Soverign Ins. Co. v. Texas Pipeline Co.

470 So. 2d 969, 1985 La. App. LEXIS 8900
CourtLouisiana Court of Appeal
DecidedMay 29, 1985
DocketCA 84 0321
StatusPublished
Cited by10 cases

This text of 470 So. 2d 969 (Soverign Ins. Co. v. Texas Pipeline Co.) 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
Soverign Ins. Co. v. Texas Pipeline Co., 470 So. 2d 969, 1985 La. App. LEXIS 8900 (La. Ct. App. 1985).

Opinion

470 So.2d 969 (1985)

SOVERIGN INSURANCE COMPANY, et al.
v.
TEXAS PIPELINE COMPANY, et al.

No. CA 84 0321.

Court of Appeal of Louisiana, First Circuit.

May 29, 1985.
Rehearing Denied June 27, 1985.

*970 James M. Funderburk, Houma, for plaintiff and appellee Soverign Ins. Co.

Larry Port and Margaret David, New Orleans, for defendant and appellant Texas Pipe Line Co.

Gerald M. Dillon, New Orleans, for third party defendant Atlas Const. Co.

Before GROVER L. COVINGTON, C.J., and LOTTINGER, EDWARDS, COLE, WATKINS, SHORTESS, CARTER, SAVOIE, LANIER, CRAIN, ALFORD and JOHN S. COVINGTON, JJ.

LANIER, Judge.

This is a suit for damages in tort alleging a roadbed on private property collapsed causing a cement truck to roll over and be totally destroyed. The property damage insurer of the truck paid the amount due under its policy to the truck's owner. This suit was then brought by the truck's owner and insurer against the lessee-custodian of the land on which the roadbed was located claiming strict liability based on La.C.C. art. 2317. The lessee-custodian filed a third party demand against an independent *971 contractor doing construction work on the leased premises alleging the truck was on the premises in connection with the contractor's work and the contractor had an agreement with the lessee-custodian to indemnify it from such loss. The original plaintiffs filed supplemental and amending petitions and made the contractor and the owner-lessor of the property parties defendant. The trial court held as a fact the roadbed was defective, found the lessee-custodian liable under La.C.C. art. 2317 and rendered judgment in favor of the truck's insurer for $45,500 and in favor of the truck's owner for the $1,000 deductible. The trial court dismissed the lessee-custodian's third party demand against the contractor because the "language of the indemnity clause is not broad enough" to make the contractor liable. The main demands against the owner of the property and the contractor were also dismissed. This suspensive appeal followed.

FACTS

Commencing October 1, 1980, Texaco, Inc. (Texaco) leased a tract of land in Terrebonne Parish, Louisiana, to the Texas Pipeline Company (Texas) for a tank farm and pump station. On January 27, 1981, Texas entered into a contract with Atlas Construction Company, Inc. (Atlas) for the construction of three crude oil storage tank foundations. The contract contained the following indemnification provision:

Contractor shall fully defend, protect, indemnify and hold harmless the Company, its employees and agents from and against each and every claim, demand or cause of action and any liability, cost, expense (including but not limited to reasonable attorney's fees and expenses incurred in defense of the Company), damage or loss in connection therewith, which may be made or asserted by Contractor, Contractor's employees or agents, subcontractors, or any third parties, (including but not limited to Company's agents, servants or employees) on account of personal injury or death or property damage caused by, arising out of, or in any way incidental to, or in connection with the performance of the work hereunder, whether or not Company may have jointly caused or contributed to, by its own negligence, any such claim, demand, cause of action, liability, cost, expense, damage or loss, except such as may result solely from the Company's negligence.

On September 30, 1981, a cement truck, owned by Porche Brothers Lumber and Supply, Inc. (Porche), insured by Soverign Insurance Company (Soverign) and being driven by Fred Towery, was delivering cement to the construction site on the leased premises. Soverign and Porche contend the roadbed on the leased premises collapsed because it was defective causing the truck to roll over into a ditch. Texaco and Texas contend Towery backed the cement truck off of the roadway causing the accident.

The parties stipulated the truck was a total loss. It was insured for $49,500 with a $1,000 deductible. The salvage value was $3,000. Soverign paid Porche $45,500 and obtained a conventional subrogation.

CAUSE IN FACT

Texas contends the judgment finding it at fault is clearly contrary to the law and evidence presented at trial. In particular, Texas contends the testimony of Ronald Scott should not have been accepted by the trial court and, thus, the only credible evidence of record shows the truck was driven off the roadway causing the accident.

Ronald Scott (the only eyewitness to the accident) testified he was a cement truck driver for Porche and on the day in question drove his truck to the Atlas construction site. After he poured his load, he backed up, got out of his truck and let air out of his air tank. Towery was backing his truck up in the same area. Scott was watching Towery back up. The wheels of Towery's truck were on the roadway about two feet from its edge. The roadway caved in and the truck rolled over into the ditch. Towery jumped out of the window *972 of the truck. Scott was two or three steps from the incident.

Photographs of the scene of the accident show a portion of the roadway caved in.

The district court judge made the following factual findings:

After reviewing the testimony and evidence submitted the Court finds the following. Eyewitness testimony indicates that the truck was, in fact, on the roadway when the accident occurred. The contention of the Defendant that the truck was partially on the shoulder is not substantiated by the testimony or the evidence. Photographic evidence and the testimony lead the Court to conclude that the truck, in fact, never left the roadway and that a portion of the roadway did, in fact, cave in and that this case in did, [sic] in fact, cause the accident and resulting damage.

Causation is a factual question and a trial court's determination of cause is entitled to great weight. McSweeney v. Department of Transportation and Development of Louisiana, 442 So.2d 659 (La.App. 1st Cir.1983); Rivet v. State, Department of Transportation & Development, 434 So.2d 436 (La.App. 3rd Cir.1983). We have carefully reviewed the record and conclude the factual ruling on causation is not clearly wrong. Arceneaux v. Domingue, 365 So.2d 1330 (La.1978).

This assignment of error is without merit.

ADMISSIBILITY OF ACCIDENT SCENE STATEMENT BY TOWERY

Texas contends the district court judge committed error by refusing to admit into evidence statements made at the accident scene by Towery to Mack Brannon, an employee of Texas.

Brannon testified he arrived at the accident scene shortly after the accident occurred and spoke to Towery. When Brannon commenced to recite what Towery told him, counsel for Porche and Soverign objected on hearsay grounds, and the court sustained the objection. The testimony was then proffered. Brannon stated Towery told him "[w]ell I guess I backed too far." Towery was also very concerned about losing his job because of the accident. Texas contends these statements are admissible under two different exceptions to the hearsay rule: (1) admission and (2) excited utterance. The evidence shows Towery was in the scope and course of his employment with Porche when the accident occurred. Porche is therefore bound by his statements. Pennington v. F.G. Sullivan, Jr., Contractors, Inc., 416 So.2d 192 (La. App. 1st Cir.1982), writ denied, 421 So.2d 248 (La.1982). The statements attributed to Towery by Brannon qualify as admissions. La.R.S. 15:449-450; D. Binder, The Hearsay Handbook,

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Bluebook (online)
470 So. 2d 969, 1985 La. App. LEXIS 8900, Counsel Stack Legal Research, https://law.counselstack.com/opinion/soverign-ins-co-v-texas-pipeline-co-lactapp-1985.