Standard Roofing and Material Co. v. Chas. M. Dunning Construction Company

224 F.2d 449, 1955 U.S. App. LEXIS 4103
Court of Appeals for the Tenth Circuit·Decided June 27, 1955·No. 5094_1·Published·Cited by 7 cases

Opinion

BRATTON, Circuit Judge,

Standard Roofing and Material Co., hereinafter referred to as Roofing, instituted this action against Chas. M. Dunning Construction Company, hereinafter referred to as Dunning, seeking a declaratory judgment determining the rights of the parties in respect to a justiciable controversy existing between them. It was pleaded in the complaint that Dunning was the general contractor for the construction of a building in Oklahoma; and that Dunning and Roofing entered into a written subcontract in which the latter, as subcontractor, agreed to do the roofing, insulation, and sheet metal work in the construction of the building. It was further pleaded that the subcontract provided among other things that Roof *450 ing should procure and maintain in force and effect during the course of the performance of the contract Workmen’s Compensation insurance; that if Roofing should not have its own compensation insurance, it should notify Dunning and in such event Dunning should have the right to include the risk under its policy or policies of insurance and charge the cost thereof to Roofing or deduct the same from payments due such company; and that notwithstanding any insurance which might be provided or carried, Roofing should indemnify and hold harmless Dunning from any loss, injury, or damage to persons or property arising out of or resulting from the performance of the subcontract, or occasioned by the act or neglect of Roofing. It was further pleaded that Dunning negligently left a hole in the roof of the building; that an employee of Roofing fell through the hole and sustained personal injury; and that Roofing was required to and did make payments to the employee for compensation and medical expenses, and would be required to make further payments under an order of the State Industrial Commission of Oklahoma. And it was further pleaded that Dunning was liable in law to compensate Roofing for the payments previously made and those to be subsequently made to the injured workman but that it denied such liability; and that a controversy existed between the parties respecting which Roofing had no adequate remedy at law because the amount of its damages had not been fixed. The prayer was for judgment for the amount of the sums which Roofing had paid to the injured workman, and judgment requiring Dunning to reimburse Roofing for payments thereafter made by reason of the injury to the workman.

A motion was lodged to dismiss the action. One ground of the motion was that it appeared from the face of the complaint that the claim of Roofing was governed and controlled by the Workmen’s Compensation Law of Oklahoma and was within the exclusive jurisdiction of the Industrial Commission of that state. Another ground was that the complaint failed to state a claim upon which relief could be granted. The court entered judgment dismissing the action, and Roofing appealed.

One contention is advanced as the sole ground for reversal of the judgment. The contention is that under the law of Oklahoma, a subcontractor who is required to make payments under the Workmen’s Compensation Act of the state, 85 O.S.1951 § 1 et seq., by reason of injury to an employee is entitled to recover for his loss from the general contractor whose negligence was proximately responsible for the injury to the employee. Roofing does not assert any right of subrogation under the injured employee to whom payments had been and would be made. Its argument is that for every legal wrong there is a legal remedy; that the common law right of a master to recover damages for loss sustained through injury to a servant was not repealed by the Workmen’s Compensation Act, supra; and that therefore Roofing is entitled to recover indemnity from Dunning. Under the terms of the act, every employer engaged in a business coming within its purview is required to carry insurance for the payment of liabilities accruing thereunder, or, with the approval of the State Industrial Commission, must make provision to carry his own risk for such liabilities. Updike Advertising System v. State Industrial Commission, Okl., 282 P.2d 759.

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Standard Roofing and Material Co. v. Chas. M. Dunning Construction Company, 224 F.2d 449, 1955 U.S. App. LEXIS 4103 (10th Cir. 1955).

224 F.2d 449 (Standard Roofing and Material Co. v. Chas. M. Dunning Construction Company) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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