Stepan v. Louisiana State Board of Education

78 So. 2d 18, 1955 La. App. LEXIS 627
CourtLouisiana Court of Appeal
DecidedJanuary 31, 1955
DocketNo. 8189
StatusPublished
Cited by7 cases

This text of 78 So. 2d 18 (Stepan v. Louisiana State Board of Education) 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
Stepan v. Louisiana State Board of Education, 78 So. 2d 18, 1955 La. App. LEXIS 627 (La. Ct. App. 1955).

Opinion

AYRES, Judge.

Bohman Stanley Stepan instituted this action against the Louisiana State Board of Education, Louisiana State School for Spastic Children and the Maryland Casualty Company for workmen’s compensation benefits at the maximum statutory rate and as for permanent and total disability, and for medical expenses incurred, for injuries alleged to have been sustained in an accident July 8, 1953, while he was employed at the Louisiana State School for Spastic Children by the Louisiana State Board of- Education. It was alleged that the Maryland Casualty Company was the workmen’s compensation insurer of the State Board of Education.

In sustaining an exception of no cause or right of action filed by the Maryland Casualty Company, the district court dismissed plaintiff’s demands as against that defendant.

After filing and urging to no avail exceptions to the jurisdiction of the court ratione personae and ratione materiae, of misjoinder of parties defendant and to the right of plaintiff to sue the Board of Education without the authorization of a special act of the Legislature, as well as no cause or right of action, the Louisiana State Board of Education filed an answer, denying plaintiff’s right to recover compensation benefits upon the premise that he was not performing services in the course of his employer’s trade, business or occupation, and generally putting at issue all the material allegations of plaintiff’s petition. In the alternative, it was alleged that, ’if any liability existed on its part, such liability would extend to its insurer; Maryland Casualty Company of Baltimore, Maryland, on account of the issuance of a workmen’s compensation insurance policy by said Casualty Company. The Louisiana State'Board of Education contended that, although the policy listed certain institutions under its administration and control as covered by the policy and omitted therefrom, among others, the Louisiana State School for Spastic Children, nevertheless, under LSA-R.S. 23:1162, the liability to plaintiff, if any, would be covered by said insurance policy. Accordingly, the Maryland Casualty Company was called in warranty and, again, on an exception of no cause or right of action filed by it, the call in warranty was dismissed.

On trial of the merits, there was judgment in favor of plaintiff against the Louisiana State Board of Education for compensation at the rate of $30 per week for the period of plaintiff’s disability, not, however, exceeding 400 weeks, beginning July 8, 1953, less a credit of compensation for three weeks, during which time plaintiff was employed by defendant since said accident, and for medical expenses in the sum of $1,000, less $66.50 paid thereon, and rejecting plaintiff’s demands as against the Louisiana State School for Spastic Children for the reason that said school is non sui juris. From the judgment thus rendered in plaintiff’s favor, the Louisiana State Board of Education appealed sus-pensively, and from the judgment sustaining the exception of no cause or right of action filed by the Maryland Casualty Company and from the judgment dismissing its call in warranty, a devolutive appeal was perfected.

Plaintiff likewise appealed devolutively from that portion of the judgment sustaining the exception of no cause or right of action filed by the Maryland Casualty Company and from that portion dismissing its demands as to the Louisiana State School for Spastic Children.

One of the first issues presented for determination concerns the coverage of the insurance policy issued by Maryland Casualty Company, insuring the State of Louisiana and the State Board of Education against liability for workmen’s compensation, particularly as to whether such policy affords partial Or full and entire coverage of the employer’s liability as required by LSA-R.S. -23:1162.'- The position of the insurer is that it issued its policy of work[20]*20men’s compensation insurance, effective as of March 1, 1953, insuring the State and certain departments of the State, as listed in an index or schedule attached thereto, from which, however, the Louisiana State Board of Education and the Louisiana State School for Spastic Children were omitted; that the policy was specifically limited by its terms to the departments and state agencies enumerated therein; and that, accordingly, employees of the Louisiana State School for Spastic Children were not covered. Both plaintiff and the State Board of Education contend that the Maryland Casualty Company has, by statutory compulsion, insured the employees of the Spastic School.

The Louisiana State Board of Education was, by LSA-R.S. 17:1 et seq., established and created as a body corporate and charged with the general administration and supervision of the public schools of the State of Louisiana. By Section 10 thereof, it is specifically provided that the State Board of Education shall administer the affairs of the 40 different educational institutions of the State. Only one of the eight colleges and ten of the trade schools are listed in the schedules incorporated in the policy of insurance. The Louisiana State School for Spastic Children is not included in these schedules; neither is the Louisiana State University. The one State college listed is Southern University. Certain sections and divisions of the Department of Education, such as Surplus Property and Food Distribution Section, are included. Among other departments scheduled are the Departments of Highways, Health, Labor, Public Works, Public Welfare, Veterans’ Affairs, Revenue, Wild Life and Fisheries, Public Safety, and various and sundry boards and commissions, together with 13 state hospitals, and the Louisiana State Penitentiary.

It is apparent on the face of the policy and the schedules attached that the insurance contract did not purport to cover all of the departments, agencies, institutions and activities of the State Board of Education or of the State of Louisiana.

A determination of the question whether the policy of workmen’s compensation insurance could be issued, as was done in this case, with specific limitation of liability as to certain specific agencies of the State of Louisiana and of the State Board of Education, involves an analysis of LSA-R.S. 23:1162. An examination of this section of the statutes discloses two provisions that are directly related to the problem at issue, viz.:

“No policy of insurance against liability under this Chapter shall be made unless the policy covers the entire liability of the employer; provided, that as to the question of the liability as between the employer and the insurer the terms of the insurance contract shall govern.
“When an employer is engaged in more than one business for the purpose of insurance against his liability under this Chapter, each separate and distinct business may be covered by separate policies.” (Emphasis supplied.)

The provision just quoted authorizes separate policies of insurance on each separate and distinct business of the employer. LSA-R.S. 23:1034 places public employees, except officials, under the Workmen’s Compensation Act, which was amended by Section 23 of Act 85 of 1926 so as to add the above provision authorizing coverage of separate and distinct businesses by separate policies of insurance. By the language of this policy, it covered only the specific departments and agencies which were listed on the schedules attached thereto.

Within the terms of the Workmen’s Compensation Act, the State of Louisiana and the Louisiana State Board of Education are employers.

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Related

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184 So. 2d 572 (Louisiana Court of Appeal, 1966)
Babineaux v. Southeastern Drilling Corporation
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Evans v. Louisiana State Board of Education
85 So. 2d 669 (Louisiana Court of Appeal, 1956)
Dowden v. STATE, DEPT. OF HWYS.
81 So. 2d 48 (Louisiana Court of Appeal, 1955)
Dowden v. State ex rel. Department of Highways
81 So. 2d 48 (Louisiana Court of Appeal, 1955)

Cite This Page — Counsel Stack

Bluebook (online)
78 So. 2d 18, 1955 La. App. LEXIS 627, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stepan-v-louisiana-state-board-of-education-lactapp-1955.