347 Pa.Super. 441, 500 A.2d 1137 (1985). There we stated:

The lower court’s determination regarding class certification is a “mixed finding of law and fact entitled to ‘appropriate deference’ upon appeal.” Janicik v. Prudential Insurance Co. of America, 305 Pa.Super. 120, 451 A.2d 451, 454 (1982) (quoting with approval from Bell v. Beneficial Consumer Discount Co., 465 Pa. 225, 235, 348 A.2d 734, 739 (1975) on remand, 241 Pa.Super. 192, 360 A.2d 681 (1976)).
“Trial courts are vested with broad discretion in determining definition of the class as based on commonality of the issues and the propriety of maintaining the action on behalf of the class.” Klemow v. Time, Inc., 466 Pa. 189, 197, 352 A.2d 12, 16 (1975). Accord, Sharkus v. Blue Cross of Greater Philadelphia, 494 Pa. 336, 342-43, 431 A.2d 883, 886 (1981); ABC Sewer Cleaning Co. v. Bell of Pennsylvania, 293 Pa.Super. 219, 225-26 n. 4, 438 A.2d 616, 619 n. 4 (1981). Accordingly, the lower court’s order granting or denying class certification will not be disturbed on appeal unless the court neglected to consider the requirements of the rules or abused its discretion in applying them. See Janicik v. Prudential Insurance Co. of America, supra; Sharkus v. Blue Cross of Greater Philadelphia, supra; Klemow v. Time, Inc., supra; Bell v. Beneficial Consumer Discount Co., supra. See also Zeidman v. J. Ray McDermott & Co., 651 F.2d 1030, 1050 (5th Cir.1981).

Id., 347 Pa.Superior Ct. at 448-49, 500 A.2d at 1140-41.

Applying this standard of review to the instant case, we cannot say that the trial court either failed to consider the requirements of the rules or abused its discretion in applying them.

[496]*496Pennsylvania Rule of Civil Procedure 1708 states in relevant part:

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Bluebook (online)
503 A.2d 954, 349 Pa. Super. 490, 1986 Pa. Super. LEXIS 9260, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nye-v-erie-insurance-exchange-pasuperct-1986.