Schatz v. York Steak House Systems, Inc.

444 A.2d 1045, 51 Md. App. 494, 1982 Md. App. LEXIS 288
CourtCourt of Special Appeals of Maryland
DecidedMay 5, 1982
Docket840, September Term, 1981
StatusPublished
Cited by16 cases

This text of 444 A.2d 1045 (Schatz v. York Steak House Systems, Inc.) is published on Counsel Stack Legal Research, covering Court of Special Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Schatz v. York Steak House Systems, Inc., 444 A.2d 1045, 51 Md. App. 494, 1982 Md. App. LEXIS 288 (Md. Ct. App. 1982).

Opinion

Thompson, J.,

delivered the opinion of the Court.

Appellant Kimberly Schatz, the seventeen-year-old daughter of Richard and Dawn Schatz, also appellants, was employed as a waitress by the York Steak House Systems, Inc., the appellee, at its Westview Mall restaurant in Baltimore County, Maryland. On the evening of July 10, 1980, she was at her employer’s restaurant performing her regular duties during her scheduled work hours, i.e., assisting with the preparations for the nightly closing. While performing these duties she was raped by James Leslie, the assistant manager at York’s Westview Restaurant. As an assistant manager, he was responsible for preparing the restaurant for lunch, removing frozen food from the freezers, checking the table setups, readying cooking utensils and equipment, and opening and closing the restaurant. There was evidence that Leslie had the authority to fire waitresses; however, his responsibilities did not include the authority to enter into contracts or agreements. He was not a director, officer or shareholder of York. He was one of 119 assistant managers employed by York nationwide. His services were terminated as a result of the rape.

Miss Schatz brought suit to recover for her physical and psychological injuries. Her parents joined in the suit to recover medical bills and loss of filial companionship of their *496 daughter. Judge John E. Raine, Jr., of the Circuit Court for Baltimore County granted York’s motion for summary judgment on the basis that recovery by the employee or her parents was limited to that provided in the Workmen’s Compensation Law with which York had fully complied.

I

Miss Schatz contends that she is entitled to elect to receive the benefits of the Maryland Workmen’s Compensation Act or to proceed with this suit at common law under Md. Code Art. 101, § 44 which provides as follows:

"If injury or death results to a workman from the deliberate intention of his employer to produce such injury or death, the employee, the widow, widower, child, children or dependents of the employee shall have the privilege either to take under this article or have cause of action against such employer, as if this article had not been passed.”

She maintains the trial judge erred in entering summary judgment because there was a dispute as to whether Leslie was a vice-principal. She relies on several Maryland cases which define a vice-principal as a fellow servant who exercises some recognized common law non-delegable duty of the master. Wood v. Abell, 268 Md. 214, 300 A.2d 665 (1973); Jarka Company v. Gancl, 149 Md. 425, 131 A. 754 (1926); Ches. Stevedoring Co. v. Hufnagel, 120 Md. 53, 87 A. 4 (1913); Frizzell v. Sullivan, 117 Md. 388, 83 A. 651 (1912).

Whether assistant manager Leslie was or was not a vice-principal is irrelevant in view of the intentional nature of his acts. The cases cited by the appellant hold that an employer can be liable for the negligent acts of a vice-principal, a theory premised on an application of the principles of vicarious liability to workplace accidents. No Maryland court has held that the intentional acts of a vice-principal can be attributed to the employer. The majority of jurisdictions that have considered the question have held that absent express authorization by the employer, the agent *497 must be the "alter ego” of the employer in order for his intentional misconduct to be attributed to the employer. See, Jablonski v. Multack and Max Lee Corp., 63 Ill.App.3d 908, 380 N.E.2d 924 (1978); McGrew v. Consolidated Freightways, Inc., 141 Mont. 324, 377 P.2d 350 (1963); Bryan v. Utah International, Utah, 533 P.2d 892 (1975). The rationale of these decisions has been succinctly expressed by Professor Larson, in The Law of Workmen’s Compensation, § 68.21 (pp. 13:10-11 1976) in which he said:

"When the person who intentionally injures the employee is not the employer in person nor a person who is realistically the alter ego of the corporation, but merely a foreman, supervisor or manager, both the legal and the moral reasons for permitting a common-law suit against the employer collapse, and a substantial majority of modern cases bar a damage suit against the employer.
The legal reason for permitting the common-law suit for direct assault by the employer, as we have seen, is that the same person cannot commit an intentional assault and then allege it was accidental. This does not apply when the assailant and the defendant are two entirely different people. Unless the employer has commanded or expressly authorized the assault, it cannot be said to be intentional from his standpoint any more than from the standpoint of any third person. Realistically, it to him is just one more industrial mishap in the factory, of the sort he has a right to consider exclusively covered by the compensation system.” (footnote omitted)

We find this reasoning more compelling than the assertions of the appellants that the intentional act of a vice-principal should be imputed to the employer even though it was committed contrary to the wishes of the employer.

In view of the intentional misconduct by the assistant manager, the trial court properly focused upon whether he could be characterized as an alter-ego of his employer and *498 not upon whether he fit within the common law concept of a vice-principal. On these questions there is no dispute as to the facts, thus, there was no error in the granting of summary judgment.

II

Miss Schatz also contends that the injuries resulting from rape are not covered by Workmen’s Compensation because they did not arise out of her employment. The precise argument is that the words "third person” contained in Md. Code Art. 101, § 67 (6) does not include a fellow employee. That section provides as follows:

"... only accidental injuries arising out of and in the course of employment and such disease or infection as may naturally result therefrom, including frostbite and sunstroke resulting from weather condition, occupational disease and includes an injury caused by the wilful or negligent act of a third person directed against an employee in the course of his employment.”

She contends that inasmuch as three Maryland cases discuss the existence of coverage for employees injured by third persons who were not employees, the Act excludes co-employees as third persons. See, Edgewood Nursing Home v. Maxwell, 282 Md. 422, 384 A.2d 748 (1978); Giant Food v. Gooch, 245 Md. 160, 225 A.2d 431 (1967); Smith v. General Mot. Assemb. Div.,

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Bundy v. Nustar GP, LLC
373 P.3d 1141 (Court of Appeals of Oregon, 2016)
Board of Education v. Spradlin
867 A.2d 370 (Court of Special Appeals of Maryland, 2005)
Gantt v. Security, Usa, Incorporated
356 F.3d 547 (Fourth Circuit, 2004)
Gantt v. Security, USA, Inc.
356 F.3d 547 (Fourth Circuit, 2004)
Rachel-Smith v. FTData, Inc.
247 F. Supp. 2d 734 (D. Maryland, 2003)
Federated Department Stores Inc. v. Le
595 A.2d 1067 (Court of Appeals of Maryland, 1991)
Le v. Federated Department Stores, Inc.
560 A.2d 42 (Court of Special Appeals of Maryland, 1989)
Robinson v. Vitro Corp.
620 F. Supp. 1066 (D. Maryland, 1985)
Perille v. Raybestos-Manhattan-Europe, Inc.
494 A.2d 555 (Supreme Court of Connecticut, 1985)
Ohio Casualty Insurance v. Lee
488 A.2d 988 (Court of Special Appeals of Maryland, 1985)
Beye v. Bureau of National Affairs
477 A.2d 1197 (Court of Special Appeals of Maryland, 1984)
Athas v. Hill
458 A.2d 859 (Court of Special Appeals of Maryland, 1983)
Continental Casualty Co. v. Mirabile
449 A.2d 1176 (Court of Special Appeals of Maryland, 1982)

Cite This Page — Counsel Stack

Bluebook (online)
444 A.2d 1045, 51 Md. App. 494, 1982 Md. App. LEXIS 288, Counsel Stack Legal Research, https://law.counselstack.com/opinion/schatz-v-york-steak-house-systems-inc-mdctspecapp-1982.