Schreefel v. Okuly

143 Cal. App. 3d 818, 192 Cal. Rptr. 402, 1983 Cal. App. LEXIS 1816
CourtCalifornia Court of Appeal
DecidedMay 26, 1983
DocketCiv. 22789
StatusPublished
Cited by8 cases

This text of 143 Cal. App. 3d 818 (Schreefel v. Okuly) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Schreefel v. Okuly, 143 Cal. App. 3d 818, 192 Cal. Rptr. 402, 1983 Cal. App. LEXIS 1816 (Cal. Ct. App. 1983).

Opinions

Opinion

COLOGNE, J.

Phillip Carel Schreefel appeals the judgment rendered in his favor, contending the jury was not allowed to consider punitive damages for alleged wilful misconduct, and Joseph William Okuly and the Atchison, Topeka and Santa Fe Railway Company (jointly, Railroad) cross-appeal, contending admiralty law should not have been applied to allow the claim of Schreefel’s employer, National Steel and Shipbuilding Company (NASSCO), for contribution toward benefits paid to the employee.

[821]*821Schreefel, a maritime employee of NASSCO, was injured when his car was struck by a train operated by the Santa Fe engine foreman, Okuly, and his fireman, Terrence Durkin. The accident occurred during NASSCO’s normal shift change, on a railroad crossing which traversed a driveway customarily used by NASSCO employees to leave the employer’s parking lot at Harbor Drive. At the time of the accident the traffic flow at the railroad crossing was congested with bumper-to-bumper traffic. The crossing was uncontrolled and allowed vehicles to become trapped when forward vehicles were stopped by the traffic signal at the exit onto Harbor Drive and following vehicles had moved up to prevent a retreat. Schreefel’s car was in the center of three lanes of traffic stopped on the tracks at the intersection. When the forward traffic moved, his car stalled and remained on the track in the path of the oncoming train. When the operators of the oncoming train had observed the congestion at the intersection and the obstruction, they braked slowing the train to approximately 10 miles per hour.1 Approximately 500 feet from the crossing, when traffic started moving again, the operators of the engine released the brakes and began accelerating. Both men in the engine recognized the Schreefel vehicle was not moving and that a collision was imminent. At that point, they were traveling about 13 or 14 miles per hour. “Emergency” braking was immediately applied. At this moment, the engine was about 75 feet from the point of impact. The engine could not stop in time to avoid the collision. Schreefel’s passenger escaped without injury, but Schreefel remained in the car which was struck by the train and pushed some 90 feet down the track.

NASSCO paid Schreefel benefits under the federal Longshoremen’s and Harbor Workers’ Compensation Act (33 U.S.C. § 901 et seq.; LFTWCA) and Schreefel sued the Railroad in state court. NASSCO intervened in the state court proceedings to recover its paid compensation benefits from the Railroad. The Railroad promptly raised NASSCO’s own contributory negligence as a defense. The jury returned special verdicts, finding Schreefel’s total damages were $45,000. His comparative negligence was 55 percent, NASSCO’s comparative negligence was 15 percent. The trial court calculated Schreefel’s share of the recovery by first deducting Schreefel’s 55 percent comparative negligence, then allowing NASSCO to recover its entire compensation lien without reduction for its own negligence, according to federal admiralty standards.2 By contrast, the Railroad wants an apportionment as follows:

[822]*822 Schreefel’s Recovery
Total damages $45,000
Less: Schreefel’s 55 percent negligence —24.750
Subtotal $20,250
Less: Proportionate amount attributable to NASSCO’s negligence up to the amount of benefits paid (30 percent of 45,000 is 13,500, which is less
than benefits paid) —13.500
Judgment for Schreefel $ 6,750
NASSCO’s Recovery
Amount of benefits paid $ 15,341
Less: NASSCO’s 30 percent negligence —13.500
Judgment for NASSCO $ 1,841

Under federal law, the employer is entitled to recover from the third party successfully sued by the employee the full measure of the compensation paid the employee under LHWCA, without reduction for attorney’s fees (Bloomer v. Liberty Mutual Ins. Co. (1980) 445 U.S. 74, 79-88 [63 L.Ed.2d 215, 221-227, 100 S.Ct. 925, 928-933]), without contribution (Halcyon Lines v. Haenn Ship Corp. (1952) 342 U.S. 282 [96 L.Ed. 318, 72 S.Ct. 277]), without indemnity (unless there is a contractual indemnity agreement, express or implied) (Davis v. Chas. Kurz & Co., Inc. (9th Cir. 1973) 483 F.2d 184, 188; and see IT Corp. v. Superior Court (1978) 83 Cal.App.3d 443, 451 [147 Cal.Rptr. 828]) and without adjustment due to the comparative fault of the employer vis-á-vis the third party (Edmonds v. Compagnie Generale Transatl., supra, 443 U.S. 256, 271-273). These cases were decided under maritime law as well as LHWCA. In Edmonds, supra, the high court observed it was dealing with an interface of statutory and judge-made law (443 U.S. at p. 272 [61 L.Ed.2d at p. 534, 99 S.Ct. at p. 2762]) and did not want to disturb this delicate balance struck on the basis of Congress’ understanding of the law (443 U.S. at p. 273 [61 L.Ed.2d at p. 535, 99 S.Ct. at p. 2763]). Part of this understanding of the law is stated by the court as follows (443 U.S. atpp. 268-271 [61 L.Ed.2d atpp. 532-534, 99 S.Ct. atpp. 2760-2762]): “[T]he proportionate-fault rule . . . itself produces consequences that we [823]*823doubt Congress intended. It may remove some inequities, but it creates others and appears to shift some burdens to the longshoreman.

“As we have said, § 905 permits the injured longshoreman to sue the vessel and exempts the employer from any liability to the vessel for any damages that may be recovered. Congress clearly contemplated that the employee be free to sue the third-party vessel, to prove negligence and causation on the vessel’s part, and to have the total damages set by the court or jury without regard to the benefits he has received or to which he may be entitled under the Act [LHWCA]. Furthermore, under the traditional rule, the employee may recover from the ship the entire amount of the damages so determined. If he recovers less than the statutory benefits, his employer is still liable for the statutory amount.

“Under this arrangement, it is true that the ship will be liable for all of the damages found by the judge or jury; yet its negligence may have been only a minor cause of the injury. The stevedore-employer may have been predominantly responsible; yet its liability is limited by the Act, and if it has lien rights on the longshoreman’s recovery it may be out-of-pocket even less.

“Under the Court of Appeals’ proportionate-fault rule, however, there will be many circumstances where the longshoreman will not be able to recover in any way the full amount of the damages determined in his suit against the vessel.

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Schreefel v. Okuly
143 Cal. App. 3d 818 (California Court of Appeal, 1983)

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Bluebook (online)
143 Cal. App. 3d 818, 192 Cal. Rptr. 402, 1983 Cal. App. LEXIS 1816, Counsel Stack Legal Research, https://law.counselstack.com/opinion/schreefel-v-okuly-calctapp-1983.