Shackelford v. Leavengood

532 So. 2d 1194, 1988 La. App. LEXIS 2237, 1988 WL 113743
CourtLouisiana Court of Appeal
DecidedOctober 26, 1988
DocketNo. 20004-CA
StatusPublished

This text of 532 So. 2d 1194 (Shackelford v. Leavengood) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shackelford v. Leavengood, 532 So. 2d 1194, 1988 La. App. LEXIS 2237, 1988 WL 113743 (La. Ct. App. 1988).

Opinion

FRED W. JONES, Jr., Judge.

This case arose out of an automobile accident which occurred on November 19, 1984 at the intersection of Fannin and Edwards Street in Shreveport. Plaintiff Shackelford was driving a vehicle owned by the Post Office, and was acting within the course and scope of his duties as a mail carrier for the United States Postal Service at the time of the accident. The other driver involved in the accident was Sam Leavengood, whose vehicle was insured by the Travelers Insurance Company.

Plaintiff applied for and received workers compensation benefits and medical expenses pursuant to the provisions of the Federal Employees Compensation Act, 5 U.S.C. § 8101, et seq. (FECA). On January 23, 1985, approximately eleven months before filing this suit, he executed a written assignment to the Post Office of all of his right, title and interest in any claim he had arising out of the accident, pursuant to Section 8131 of FECA. The written form for the assignment was not signed to certify acceptance of the assignment by the Post Office.

On November 18,1985, plaintiff filed suit against Leavengood and Travelers, alleging the accident was caused by Leaven-good’s negligence and seeking damages for past and future lost wages, past and future medical expenses, and past and future pain, suffering, mental anguish and bodily injury. Defendants filed an exception of no right of action alleging that since plaintiff had assigned his claim to the Post Office, he was not the real party in interest, and thus only the Post Office had the right to sue defendants. Plaintiffs position at trial of the exception was that the assignment was ineffective because it was never accepted by the Post Office, and if accepted, there was nevertheless a reassignment of plaintiff’s rights from the Post Office to him.

[1196]*1196Sharon Cox, the Postal Service employee responsible for handling plaintiff’s claim, testified that the assignment form executed by plaintiff was not signed to indicate acceptance by the Post Office due to oversight on her part. She also stated that several months after executing the assignment, plaintiff contacted her about hiring an attorney and pursuing this claim on his own, since prescription was about to run and he was still seeing a chiropractor, missing work, and in general having problems due to his injuries. She said she verbally rescinded the assignment and gave him permission to proceed on his own, but told him to let them know what he decided to do. She also made it clear that the Post Office still expected reimbursement for sums it had paid him out of any recovery he received from a third party. She believed she had authority to give plaintiff this permission, although she was not aware of any prior cases like this. There was no written re-assignment. She also testified that she advised Travelers of the assignment of plaintiff’s claim by letter on September 16, 1985. Her office was still sending medical bills to Travelers as late as October 28, 1986.

Plaintiff did not testify. His signature on the assignment document was stipulated by all parties to be genuine. The assignment document was introduced into evidence. It states that “... [U]pon acceptance of this assignment, the United States Postal Service shall have full and complete authority to take whatever action on this claim it considers appropriate, and may institute legal action, settle or compromise the claim or any suit, or decline to institute suit, or to take any other action.” Defendants also introduced into evidence a letter written by Sharon Cox, on behalf of the Postal Service, to Travelers Insurance Company, in an effort to recover on this claim from Travelers based on the assignment.

Six days after the trial on the exception, but prior to rendition of the judgment, plaintiff’s counsel moved to have the hearing reopened for the taking of additional evidence, claiming newly discovered evidence. The motion was denied without written reasons, and the trial court rendered judgment sustaining the exception and dismissing plaintiff's suit with prejudice.

In a written opinion the trial judge dismissed plaintiff’s argument pertaining to acceptance of the assignment by noting that FECA contains no requirement that an acceptance of an assignment by a federal employee be in writing and concluded that the failure of an agent to sign the acceptance thus did not defeat the validity of the assignment. He further found a tacit acceptance of the assignment to be evidenced by the steps taken by the Postal Service to recover from third parties, including Travelers, based on the assignment in question. He declined to determine whether a reassignment of this nature is possible under FECA, since he found Ms. Cox lacked the necessary authority to make the reassignment. Citing Section 8145(2) of FECA, the judge concluded that if such authority exists, it lies with the Secretary of Labor or those within the Department of Labor to whom such power has been delegated.

Plaintiff appealed the judgment, contending that the trial judge erred in sustaining the exception of no right of action and refusing to reopen the hearing for the taking of additional evidence.

On appeal, plaintiff argues that no effective assignment occurred, based on the contention that the assignment documents executed by him failed to meet the requirements of La.C.C. Art. 2439, governing written contracts of sale in Louisiana. It is also urged that the Postal Service assignment of claims form specifically requires a signature evidencing acceptance and thus the trial judge was wrong to conclude the federal regulations do not require written acceptance of the assignment. Finally, relying on Frank v. Motwani, 513 So.2d 1170 (La.1987), plaintiff argues that a written agreement is not necessary to cancel a contract, even one which must be in writing to be valid, and the trial judge too narrowly construed the federal regulations concerning duties and responsibilities of the Department of Labor.

[1197]*1197Regarding the newly discovered evidence, plaintiff offers no specific authority for the motion to reopen the hearing, but cites La.C.C.P. Art. 1971 governing the granting of new trials, even though the request was made before judgment was rendered. It is contended that by his questioning of the witness, the trial judge raised several issues that neither party had raised previously, including whether the federal statutes involved authorize a U.S. Postal Service employee to verbally rescind an assignment such as this. Plaintiff argues he was unable to locate jurisprudence answering this question, but should have been allowed to offer the testimony of Max Freeman, an attorney whose practice is specifically limited to claims of the U.S. Postal Service, and who he claims could provide the necessary information.

Defendant relies on federal jurisprudence and La.C.C.P. Art 698, providing that when an incorporeal right has been entirely assigned, it shall be enforced judicially by the assignee. Furthermore, it is contended that Louisiana law of Sales is inapplicable to FECA claims. Regarding plaintiffs motion for a reopening of the hearing, defendant argues that no “peremptory” grounds under La.C.C.P. Art. 1971, or “good grounds”, under Art. 1973, for a new trial, are present in this case because the evidence was available to plaintiff before trial began, the need for it should have been anticipated, and in any event, post trial briefs contained ample authority to aid the judge in his decision.

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

Related

Frank v. Motwani
513 So. 2d 1170 (Supreme Court of Louisiana, 1987)
LaFleur v. National Health & Life Insurance Co.
185 So. 2d 838 (Louisiana Court of Appeal, 1966)

Cite This Page — Counsel Stack

Bluebook (online)
532 So. 2d 1194, 1988 La. App. LEXIS 2237, 1988 WL 113743, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shackelford-v-leavengood-lactapp-1988.