Stoltze v. Arkansas Valley Electric Cooperative Corp.

127 S.W.3d 466, 354 Ark. 601, 2003 Ark. LEXIS 571
CourtSupreme Court of Arkansas
DecidedOctober 30, 2003
Docket03-47
StatusPublished
Cited by19 cases

This text of 127 S.W.3d 466 (Stoltze v. Arkansas Valley Electric Cooperative Corp.) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stoltze v. Arkansas Valley Electric Cooperative Corp., 127 S.W.3d 466, 354 Ark. 601, 2003 Ark. LEXIS 571 (Ark. 2003).

Opinion

Jim Hannah, Justice.

Appellant Brian Stoltze appeals an order of the Sebastian County Circuit Court, Greenwood Division, granting summary judgment to appellee Arkansas Valley Electric Cooperative Corporation (“AVECC”). While employed by Arkansas Electric Cooperative, Inc. (“AECI”), an independent contractor of AVECC, Stoltze suffered a severe burn injury due to an electric shock. Stoltze filed suit against AVECC. He acknowledged the general rule that an employer owes no duty to employees of its independent contractors; however, he argued that several exceptions applied to his case which would make AVECC liable. AVECC moved for summary judgment, arguing that it owed no duty to Stoltze. The trial court granted AVECC’s motion for summary judgment and dismissed Stoltze’s case with prejudicé.

Stoltze raises four issues on appeal. He argues that the following exceptions create a duty of care on the part of AVECC toward Stoltze, in that: (1) there was sufficient evidence to demonstrate that AVECC was negligent in hiring AECI, thus the negligent hiring exception should be applied; (2) there was sufficient evidence to demonstrate that AVECC negligently performed certain duties, thus the negligent performance exception should be applied; (3) AVECC was charged by law or contract with performing specific duties, thus the specific duty exception should be applied; and (4) the inherently-dangerous exception to the general rule should be extended to protect employees of the independent contractor.

We affirm the trial court on all points. This case was certified to this court by the court of appeals. Our jurisdiction is pursuant to Ark. Sup. Ct. R. 1-2(b)(5).

Facts

On November 17, 1997, Stoltze was injured while working as a lineman for AECI. His employment resulted from a contract between AECI and AVECC, by which Stoltze would perform upgrades on electrical lines. Stoltze sued AVECC to recover damages for injuries he sustained as a result of an electrical shock. This shock resulted from Stoltze’s touching a “hot wire” while attempting to replace an electrical wire.

Stoltze testified that he was wearing rubber gloves at the time of the accident. He stated that he was not wearing rubber sleeves, and he stated that, to his knowledge, at the time of his injury, rubber sleeves were not available to any AECI employees. Stoltze also testified that he was not warned by any of his crew members that it was dangerous for him to stand on a wire while placing a rubber blanket over another wire.

Summary Judgment

Summary judgment is to be granted by a trial court only when it is clear that there are no genuine issues of material fact to be litigated, and the party is entitled to judgment as a matter of law. Jackson v. City of Blytheville Civil Serv. Comm’n, 345 Ark. 56, 43 S.W.3d 748 (2001). The evidence is viewed most favorably for the person resisting the motion, and any doubts or inferences are resolved against the moving party. Id. However, when there is no material dispute as to the facts, the court will determine whether “reasonable minds” could draw “reasonable” inconsistent hypotheses to render summary judgment inappropriate. Flentje v. First Nat’l Bank of Wynne, 340 Ark. 563, 11 S.W.3d 531 (2000). In other words, when the facts are not at issue but possible inferences therefrom are, the court will consider whether those inferences can be reasonably drawn from the undisputed facts and whether reasonable minds differ on those hypotheses. Id.

Liability of Employer for Negligence of Independent Contractor

The general rule is that an employer is not responsible for the negligence of his or her independent contractor. See Jackson v. Petit Jean Elec. Co-op., 270 Ark. 506, 606 S.W.2d 66 (1980). However, we have recognized that there are exceptions to the rule. We have noted that an employer may be held liable for the conduct of a careless, reckless, or incompetent independent contractor when the employer was negligent in hiring the contractor. See Arkansas Pools, Inc. v. Beavers, 281 Ark. 109, 661 S.W.2d 395 (1983). We have also recognized an exception where the employer has undertaken to perform certain duties or activities and negligently fails to perform them thereafter or performs them in a negligent manner. See Gordon v. Matson, 246 Ark. 533, 439 S.W.2d 627 (1969). In addition, we have noted that an employer may be liable to third parties when he or she delegates to an independent contractor work that is inherently dangerous. See Jackson, 270 Ark. at 510 (emphasis added).

Negligent Hiring

Stoltze argues that he presented evidence that summary judgment was improper because he raised a question as to whether AVECC was negligent in hiring his employer, AECI. Stoltze states:

Apparently, all AECI employees performed hazardous work with high-voltage electrical lines without ever wearing mbber sleeves, even though wearing mbber sleeves is, in certain circumstances, required even by AECI’s own safety manual. . . . This failure of AECI to provide mbber sleeves, when the use of rubber sleeves was required by its own safety manual, amounts to incompetence to perform the work contemplated by the contract with AVECC as well as negligence towards its employees.

Stoltze argues that AVECC may be liable for AECI’s incompetence because AVECC “did not adequately inquire into AECI’s competence to perform the tasks required by the contract.”

Bill Peters, the director of engineering for AVECC, stated that, in order to participate in AVECC’s bidding process, an independent contractor must be on the qualified bidder list. Peters stated that, when hiring an independent contractor, AVECC does not inquire into the safety history of the independent contractor. Rather, AVECC relies on its consulting engineer firm, AllgeierMartin, to determine whether an independent contractor is a qualified bidder. Peters stated that, in formulating a qualified bid list, Allgeier-Martin reviews criteria such as the contractor’s experience and references, and whether the contractor has an Arkansas contractor’s license. Peters stated that he thought “safety would fall within [the review].” An Allgeier-Martin representative stated that “[s]afety considerations have never been part of our scope of work with respect to construction,” and that safety issues are' addressed in the contract. The record indicates that AECI had been on AVECC’s qualified bid list for “about 25, 30 years or more.” When asked whether there was a reevaluation or review of criteria that is performed on bidders that have made it to the qualified bidder’s list, Allgeier-Martin’s representative stated: “If a contractor on that list is relatively active [in] expressing interest in various projects and we have no other reason to review their qualifications then there’s no formal process.”

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Bluebook (online)
127 S.W.3d 466, 354 Ark. 601, 2003 Ark. LEXIS 571, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stoltze-v-arkansas-valley-electric-cooperative-corp-ark-2003.