Rausch v. Reinhold

716 N.E.2d 993, 1999 Ind. App. LEXIS 1704, 1999 WL 773553
CourtIndiana Court of Appeals
DecidedSeptember 29, 1999
Docket66A04-9907-CV-301
StatusPublished
Cited by41 cases

This text of 716 N.E.2d 993 (Rausch v. Reinhold) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rausch v. Reinhold, 716 N.E.2d 993, 1999 Ind. App. LEXIS 1704, 1999 WL 773553 (Ind. Ct. App. 1999).

Opinion

OPINION

STATON, Judge

This interlocutory appeal arises from a negligence lawsuit filed by Dewayne Reinhold against Donald Rausch. Rausch appeals from the trial court’s denial of his motion for summary judgment. Reinhold cross-appeals from the trial court’s denial of his motion to strike Rausch’s nonparty *995 defense and the trial court’s entry of final judgment in favor of Indiana Insurance Company. 1 The parties collectively raise three issues, which we restate as:

I. Whether Reinhold is barred by the Indiana Worker’s Compensation Act from proceeding with his negligence lawsuit against Rausch.
II. Whether two corporations named by Reinhold as defendants in an amended complaint, but who were later dismissed by the trial court, are nonparties within the meaning of Indiana’s Comparative Fault Act.
III. Whether Reinhold is entitled to name Rausch’s liability insurer as a party defendant.

We affirm.

Reinhold incurred severe injuries to his arm when his shirt became entangled in the spinning shaft of an auger owned by Rausch. Reinhold’s arm had to be amputated. At the time of his injury, Reinhold was employed as a driver for Murray Trucking Company (“Murray”), and he had been assigned to pick up a load of corn at a farm operated by Rausch.

Reinhold filed a negligence lawsuit, naming Rausch as the sole defendant. In his answer, Rausch asserted a nonparty defense, naming Murray and Kewanee Farm Equipment (the manufacturer of the auger) as nonparties. Reinhold subsequently filed an amended complaint, naming Murray and Allied Products Corporation (“Allied”) (the owner of Kewanee Farm Equipment) as additional parties. Murray and Allied were later dismissed by the trial court upon their respective motions to dismiss. Reinhold filed a second amended complaint, naming Rausch and Indiana Insurance Company (“IIC”) (Rausch’s liability insurer) as parties. IIC was later dismissed, and the trial court entered final judgment in favor of IIC.

While his negligence suit was pending, Reinhold filed a worker’s compensation claim against Murray. Murray lacked worker’s compensation insurance. Reinhold and Murray entered into an agreement, which was approved by the Worker’s Compensation Board, whereby Murray agreed to pay $60,000 toward its worker’s compensation liability resulting from Reinhold’s injury. This agreement by its terms did not represent the entire amount of Murray’s worker’s compensation liability nor did it relieve Murray of its obligation to pay additional compensation. Later, Reinhold amended his worker’s compensation claim to name Rausch as a party with potential liability under the Worker’s Compensation Act.

Rausch sought summary judgment in the negligence lawsuit based upon the fact that Reinhold had collected $60,000 in worker’s compensation benefits from Murray. Rausch argued that Reinhold is precluded by the Worker’s Compensation Act from proceeding with his tort lawsuit against Rausch due to his collection of worker’s compensation benefits. The trial court denied Rausch’s motion; Rausch appeals.

Reinhold filed a motion to strike Rausch’s nonparty defense. Reinhold argued that the definition of a nonparty in the Comparative Fault Act does not include those who have been named as parties but subsequently dismissed. Since Reinhold had added both of Rausch’s named nonparties, Murray and Allied, as parties to his lawsuit, he argued that they were not nonparties. Reinhold also argued that Rausch had waived his right to assert a nonparty defense with respect to Murray and Allied because he failed to object to their dismissal. The trial court denied Reinhold’s motion and his subse *996 quent motion to reconsider. Reinhold appeals.

Reinhold also added IIC as a defendant. IIC filed a motion to dismiss, contending that Reinhold’s allegations of tortious behavior were only against Rausch and that Reinhold had no direct action against IIC based upon its status' as Rausch’s liability insurer. The trial court granted IIC’s motion to dismiss and later entered final judgment in favor of IIC. Reinhold appeals.

I.

The Worker’s Compensation Act

Rausch contends that the trial court erred by denying his motion for summary judgment. Specifically, Rausch argues that Reinhold’s acceptance of a worker’s compensation payment from his employer, Murray, barred Reinhold from pursuing his tort claim against Rausch. Summary judgment is appropriate only when there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law. Ind. Trial Rule 56(C). The burden is on the moving party to prove there are no genuine issues of material fact, and he is entitled to judgment as a matter of law. Once the movant has sustained this burden, the opponent must respond by setting forth specific facts showing a genuine issue for trial; he. may not simply rest on the allegations of his pleadings. Stephenson v. Ledbetter, 596 N.E.2d 1369, 1371 (Ind.1992). At the time of filing the motion or response, a party shall designate to the court all parts of pleadings; depositions, answers to interrogatories, admissions, matters of judicial notice, and any other matters on which it relies for purposes of the motion. T.R. 56(C).

When reviewing an entry of summary judgment, we stand in the shoes of the trial court. We do not weigh the evidence but will consider the facts in the light most favorable to the nonmoving party. Reed v. Luzny, 627 N.E.2d 1362, 1363 (Ind.Ct.App.1994), reh. denied, trans. denied. We may sustain a summary judgment upon any theory supported by the designated materials. T.R. 56(C).

Rausch’s argument that Reinhold may not proceed with his tort claim against Rausch is based almost exclusively on this court’s holding in Lackey v. Duhadway Co., 560 N.E.2d 671 (Ind.Ct.App.1990), trans. denied. In Lackey, the appellant was injured while employed by his father. Appellant’s father was a subcontractor for Wainwright Construction, which in turn, was a subcontractor for DuHadway Company. DuHadway failed to exact certificates of insurance from its subcontractors showing compliance with the Worker’s Compensation Act (‘WCA”) as required by Ind.Code § 22-3-2-14(b) (1988). IC 22-3-2-14(b) provides that a contractor who fails to exact a certifícate of insurance is hable for compensation to the same extent as the subcontractor for injuries to the subcontractor’s employees resulting from accidents arising out of and in the course of the performance of work covered by the subcontract. Lackey and DuHadway entered into an agreement whereby DuHadway agreed to pay worker’s compensation benefits. Lackey later sued both DuHadway and Wainwright in tort for his injuries.

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Cite This Page — Counsel Stack

Bluebook (online)
716 N.E.2d 993, 1999 Ind. App. LEXIS 1704, 1999 WL 773553, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rausch-v-reinhold-indctapp-1999.