Olsen v. Oklahoma Gas & Electric Co.

2012 OK CIV APP 97, 288 P.3d 940, 2012 Okla. Civ. App. LEXIS 82, 2012 WL 5357923
CourtCourt of Civil Appeals of Oklahoma
DecidedJune 7, 2012
DocketNo. 110,104
StatusPublished
Cited by2 cases

This text of 2012 OK CIV APP 97 (Olsen v. Oklahoma Gas & Electric Co.) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Olsen v. Oklahoma Gas & Electric Co., 2012 OK CIV APP 97, 288 P.3d 940, 2012 Okla. Civ. App. LEXIS 82, 2012 WL 5357923 (Okla. Ct. App. 2012).

Opinion

KEITH RAPP, Judge.

T1 The plaintiff, Eloise E. Olsen (Olsen), Individually and as Personal Representative of the Estate of Billy W. Olsen (Mr. Olsen), deceased, appeals an Order granting summary judgment to the defendant, Oklahoma Gas and Electric Company (0G & E). The plaintiff sued two other defendants, Georgia Pacific, LLC and Union Carbide Corporation, but the summary judgment order also contains an Order pursuant to 12 0.98.2011, § 994(A). The appeal proceeds under the procedures of Okla. Sup.Ct. Rule 1.36, 12 ch. 15, app. 1. This Court reverses the Order granting summary judgment and remands the cause for further proceedings.

BACKGROUND 1

T2 In 1970, OG & E constructed an electric power generating plant, using an engi[942]*942neering and construction firm as general contractor. Mr. Olsen worked for an insulation contractor hired by OG & E. He installed asbestos insulation on pipes. OG & E paid for the asbestos insulation under an agreement so as to avoid sales tax.

13 Mr. Olsen was diagnosed with pleural mesothelioma after working with the asbestos and died from that disease in November 2010. His surviving spouse, Olsen, brought this action alleging that exposure to asbestos caused the death. The petition proceeded on two theories.

4 The first theory claimed that OG & E was liable under the theory of premises liability because of the asbestos and asbestos-containing products. The allegations listed a series of breaches of duty from failure to warn to failure to maintain safe working environment premises.

T5 The second theory alleged negligence. Olsen alleged that OG & E, as supplier of the asbestos products, was negligent for not warning of the hazards or making the workplace safe.

T6 OG & E filed a motion for summary judgment which relied upon the statute of repose, 12 0.8.2011, § 109.2 OG & E argued that Section 109 bars all tort claims of any type based upon any deficiency in the design, planning, supervision or observation of construction or construction of an improvement to real property, or death or injury arising out of such alleged deficiency.

T7 Olsen responded that Section 109 did not apply because the insulation work that decedent performed did not constitute "an improvement to real property" until the insulated pipe was actually installed. Olsen argued that Mr. Olsen experienced pre-installation exposure because the asbestos insulation was wrapped or joined with the pipe prior to installation of the pipe into the power plant system.3 Olsen further distinguished her claims of premises liability and negligence from supplying asbestos without warning as not governed by Section 109. Olsen specifically disclaimed a theory of liability based upon "deficiency in the design, planning, supervision or observation of construction or construction of an improvement to real property."

T8 The trial court granted summary judgment to OG & E. The court concluded that Olsen's claims all "tie back" to the construction of the power plant. Thus, the claims of premises liability and negligence were deemed to be indistinguishable from a claim of a "deficiency either in design, planning, or construction of an improvement to real property." 4

9 Olsen appeals.

STANDARD OF REVIEW

$10 This appeal, in part, involves the interpretation of 12 0.S8.2011, § 109. Matters involving legislative intent present questions of law, which are examined independently and without deference to the trial [943]*943court's ruling. Keizor v. Sand Springs Ry. Co., 1993 OK CIV APP 98, ¶ 5, 861 P.2d 326, 328.

111 The appellate standard of review in summary judgment is de movo. Kirkpatrick v. Chrysler Corp., 1996 OK 136, ¶ 2, 920 P.2d 122, 124. Summary judgment is proper only if the record reveals uncontro-verted material facts failing to support any legitimate inference in favor of the nonmov-ing party and the moving party is entitled to judgment as a matter of law. 12 00.98.2011, § 2056(C); Rule 18, Rules For District Courts, 12 0.$.2011, ch. 2, app.; N.C. Corff Partnership, Ltd. v. OXY USA, Inc., 1996 OK CIV APP 92, 929 P.2d 288. When the defendant is the moving party and relies upon an affirmative defense, as OG & E has with its Section 109 affirmative defense, then the defendant, as the party with the burden of proof, must meet the same standards as a plaintiff movant.5 Akin v. Missouri Pacific Railroad Co., 1998 OK 102, ¶ 9, 977 P.2d 1040, 1044.

ANALYSIS AND REVIEW

Applicability of 12 0.8.2011, $ 109.

112 Notwithstanding Olsen's disclaimers, the trial court deemed the action as one coming within the seope of Section 109. After ten years, Section 109) bars any tort action for injury or wrongful death arising from "deficiency in the design, planning, supervision or observation of construction or construction of an improvement to real property." Therefore, this Court's analysis first addresses whether Section 109 bars Olsen's action, assuming that the trial court correctly characterized the action as one described in Section 109, notwithstanding Olsen's disclaimer of any action for a deficiency causing Mr. Olsen's death.

{13 The elements of the Section 109 bar applicable here are: (1) a tort action; (2) for wrongful death which arises out of a described deficiency; (8) which described deficiency involves an improvement to real property; (4) the defendant, here the owner, is a member of a described class; and (5) ten years has passed since substantial completion. The intent of Section 109 is that persons who own, lease or possess property which has been altered by construction shall not be liable for planning, design, and construction defects in the construction improvement more than ten years after "substantial completion." 6 Gorton v. Mashburn, 1999 OK 100, ¶ 8, 995 P.2d 1114, 1116. Without dispute, the elements (1), (4) and (5) are present.

114 Olsen pled a claim for relief on the theories of premises lability and negligent supply of asbestos. Olsen's premises liability claim is that OG & E had a duty to warn about hazards on its premises and prevent injury from hazards on its premises. The hazard here was asbestos and asbestos products. Section 109 does not operate to bar a premises liability claim. Smedsrud v. Powell, 2002 OK 87, ¶ 21, 61 P.3d 891, 898-99; Abbott v. Wells, 2000 OK 75, 11 P.3d 1247. The reasoning of these cases would also make Section 109 inapplicable to the negligent supply of asbestos, without warning, claim.

15 The trial court distinguished Smeds-rud and Abbott and reasoned that Mr. Olsen's injury occurred during construction of an improvement to real property.7 The trial court concluded that the claim necessarily arose from a deficiency in the design, planning or construction of an improvement to real property. Therefore, the trial court applied Section 109 and sustained OG & E's motion for summary judgment. Moreover, the trial court necessarily determined that Olsen did not present any alternative theory, because Smederud also instructs that a plaintiff cannot be forced to abandon an alternative theory.

[944]*944T 16 Smedsrud and Abbott share a distinguishing fact. In both cases, the injured party was a person coming onto the premises as invitees long after construction was completed.

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2012 OK CIV APP 97, 288 P.3d 940, 2012 Okla. Civ. App. LEXIS 82, 2012 WL 5357923, Counsel Stack Legal Research, https://law.counselstack.com/opinion/olsen-v-oklahoma-gas-electric-co-oklacivapp-2012.