Shafarman v. Ryder Truck Rental, Inc.

100 F.R.D. 454, 38 Fed. R. Serv. 2d 1096, 1984 U.S. Dist. LEXIS 20786
CourtDistrict Court, S.D. New York
DecidedJanuary 4, 1984
DocketNo. 82 Civ. 3000 (SWK)
StatusPublished
Cited by22 cases

This text of 100 F.R.D. 454 (Shafarman v. Ryder Truck Rental, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shafarman v. Ryder Truck Rental, Inc., 100 F.R.D. 454, 38 Fed. R. Serv. 2d 1096, 1984 U.S. Dist. LEXIS 20786 (S.D.N.Y. 1984).

Opinion

MEMORANDUM OPINION AND ORDER

KRAM, District Judge.

The above-captioned action came before this Court upon the motions of third-party defendant Erie Transfer Co. (“Erie”) and defendant Ryder Truck Rental, Inc. (“Ryder”), for leave to implead Mirage Enterprises (“Mirage”). For the reasons stated below, the motions are granted; however, preparation for trial is to proceed on an expedited basis.

BACKGROUND

This is a diversity action arising out of an accident which occurred in Manhattan on April 26,1982, wherein plaintiff, a pedestrian, was allegedly struck by a truck owned by Ryder. Plaintiff, a New York citizen, filed this action against Ryder, a Florida citizen, on May 11, 1982.

Ryder served its answer to the complaint on June 29, 1982. On July 6, 1982, Ryder filed a third-party complaint against Erie and George R. Nadramia (“Nadramia”).1 [457]*457Ryder alleged therein that Erie had rented the truck from Ryder and that Nadramia was the driver of the truck with Erie’s consent. The third-party defendants served their answer to the complaint and to the third-party complaint on November 15, 1982.

After discovery had gone forward for a brief period, the third-party defendants sought the consent of the other parties to implead Mirage as a fourth-party defendant. Plaintiff refused to consent. On March 14, 1983, Erie served and filed its motion for leave to implead Mirage. At the outset, Ryder took the position that it had no opposition to Erie’s motion. This Court denied Erie’s motion.

Erie pressed this Court to reconsider its decision, and, on May 3, 1983, the Court agreed to reconsider Erie’s motion. Thereafter, Ryder also moved for leave to implead Mirage, serving and filing its motion on September 26, 1983.

DISCUSSION

Erie and Ryder seek leave to implead Mirage pursuant to Rule 14(a) of the Federal Rules of Civil Procedure. Rule 14(a) provides, in relevant part, as follows:

At any time after commencement of the action a defending party ... may cause a summons and complaint to be served upon a person not a party to the action who is or may be liable to him .... [If he files the complaint later than ten days after serving his original answer] he must obtain leave on motion upon notice to all parties to the action.

In addressing these motions, the Court is guided by Local Rule 3(k) of the Civil Rules for the United States District Courts for the Southern and Eastern Districts of New York. Rule 3(k) provides that

[a] motion for leave to bring in a third-party defendant under Rule 14 of the Federal Rules of Civil Procedure shall be made within six (6) months from the date of service of the moving party’s answer to the complaint or reply to the counterclaim, except that motions of this nature may be granted after the expiration of such period in exceptional cases upon showing of special circumstances and of the necessity for such relief in the interest of justice and upon such terms and conditions as the court deems fair and appropriate.

Erie originally brought this motion four months after it served its answers to the complaint and to the third-party complaint. Erie’s motion is therefore timely, and Erie need not show any extraordinary circumstances in order for this Court to exercise its discretion in addressing Erie’s motion. Furthermore, because Erie and Ryder seek to implead the same party, this Court finds that it is in the interest of justice and simplicity that both motions be treated alike. Thus, even though Ryder filed its motion for leave to implead Mirage later than six months after it served its answer, Ryder’s motion will be treated as though timely filed under Rule 3(k) and no extraordinary circumstances will be required.

Moreover, because both parties seek to claim over against Mirage, the Court finds that it is appropriate to deal with the application of Ryder, the defendant, before that of Erie, the third-party defendant. In doing so, the Court will avoid the added confusion of a fourth-party label as well as the procedural wrangling that would be necessary if Erie were to implead Mirage first. Cf., e.g., 6 C. Wright & A. Miller, Federal Practice and Procedure, § 1446 at 255-56 (1971) (discussion of claim over by defendant against plaintiff) (hereinafter “Wright & Miller”).

Rule 14 provides a procedural mechanism whereby a defendant can have derivative, contingent claims against others not originally parties to the action adjudicated. contemporaneously with the claims against it: it does not create new substantive rights against those other parties. E.g., Brown v. Cranston, 132 F.2d 631 (2d Cir.1942), cert. denied, 319 U.S. 741, 63 S.Ct. [458]*4581028, 87 L.Ed. 1698 (1943). Impleader is permitted under Rule 14 only when, in accordance with the applicable substantive law, the non-party “is or may be liable to” the impleading party. Thus, the Court must determine what the applicable substantive law is, and whether under that law Mirage may be liable to Ryder.

In a diversity action, such as this, the Court must follow the substantive laws of the state in which it sits. Erie R.R. Co. v. Tompkins, 304 U.S. 64, 58 S.Ct. 817, 82 L.Ed. 1188 (1938). This Court is bound, therefore, by the choice of law rules of New York. Klaxon Co. v. Stentor Elec. Mfg. Co., Inc., 313 U.S. 487, 61 S.Ct. 1020, 85 L.Ed. 1477 (1941). Under New York’s approach to choice of law problems in tort cases, the law generally applicable is that of the place of the accident, unless applying some other law will better further the purposes of the substantive laws involved “without impairing the smooth working of the multi-state system,” Neumeier v. Kuehner, 31 N.Y.2d 121 at 128, 335 N.Y.S.2d 64 at 70, 286 N.E.2d 454 at 460 (1972); see also Rogers v. U-Haul Co., 41 A.D.2d 834, 342 N.Y.S.2d 158 (2d Dep’t 1973). In this case, New York was the place of the accident and plaintiff is a citizen of New York. Furthermore, New York laws were designed to insure that “innocent victims ... may be recompensed for the injury and financial loss inflicted upon them.” N.Y. Vehicle and Traffic Law (“VTL”) § 310(2) (McKinney’s 1970). This Court, therefore, finds that there is no reason to displace the normal rule in this case: New York law is the applicable law.

Under New York law, “[e]very owner of a vehicle used or operated in this state shall be liable ... for ... injuries to person ... resulting from negligence in the use or operation of such vehicle, ... by any person using or operating the same with permission, express or implied, of such owner.” VTL § 388(1). “Owner,” as used in that section, is defined in VTL § 128. Section 128 provides that, in addition to the titleholder, the term “owner” “includes any lessee or bailee of a motor vehicle . ..

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Bluebook (online)
100 F.R.D. 454, 38 Fed. R. Serv. 2d 1096, 1984 U.S. Dist. LEXIS 20786, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shafarman-v-ryder-truck-rental-inc-nysd-1984.